Do Chinese cars need to develop their own brands? It's a question that has sparked a lot of debate. Some argue that if a car simply bears a "Chinese" name and is built locally, it can succeed in the market. Others strongly believe that Chinese automakers must build their own strong brands to ensure long-term growth and independence.
So why is developing an independent brand so important? Let’s look at some examples. A well-known German car brand requires that all materials used in its Chinese stores be imported from Germany. Even more strikingly, spare parts sold in China often cost significantly more than they do in the home country. This shows how much control foreign brands have over their products and pricing—control that comes with owning the brand itself.
What does a brand really mean? A brand represents ownership, influence, and authority. Whoever owns the brand sets the standards, makes the decisions, and holds the final say. That’s why many Chinese executives in joint ventures are actually the strongest supporters of developing independent brands—they’ve seen firsthand the limitations of relying on foreign names.
According to recent data, in the first half of 2003, China produced and sold 960,000 vehicles. That’s a huge number, especially when compared to the 1.09 million cars sold in 2002. If this trend continues, within a decade, China’s auto sales could surpass 10 million, making it the world’s largest automotive market alongside the United States.
But here’s the problem: when we were only selling 10,000 cars, we needed to open up. Now, with millions of cars being sold, we still don’t have a single strong Chinese brand. What happens when the market hits 10 million units and there’s still no Chinese brand on the scene? That would not only be disappointing but could also threaten national economic security.
In 2002, China’s car production surpassed South Korea, which has well-known brands like Hyundai and Kia. But what about us? The experience of South Korea shows that developing independent brands requires strong government support. However, today, the three major state-owned enterprises—FAW, SAIC, and Dongfeng—are heavily influenced by global automakers. Their original mission to revitalize domestic assets has been fulfilled, and now they carry too many burdens to focus on building their own brands.
Instead, the government should support companies like Chery, Brilliance, and Geely—smaller players who are taking the right path toward independent branding. These companies may be weak now, but they’re moving in the right direction. As one CEO put it, they're taking “a giant step†forward.
If within the next three to five years, China’s own brands don’t grow rapidly, we may never see a truly independent Chinese car brand. It’s time to shift support from the “Big Three†to the “Three Alternatives.†That’s where the future of Chinese automobiles lies.
Related topics: Independent Brands, Where Do We Go From Here?
Multi Cavity Injection Molding
Dongguan Binsen Hardware & Plastic Co., Ltd. was established in 2013 and located in the heart of Humen Town, Dongguan City. Binsen is a national certified high-tech enterprise.
We specialize in the development, design and processing of precision plastic molds&dies, parts and products, as well as the processing of precision components and automation parts.
Binsen has the ability to independently develop a complete set of plastic molds&dies, and we can design and manufacture all types of jigs and fixtures, precision connectors, Insert Molding and other precision tooling for our customers.
customized automotive parts, automotive products molding,plastic part injection molding, molding plastic injection
Binsen Hardware and Plastic Co.Ltd , https://www.binsenmolds.com