Transnational groups look forward to working with parts suppliers to China--china-lutong diesel parts plant

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Transnational groups look forward to working with parts suppliers to China

Wuhan in Hubei Province to participate in "the 2008 Fair for the development of overseas Chinese entrepreneurs," some of Transnational Automotive Group procurement, technical director on the 29th that will intensify in the global proportion of low-cost areas of procurement, look forward to working with local Chinese enterprises to cooperate in parts and components.

Europe's second largest car maker - PSA Peugeot Citroen Group of Asian procurement Deputy Director Zhao Qing Xu said that the Peugeot Citroen in the procurement of low-cost countries by 2007 the proportion of 23 per cent expansion in 2010 to 40% of scale Is about more than 60 billion euros.

"PSA Peugeot Citroen and China among suppliers have tremendous opportunities for cooperation, China should try to win greater share." He said.

However, he admitted that the current domestic suppliers is also facing some challenges, such as the lack of basic raw materials such as steel, the coincident weak R & D capability, low levels of technology management, product quality instability, low level of project management, cross-cultural, inter-language communication ability of the weak labor Costs and the RMB exchange rate rise.

Ford (China) technical director Zhang Yi-kang said that a global procurement and supply, will help Chinese enterprises to expand their sales and upgrade technological capabilities and management, improve the quality system and external image.

He said that to become a transnational group of automotive suppliers, enterprises must ensure that the decline in the quality of low-cost. Suppliers of multinational companies to understand the specific requirements of quality, consistency and maintain the quality of uniformity, at the same time, we can not simply from lower labor costs, improve efficiency, value chain in parts of the work on a number of areas.

"Providers should also have the ability to set targets and the development of space technology, independent design and development." He said, "If only designed to do, the contract will be short-lived."

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