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China's auto "going out" step is accelerating

"Since the beginning of this year, China’s auto exports have maintained a rapid growth year-on-year, and the pace of “going out” of Chinese autos has been accelerating.

The 2018 (15th) Beijing International Automobile Exhibition held by the reporter here was informed that in recent years Dongfeng Motor Group Co., Ltd. (hereinafter referred to as Dongfeng) has actively expanded its efforts to expand its overseas business. Yan Fengfeng, chairman of Dongfeng Company, stated that internationalization is the pass for entering the ranks of the world's advanced automobiles. As a representative of the Chinese automotive industry, Dongfeng regards overseas business as a very important strategic business, and has always advocated establishing a global vision and strengthening its international operating capabilities.

According to reports, the ""One Belt and One Road"" initiative has brought about multiple opportunities for development in the Chinese automotive industry. Dongfeng Company will rely on the “Belt and Road Initiative” to divide Asia-Europe, Asia-Australia, Asia-Africa, and Asia-America into four routes to strengthen the development of countries along the “Belt and Road.”

In the next three years, Dongfeng will speed up the production capacity and channel resources of overseas strategic markets, strive to build three deep KD (parts assembly) manufacturing bases, establish three overseas sales companies and several overseas reserve projects, and continuously upgrade China's own brand cars. Localized manufacturing capabilities.

At the same time, Dongfeng will accelerate the launch of new energy vehicles and continue to enrich overseas product lines. Dongfeng will target 10 to 15 competitive new energy vehicles targeted at different regional markets in the next three years.

Not coincidentally, BAIC has also taken a new journey of international quality development. Xu Heyi, chairman of BAIC Group, believes that complying with the ""Belt and Road Initiative"" to achieve structural adjustment and industrial transformation and upgrading, and accelerating the process of internationalization provide an unprecedented opportunity for BAIC Group to go global.

As the main platform for Beiqi Group's implementation of its internationalization strategy, Beijing Automobile International Development Co., Ltd. (hereinafter referred to as BAIC International) has fully explored the international market and has initially completed its global network layout. By the end of 2017, BAIC International had established 169 sales networks, 7 overseas companies and 22 KD projects in 48 countries around the world, becoming one of the fastest-growing auto export businesses of China's own brands, which has also accelerated BAIC Worldwide The pace of industrial innovation deployment.

In addition, BAIC International has established a transformational development strategy that shifts from scale growth to quality, efficiency, and capacity growth, and officially begins the journey of accelerating “going out of production capacity”. In the future, BAIC International will focus on A0 (small car), A-class (compact car), and SUV (sports-utility vehicle) as its core business, taking into account micro-offers, MPV (multi-purpose vehicle), etc., while promoting overseas operations. Synchronous development of automotive products.

In terms of the market, the company will focus on the development of three major base markets including South Africa, Iran, and Mexico, as well as five key markets such as Chile, Peru, Egypt, Vietnam, and the Philippines, while paying close attention to the Argentine market.

In particular, relying on BAIC's new energy business's first-mover advantage, BAIC International will provide full-industry solutions for the emerging markets of Central and South America, the Middle East, and the Asia Pacific region, from charging and replacing infrastructure, products, finance, travel applications to after-sales services. Promote new energy business to achieve rapid breakthrough in overseas markets. At the end of 2017, the new energy taxi replacement project in Mexico used BAIC, initially fulfilling the first orders for 100 EU300 replacement models and 2 replacement stations. It is expected that by the end of 2018, it will deliver 1,200 vehicles (for replacement models) and 7 station change station.
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