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Sunday, 09/21/2008 12:09:57 AM

Sunday, September 21, 2008 12:09:57 AM

Post# of 2594
I highlighted some key points from this research report summary that shows just how much growth is ahead for DSHL in the coming months and years. Not to mention the already strong numbers that they are currently realizing!!

"China industry research and market forecast: automobile parts and accessories manufacturing industry, 2008-2009" is an invaluable asset for anyone who wants to invest in the automobile parts and accessories manufacturing industry, to import into China, to partner with one of the key Chinese corporations, or to compete in the segment.

China is both the fastest growing motor vehicle market and the fastest growing vehicle producer. China is also the world's second-largest car market - it produced 8.88 million automobiles in 2007, of which 8.79 million were sold. For these reasons, and others, smart investors are reading "China industry research and market forecast: automobile parts and accessories manufacturing industry, 2008-2009".

As the global economy slips suffering from the unfolding global credit crisis and soaring energy prices, auto sales in China continue to boom. And, China's car market still has huge room to expand. At present, China's private car density is very low. The number of cars per 1,000 people in China is only 6 whereas the figure in developed countries is 500. Auto sales in China are expected to exceed 10 million units this year, which would represent full-year sales growth of 14 percent. In fact, auto sales have maintained double-digit growth since the beginning of this year.

This booming auto industry brings with it great opportunities for the auto parts and accessories industries. A great number of auto parts makers have increased their sales revenues severalfold. In fact, some enterprises' sales revenues are now measured by the billions in RMB. All indications are that this growth period will continue for at least the next five to ten years.

New vehicles in China will rise at an annual rate of 10 million units in the next few years, which means the vehicle population in the country is likely to reach 100 million units after five years. When that happens the auto-parts aftermarket will jump to 300 billion yuan, which is very lucrative to manufacturers.

The three driving forces behind the rapid growth of China's auto-parts industry are the domestic original equipment (OE) market, aftermarket, and export market. The three markets reached a value of more than 100 billion dollar in 2007, more than triple the number of 2002.

The auto parts industry will remain one of the most promising sectors and maintain its high growth rate over the next five to ten years.

Currently, there are five trends in China's auto parts industry: Progress has been made in restructuring and M&A; Multinational auto-parts manufactures have increased investment in China year on year; Export volume increased rapidly; Cluster effect has emerged; Private enterprises developed quickly. To understand these phenomena, and in their impact on this enormous and growing market you must read "China industry research and market forecast: automobile parts and accessories manufacturing industry, 2008-2009"

http://www.marketsensus.com/china-industry-research-market-forecast-automobile-parts-accessories-manufacturing-industry-20082009-p-50815.html

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