Lectromechanical Equipment,Zinc Alloy Motor Base,Die Cast Motor Base,Zinc Alloy Die Casting Motor Base Baizhu Network Technology Co., Ltd. , https://www.baizhucasting.com
In May, the Department of Commerce of the Ministry of Commerce led 45 Auto Parts companies to go to Brazil to negotiate trade. Not only did it win a warm response in Brazil, but it also achieved more than expected results: the intentional turnover was more than 37 million US dollars, more than 80% of the Chinese Businesses have stated that they will continue to intensify their exploration of the Brazilian market.
The "2006 China (Brazil) Auto Parts Trade Fair, held in Sao Paulo, Brazil on May 11th, is a professional trade fair sponsored by the Chinese and Pakistani governments, organized by trade associations, and companies with strong strengths in both countries. The talks caused a sensation in Brazil. It is reported that the meeting was highly valued and supported by the State of Sao Paulo, Brazil, the Southern Mato Grosso State Government, the Brazilian Automobile Maintenance Association, and the China-Pakistan Trade Promotion Association. At the same time, it has received widespread attention from the Brazilian automotive industry, with more than 150 Brazilian companies. About 200 people from the company attended the meeting and the total scale of the meeting was 300 people. Due to space restrictions in the venue, there were even more than 60 Brazilian merchants waiting outside the venue.
The Ministry of Commerce’s expectation for this meeting was to find 3 participants for each Chinese participant. In fact, more than 150 Pakistani companies, including automotive product manufacturers, importers, distributors, and consulting companies and logistics companies related to the automotive industry, participated in the conference. A strong willingness to cooperate. The CEO of Marco Polo Motors, the main manufacturer of Brazilian buses, even came back from Japan to participate in this fair.
It is not just Brazilian companies that are enthusiastic. After the opening ceremony, the local and automobile industry media surrounded the delegation head Zhang Lu. Concerned about the media’s concerns that the entry of Chinese auto and parts products into the Brazilian market will have impacts and impacts on related industries and employment in China, Zhang Hao gave a beautiful answer. In the context of economic globalization, countries must be open. Under the market environment, through the promotion of international competitiveness, participation in international competition and cooperation seeks economic development. Enhancing the international competitiveness of enterprises is the foundation for the survival and development of enterprises, and it is also the basic condition for increasing employment. How to develop its own auto industry and improve industrial competitiveness is a common issue facing the two countries. Therefore, the two governments should build a platform for exchanges and cooperation among auto companies, complement each other's advantages in the auto industry, and participate in international competition through mutually beneficial cooperation to promote the common development of the auto and parts industries of the two countries.
In fact, China and Pakistan have quite extensive cooperation space in the automotive sector, such as commercial vehicles, low-end passenger cars, and especially auto parts.
The guests at the meeting held that China and Brazil are the largest developing countries in Asia and Latin America respectively. The economies of the two countries are highly complementary and have broad prospects for cooperation. The strategic partnership has strong vitality. At present, bilateral economic and trade relations enjoy a good momentum of development. Brazil is China’s largest trading partner in Latin America and China is Brazil’s third largest trading partner and the third largest export market. In 2005, the total trade volume between the two countries reached a record high of US$14.82 billion, which is equivalent to 6.7 times of the US$2.2 billion in 1996. Among them, the trade volume of auto parts and components was US$160 million, an increase of 49.8% year-on-year, which fully demonstrated the great potential for trade cooperation between the two countries in the automotive and parts sectors.
For the first time, the Chinese parts and components companies in Brazil are more aware of the charm of the Brazilian market. Many corporate representatives did not expect such a large profit margin in Brazil. The prices quoted by companies according to 100% of profit are only 1/10 of the local similar products, and the Brazilian market can be tapped. In addition to simple trade, some companies have also started a deeper level of planning: Shandong Heavy-Duty Truck Group Co., Ltd. is targeting Brazil's railway facilities, poor transport capacity, mainly relying on the characteristics of road transport, ready to enter its production of heavy truck into the Brazilian market; After the meeting, Zhongtong Bus Co., Ltd. went to Brazil Marco Polo Motor Co., Ltd. to negotiate and reached an investment cooperation agreement.
Some people in the industry believe that China’s auto and parts products do have strong comparative advantages and competitiveness, and the market has great potential for development. Bilateral counterpart economic and trade exchange activities should continue to be strengthened, but problems still exist.
The main problem is that the Brazilian automotive industry is ambivalent about Chinese products entering its domestic market. Brazil's auto and parts manufacturers expressed concern about the entry of Chinese products and believe that Chinese products will impact and damage their industries, but Brazilian auto and parts importers and sellers are welcoming and believe they can be cost-effective from China. The company’s products received excessive profits; some Chinese companies’ “grey†customs clearance in Brazil is serious and has caused bad influences, which has aroused strong dissatisfaction among local companies; both Chinese and Pakistani governments and companies have expressed concerns and concerns about the Chinese export product market order. Many companies have reported that some small and medium-sized credit companies are fighting for market resources, pushing down prices, vicious competition, even cutting corners in production, selling counterfeit and inferior products with serious quality problems to foreign markets, and seriously undermining the image of “Made in Chinaâ€. And credibility. According to reports, the current price of brake pads for domestic exports to Brazil has dropped to US$ 2 to 3, while the sales price of similar products in the Brazilian domestic market has reached US$ 40, which is 20 times the export price of Chinese products.
In response to these problems, the Department of Industry of the Ministry of Commerce recommends that, on the one hand, this trade fair should be used as an opportunity to continue to strengthen communication and exchanges with the Brazilian government and the automotive industry, to deepen understanding, increase trust and dispel doubts, and seek mutual benefit and common development through cooperation; On the other hand, we will, on the basis of the current achievements in regulating the order of export of motorcycle products, strive to introduce relevant measures for rectifying the export order of auto products as soon as possible, and start with strict market access qualifications from the production link and limit those that do not meet industry standards. Entry and certification requirements, rely on the production of low-priced counterfeit products for vicious competition, damage to the interests of the industry's exports, for enterprises to open up the international market to create a good trading environment.