2024 auto market expected to welcome sales' big year '

It is not difficult to see that the current joint venture brand faces difficulties. According to the analysis, there are many reasons for the lagging development of new energy vehicles under the main joint venture brand, such as excessive investment in research and development of traditional fuel models, resulting in insufficient research and development of new energy vehicles or lagging strategic layout. Obviously, such a development situation can no longer meet the current consumer market demand for cars.

Xu Haidong, deputy chief engineer of China Automobile Association, told China Consumer News that because automobile companies have significantly increased their research and development investment in the field of electrification, competition in the new energy vehicle market will undoubtedly be more intense next year.

The reporter noted that since last year, the joint venture car companies under the pressure of reality, have to electrification direction as the focus of development, a number of joint venture new energy vehicles concentrated into the consumer market, trying to fill the gap in the product lineup at the same time, to win the recognition of the consumer market. However, after the layout of the new energy field, the market share of the joint venture brand not only did not recover as expected, but also accelerated the pace of decline, among which Dongfeng Infiniti and GAC Mitsubishi and other car companies were forced to withdraw from the market due to poor market performance.

Facing the pressure of market competition, the joint venture car companies have reached the node where they must adjust the brand development strategy. Objectively speaking, after years of precipitation, the joint venture brand still has comprehensive advantages in the overall market size, brand value and other aspects, and the joint venture brand is not without opportunities in the context of transformation and development.

The reporter noted that some joint venture brands are complying with the development trend by improving the research and development of electrification technology. In addition, the choice and independent brands to strengthen cooperation in the field of technology, product research and development gradually replaced the traditional foreign brand one-way input mode.

S&p Global Auto China deputy director of sales Tao Gao publicly said at the 2024 China Auto market overall forecast Forum held recently that the auto market is expected to show a low development trend next year. From this stage to 2030, the market share of independent brands will continue to grow. In the long run, multi-brand strategic cooperation is the main direction of the future development of car companies, and its role in promoting sales growth will become more and more obvious.

The director of the strategic development Research Center of the strategic planning and science and technology development Department of an independent brand told the reporter of China Consumer News that by 2030, the market share of new energy vehicles is expected to reach about 60%, and car companies will output technical standards and brands while exporting products, which is an opportunity for the future development of independent brands.

Avoiding a price war is key

If you use one word to describe the car market this year, it is not "volume". Although the car market next year has not yet opened, the increasingly fierce competition in the car market will be an inevitable result.

Cui Dongshu analysis said that with the rapid development of the "new four modernizations" technology, the homogenization of the models of major car companies is becoming more and more serious, the technical level of different models tends to be consistent, leading to consumers difficult to make choices, coupled with the consumer market demand is continuing to pick up in the process, so the competition in the car market next year is not destined to be easy.

In fact, the fierce competition in the automobile market indicates that the development of the domestic automobile market is in an unhealthy state. Among them, the auto dealer inventory warning index of all months this year is higher than the warning line, indicating that there is still a large room for improvement in consumer market demand.

In order to attract the attention of the consumer market, since the beginning of this year, a large number of car companies, especially new energy vehicle companies, have started a continuous price war. Different from the previous industry price reduction behavior, the price war covers a wide range, the price reduction range is large, and the market and industry have a far-reaching impact.

China Automobile Association deputy Secretary General Ye Shengji told China Consumer News reporter: "Limited by the pressure of new car sales, car companies are forced to choose the road of price war is not conducive to their own development will also hurt the overall car market environment." I think an important prerequisite for the development of the car market next year is to try to avoid a price war."