We have been talking about independent brands to strengthen their core competencies before they can occupy a place in the expert car market. Indeed, our own brands are now really lacking in core technologies, ranging from engines and vehicle platforms to ECUs and active and passive safety systems. However, how the core technology of autonomous automobile companies should develop has never been noticed. With the development of automobile technology, the high-tech configuration of new vehicles is increasing, and the structure is becoming more and more complicated. It is obviously no longer the mainstream of development to rely solely on vehicle companies to complete all the work. Under the global auto industrialization model, the division of labor in the entire automotive industry has begun to develop in a comprehensive and detailed direction. The development tasks that vehicle companies need to undertake are getting smaller and smaller, and the dependence on parts and components companies is increasing. In general, the entire vehicle development process follows the component supplier development system during the development of the new vehicle. The entire vehicle company will implement the subsystem integration model. Different parts suppliers perform their duties in different fields for different products, complement each other with the vehicle companies, and jointly complete the task of developing new vehicles. In this case, the technical strength of the component supplier completely determines the technical level of the vehicle, and the lack of a strong independent component supply system is the soft underbelly of the independent brand's development.

According to the 2013 list of the top suppliers of auto parts suppliers in 2013 published by American Automotive News. In the global auto parts supporting market, the German Bosch Group ranked first in the list for the third consecutive year, and Denso and Continental Group ranked second and third for three consecutive years. In the top ten rankings, the fourth to tenth component companies are Magna, Aisin Seiki, Johnson Controls, Foglia, Hyundai Mobis, ZF and Yazaki. In this Top 100 list, CITIC Dicastal Co., Ltd., which ranks 92th, became the only Chinese company to rank among the top 100 suppliers in the world.

Let’s take a look at the top ten companies in the world’s top 100 suppliers of automotive parts and components, which are the scores: Bosch (Germany), Denso (Japan), China (Germany), Magna (Canada), Aisin Seiki (Japan), Johnson Controls (USA), Foglia (France), Hyundai Mobis (Korea), ZF (Germany), Yazaki (Japan). It can be seen that the top ten component suppliers have just taken up all of the world's major automobile manufacturers. That is, we are always talking about the European, American, Japanese and Korean cars, and some cars. The definition from the perspective of production R&D has been summarized into the meaning of the system. Auto companies and suppliers within the system have formed independent systems and camps. Among the top ten suppliers of automotive parts and components, except for Aisin Seiki and ZF, which are subdivided suppliers of single-part products, the other eight are all comprehensive cars. Parts suppliers, the products involved include all the parts of the vehicle's power, chassis, body, and electrical appliances, up to the electronic control unit, small to inside and outside mirrors have a strong R & D and production ability. And how powerful these suppliers are, for example, if you do not consider the matching issue, it would be absolutely a problem to put all the products that Magna produces to form a Magna vehicle.

Nowadays, as the industry refines, the work of vehicle manufacturers in R&D has begun to increasingly shift towards system coordination. As far as a single system is concerned, it is the behind-the-scenes component suppliers that really master the core technology. For example passive safety systems, Sweden's Autoliv is a leading supplier of seat belts and airbags, and is at the top of the industry in the field of passive safety system testing and R&D. Even if it is our recognized safety car Volvo, in passive safety systems Development still depends on Otoliv. Another example is Volkswagen's 4Motion full-time four-wheel drive system, which looks like Volkswagen's exclusive technology, but it is actually from Hadlex's products in Sweden. Speaking of small parts, inside rearview mirrors, it is reasonable to say that this should be the simplest part, but the lens technology of the automatic anti-glare rearview mirror now has no other family than Magna and Jingtai. Today, the bottleneck that restricts the development of a country’s autonomous auto industry is not the brand, nor the capacity of the market, but whether the country’s autonomous auto industry has a strong and independent supplier system as a support. No brand can maximize profits through supplier core technology. No market capacity can be expanded through core technologies, but the absence of a core component supplier means there is no solid foundation. In other words, a country's autonomous auto industry needs to develop, and ultimately it needs a comprehensive set of independent supplier support within the independent system. The reason why the self-owned brand cannot be self-contained is called the Chinese department car, and I am afraid that it is also closely related to the lack of supplier system.

The technical strength of the component suppliers in the independent system not only determines the technical performance of the entire vehicle company in the system, but also helps the entire vehicle company facing the final consumer market to become self-contained and reduce the cost of production R&D. This point is well understood, system synthesis under a single standard is much simpler than system synthesis between different series. On the other hand, the vast majority of auto companies and component suppliers have achieved mutual control. Through mutual holding, one can achieve the optimization of product quality, and second, it can form an alliance to resist market risks. This also makes the barriers formed between parts suppliers and vehicle companies more solid, and to a certain extent has played a role in promoting the development of the domestic automobile industry. For instance, if Toyota wants to expand into overseas markets, it will surely be able to take advantage of it and earn money together. In terms of the Chinese market, although Toyota must be divided into five-five Chinese partners in the vehicle production field, the profits of parts and components on the Toyota-made electric cars in China will all pass into the pockets of Denso, and Toyota is holding its own shares. Electric equipment, so it is definitely not the Chinese that will eventually make it full.

Based on the above points, it can be seen that only a strong component supplier and a vehicle manufacturer can complement each other to achieve an independent automotive industry. On the other hand, our own brand, after years of development, has been slightly small, but in the end it still lacks core competitiveness like hollow radish. The self-branded new car active safety system is basically based on Bosch, ECUs only rely on Delphi or Continental Electronics, seats to find Johnson, resin materials to find LG Chemicals and so on. All in all, the new car of its own brand is like a hodgepodge of the international spare parts industry. On the surface, it is bright and beautiful, but it is actually full of helplessness in the process of integrating the parts of each department. It is also because foreign suppliers of spare parts occupy a monopoly position in terms of high technology, and the vast majority of profits of their own brands ultimately reach the pockets of foreigners. This to a certain extent also led to the slow launch of new brands of self-owned brands, low cost premium capabilities, and lack of technical features. When the self-owned brand is developed to compete with a joint-venture brand and even begins to build an export-oriented automobile industry, over-reliance on foreign suppliers will become a risk factor. These parts and other large-vehicle companies share the supply of spare parts. Businesses may fear that the backyard of self-owned brands will catch fire.

Therefore, the problem with self-owned brands is in the parts and components system. Our own parts and components industry has not been able to produce a large-scale integrated parts supplier like Magna. Even CITIC DeKalb, which is one of the top 100 auto parts suppliers, is only a single supplier of aluminum alloy wheels. Compared with self-owned auto companies, the survival environment of independent auto parts companies is obviously much worse. First, there is no policy protection that leads foreign-funded enterprises to enter the space for seizing auto parts companies, and secondly, because of the lack of Chinese autonomy for a long time. The entire vehicle R&D system has created a lack of innovative capabilities in high technology, and the third is that the overall relatively weak industrial base has led to the inability of independent component companies to shape high-tech molding. At present, independent parts and components companies are seeking development at the low-profit and low-tech level of small plastic parts and small forging parts, and they do not have the strength to support their own brand automobile industry. Therefore, if we do not fundamentally solve the problem of the development of independent component suppliers, vigorously developing the autonomous automobile industry will only become empty talk and cliché.



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