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Auto and Auto Parts

l Car Manufacturing

The goal by 2015 is to increase the productivity to three million units and the output value to approximately RMB550 billion. The number of car makers with a total output value of RMB100 billion each will increase to 2-3, that with a total output value of RMB50 billion each to 2-3 and that with a total output value of RMB10 billion each to 3-4.

l Auto Parts

The goal by 2015 is to increase the number of auto parts manufacturers to 700, and the output value to RMB150 billion, including 4-5 enterprises with a total output value of over RMB10 billion each, 10 with a total output value of over RMB5 billion each, 50 with a total output value of RMB1 billion each, and 100 with a total output value of RMB100 million each. In addition, effort will be put into increasing the number of auto parts makers providing spare parts for car manufactures to 400, thereby making the rate of providing auxiliary services for engine makers reach 50%, increasing the number of auto parts makers compatible with the research and development capacities of engine makers to 200, and increasing the number of technology centers at or above provincial level to 50.

 

I. Car Manufacturing

The goal by 2015 is to increase the productivity to three million units and the output value to approximately RMB550 billion. The number of car makers with a total output value of RMB100 billion each will increase to 2-3, that with a total output value of RMB50 billion each to 2-3 and that with a total output value of RMB10 billion each to 3-4.

 

To achieve the goals, the following tasks, namely, establishing three platforms, implementing four programs and speeding up five projects, will be completed as scheduled.

 

1. Set up and Upgrade Platform Guaranteeing the Supply of Means of Production

Effort will be put into setting up and upgrading the platforms guaranteeing the supply of means of production including coal, oil, water, gas and transportation for the expansion of capacities of making entire cars, constructing and improving logistic network, road transportation network and refurbishing entries and exits of city ring roads to provide logistic support for the expansion of capacity of making cars; setting up and improving dynamic matching platforms among competent government departments, enterprises supplying means of production and car makers so as to provide point to point and one to one support for expansion of capacity of making cars; getting the facilities for the supply of such means of production as electricity, water and natural gas designed and constructed simultaneously to make sure all new projects go operational as effectively and capably as expected; conducting auxiliary service designs in advance for supply facilities of such means of production as electricity, water, natural gas and heat. In addition, the coordinated and service function of government on the guarantee of supply of means of production shall be reinforced to promote the fulfillment of the goals for car manufacturing.

 

2. Set up and Upgrade Platform for the Research and Development of New Products

Effort will be put into establishing a mechanism for the cooperation among government, enterprises and higher learning institutions, and building up and improving the industry-school-institute platform for the development and cooperation in new cars. Competent departments at provincial and municipal levels shall strengthen policy support, investment input, and meanwhile encourage enterprises to set up technology centers for the research and development of new products with higher learning institutions and research institutes at home and abroad. Full support shall be given to the technology center of FAW to push forward the innovation in self-owned brands and technologies as well as in the development of energy-saving and new energy vehicles; to Jilin Universitys construction of a national-level lab for automobile dynamic simulation; and to the establishment of technology centers by car makers. In addition, the cooperation with extra-regional famous higher learning institutions and research institutes shall be strengthened to set up platforms to promote the cooperation of industries, schools and research institutes and the exchange of intellectual resources, and thus push forward product structure adjustment and technology innovation.

 

3. Set up Platform for the Promotion of New Energy Vehicles

In line with the national strategy for the development of new energy vehicles, effort will be put into setting up the platform for the promotion of new energy vehicles by taking technology development and storage as the core, transformation from hybrid vehicles to pure electric vehicles as the route, policy subsidy as the supplement and market resource as the approach. On the basis of such facilities set up by the Technology Center of FAW as hybrid car power assembly test bed, hybrid passenger car power assembly test bed, information network development and testing system and road testing data collecting system, effort will be put into carrying out development-oriented testing and simulation analysis, and further improving the technology platform for hybrid system to promote the healthy development of new energy vehicles. In addition, the planning on the development of new energy vehicles will be kick-started, and incentives for the development of new energy vehicles will be unveiled to have Changchun listed as one of key cities for the development of new energy vehicles and thus get more help from the central government.

 

4. Implement the Program of Expanding Productivity

On the basis of the current production capacities, effort will be put into encouraging FAW-VW, FAW Car and FAW Jiefang to carry out technology upgrading and managerial innovation for the expansion of productivity. In the meantime, government support, marking exploration, policy making, demand expansion, direct purchase and customized purchase will be adopted to support productivity expansion.

 

5. Implement the Program of Adjusting Product Structure

In line with the market demand and the planning on the adjustment and revitalization of national auto industry, effort will be put into speeding up the adjustment of structure of car products. On the basis of making mid and high-end cars, differentiation development strategy will be implemented to develop such vehicles supported by the policy as light, low emission and new energy vehicles. In addition to consolidating and developing the citys special purpose vehicle making bases, effort will also be put into making use of the foundation of truck making to push forward the professional, elaborate, unique and new development of special purpose vehicles.

 

6. Implement the Program of Innovating Self-owned Brands

Effort will be put into supporting FAW Group to make breakthroughs in self-owned brand innovation for the creation of such brands as Hongqi, Besturn and Jiefang, supporting the development of low-cost, low-emission, safe and comfortable brands which are well impored in function and high in performance/price ratio. In the meantime, encouragement will be given to makers FAW Coach and Huaao to speed up research and development pace and thus create their own research, development and production bases for self-owned brands.

 

7. Implement the Program for the Promotion of New Energy Vehicles

On the basis of FAW’s resource advantages, effort will be put into speeding up the research, development and industrialization of full hybrid, normal hybrid and plug-in hybrid cars. In the meantime, focus will be put on the development of technologies for pure electric vehicles, motors and batteries to expand the cooperation with internationally renowned enterprises so that breakthroughs can be made in key technologies and spare parts for pure electric vehicles, the advantages in new energy vehicles can be maintained and the goal of getting pure electric vehicles transferred from sample stage to commercialization can be achieved.

 

8. Push forward the Construction of “Five Projects”

According to the planning, effort will be put into pushing forward the construction of five projects, namely, FAW Car Company’s second-phase project (200,000 cars), FAW Fengyue’s first-phase project of making 100,000 cars and planning to make 300,000 cars, FAW GM’s first-phase project of completing 100,000 cars and planning to another 100,000 cars, and conducting an all-round tracking on FAW Car Company’s third-phase project and FAW-VW’s 1 million cars.

 

In line with the goals of increasing the capacity of car making to three million units and creating a world-class auto making base and a highland for the innovation in key automotive techniques and technologies, support will be given to FAW Group to help it conduct investment and cooperation programs with multinational companies, and more will be put into the mergers and acquisitions of domestic enterprises, and into the research and development of self-owned brands.

 

II. Auto Parts

The goal by 2015 is to increase the number of auto parts manufacturers to 700, and the output value to RMB150 billion, including 4-5 enterprises with a total output value of over RMB10 billion each, 10 with a total output value of over RMB5 billion each, 50 with a total output value of RMB1 billion each, and 100 with a total output value of RMB100 million each. In addition, effort will be put into increasing the number of auto parts makers providing spare parts for car manufactures to 400, thereby making the rate of providing auxiliary services for engine makers reach 50%, increasing the number of auto parts makers compatible with the research and development capacities of engine makers to 200, and increasing the number of technology centers at or above provincial level to 50.

 

In line with the goals for the development of auto parts makers, effort will be put into setting up “five platforms” and realizing “four transformations”

 

1. Set up “Five Platforms” to Support the Development of Auto Parts Makers

In line with the principle of being conducive to the development of auto parts enterprises, to the integration of resources and to the innovation in technologies, effort will be put into pushing forward the construction of platforms for the development of auto parts.

 

Set up a research, development and cooperation platform. On the basis of the basics and conditions of local higher learning institutions and research institutes, effort will be put into setting up a cooperation platform among enterprises, research institutes and higher learning institutions to integrate resources and make their advantages supplementary to each other so that the problem with a single enterprise in terms of insufficient technology research and development abilities can be solved and the bottleneck caused by insufficient support by talents can be broken. The coordination by government and the interaction among industries, schools and research institutes will serve as a propeller for the healthy development of auto parts sectors.

 

Set up a testing and inspecting platforms. On the basis of Changchun National Auto Parts Testing and Inspecting Center, effort will be put into integrating resources available for use, optimize current platforms, upgrade testing and inspecting infrastructures, improve testing and inspecting abilities and approaches and thus create a national-level auto parts testing and inspecting platform to be influential in the field.

 

Set up an embedded module development platform. On the basis of the Auto Electronics Center of Jilin Province and the Comprehensive Service Platform of National Optoelectronic Industry Base, effort will be put into setting up a platform for embedded module simulation and embedded software development testing to get automobiles and optoelectronic information enterprises combined for development and thus form an open platform pattern with distinctive features, leading technologies and complete functions

 

Set up an export service platform. On the basis of Fawer Group North America Auto Parts Center, effort will be put into setting up an auto parts export base at national level in Changchun, and then take it as a carrier for the supply of services for local auto parts sectors’ import and export businesses.

 

Set up a network coordination platform. With Changchun Information Port as a carrier and Changchun Municipal Association of Automotive Industry as a pillar, effort will be put into establishing a bridge of communication among auto parts makers, exploring channels for communication with extra-regional auto parts associations and chambers of commerce, and solving the problem of unsmooth coordination, cooperation and communication that auto parts makers encounter in the course of production and management by making use of network platforms to push auto parts sectors to realize synchronous development as one.

 

2. Realize “Four Transformations”

Realize the transformation of auxiliary service supply from a single mode to a diversified one. Encouragement will be given to the auto parts enterprises that have entered the system of supplying auxiliary services for engine plants to develop the second and the third auxiliary service supply markets, expand auxiliary service supply fields, broaden auxiliary service supply channels and thus push the production to go sizable.

 

Realize the transformation of enterprises from the mode of being asked for auxiliary services to the one of taking active measures to provide auxiliary services. Encouragement will be given to enterprises to invest more in research, development, design and intellectual strength to realize a transformation from the mode of being asked to provide auxiliary services for engine plants’ processing and production to the one participating actively in enterprises’ development and design of products.

 

Realize the transformation of enterprises from the mode of providing pre-assembly services to the one of giving equal importance to pre-assembly and post-market services. In addition to consolidating the foundation of pre-assembly services, encouragement will be given to enterprises to work in the huge space for post-market services, establish connection and cooperation relations and thus push forward the development of post-market services and expansion of market demands.

 

Realize the transformation from localization to internationalization. Encouragement will be given to enterprises to speed up the transformation from localization and internationalization in line with global procurement practices and rules, optimize enterprises’ organizational structures, managerial modes and after-sale service systems, strengthen the mentality of getting linked with international counterparts and thus achieve the goal of growing bigger and stronger.