NEWS
Changes in support methods will gradually break down the monopoly of foreign capital
Domestic support methods are developing towards parallel support and tower support. The main cooperation models between automotive OEMs and parts suppliers include the parallel support model represented by European and American automotive companies, the tower development model represented by Japanese and Korean automotive companies, and the vertical integration model represented by some major state-owned automotive companies in China. The parallel support model is a system in which both automotive parts companies and vehicle companies are socially oriented and realize market-oriented global procurement, while the tower deployment model is a pyramidal multi-layer support model in which automotive manufacturers are at the core and supply parts. It is a system in which automotive parts companies and vehicle companies build close cooperative relationships, and it means a vertical integration model in which automotive companies produce both finished cars and a certain number of automotive parts. At present, the global automotive industry is gradually evolving in the direction of lean production, externalization of non-core businesses, globalization of industrial chain configuration, and rationalization of management organization. Influenced by this, domestic automotive manufacturers are gradually transforming from the vertical integration model to the parallel support model and tower development model.
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