Featured Image

International News From the Field: China

As China takes a break this week to celebrate the new Year of the Ox, the news for the automotive sector, particularly new energy vehicles, continues to be overwhelmingly positive. The same can be said for construction equipment, as infrastructure...
Feb 15, 2021

February 15, 2021

As China takes a break this week to celebrate the new Year of the Ox, the news for the automotive sector, particularly new energy vehicles, continues to be overwhelmingly positive. The same can be said for construction equipment, as infrastructure projects continue to support the continued urbanization in the country. The Greater Bay Area plan is underway, and a new manufacturing technology show has been created to help suppliers tap into this new regional market. For more industry intel and other tidbits, read on.

  • Despite the COVID-19 pandemic challenges, China’s GDP grew by 2.3% in 2020.

  • The manufacturing PMI in January was 51.3, continuing its run above 50 for the 11th consecutive month.

  • Foreign Direct Investment (FDI) in China reached $163 billion in 2020, representing an increase of 4% YOY, according to data from the United Nations Conference on Trade and Development (UNCTAD).

  • With the continued trend of urbanization, massive infrastructure projects continue to create opportunities in the booming construction machinery sector. One of the main indicators, excavator production, grew by 36.7% in 2020, with a total of 401,000 units, according to the China Construction Machinery Association (CCMA).

  • The Greater Bay Area (GBA) plan, which includes Hong Kong, Macau, and nine cities in the Pearl River Delta area, has a total planned investment of $68 billion. The idea behind the plan is to foster growth by linking the area economically and physically and by promoting and supporting new technology and innovation. There will be new infrastructure projects, including 500 miles of new rail, new bridges, new roads, and other improvements. Many tech giants like Foxconn, Huawei, Tencent and BYD have already begun plans to locate major facilities there. For suppliers of manufacturing technology to tap into this market, a new trade show, AMTech 2021 (International Advanced Manufacturing Technology Show), will take place Oct. 11-14, 2021, in Shenzhen.

  • The China Association of Automobile Manufacturers (CAAM) reported that the Chinese automobile industries exceeded the target of producing 25 million vehicles in 2020. This performance is much better than the forecast in early 2020, when the goal seemed unachievable due to the pandemic.

  • The production of new energy vehicles (NEV) reached 1.4 million units in 2020, a 7.5% increase from 2019. CAAM estimates that the total vehicle production in 2021 could exceed 26 million units, with NEVs representing almost 2 million units, a 40% annual growth rate.

For more information on these exciting opportunities and others, contact Fred Qian at fredqian@AMTchina.org.

PicturePicture
Author
Fred Qian
General Manager - Shanghai Technology and Service Center of AMT
Recent international News
Despite springtime hiccups with an omicron surge, China's economy should stabilize in 2022 with a new policy package of significant investments, including in automotive, energy infrastructure, and home appliances. For more on this package, read on.
China’s zero tolerance toward COVID continues to take its toll on the local economy, particularly in the automotive sector. This week we take a closer look at the local automotive supply chain data that has global economic implications.
China remains the world’s manufacturing megalith, accounting for almost 30% of the world’s manufacturing output. The die and mold industry plays a crucial role as a major upstream component of the industry, and opportunities in that space continue to grow.
China’s focus on automobile production continues in this new era of automotive development. With the 2021-2035 New Energy Vehicle Industry Development Plan, opportunities abound – both in vehicle production and auto parts. For stats and data, read on.
This week’s news from China is all about wind energy and automobiles, particularly EVs. China is determined to be a world leader in clean energy, and investments in these sectors continue to soar, creating opportunities for manufacturing technology. ...
Similar News
undefined
International
By Arun Mahajan | Aug 09, 2022

India continues its strong manufacturing growth. Vehicle sales of all types are growing. To remedy supply chain issues, an investment of $3 billion will create India’s first electronic display plant. For more industry intel and other tidbits, read on.

5 min
undefined
Technology
By Stephen LaMarca | Aug 05, 2022

The spirit of additive. Milling with a robot. “Swiss” printing. Studying (manufacturing) abroad. Chinese robots are stepping up.

5 min
undefined
International
By Hubert Sawicki | Jul 29, 2022

Europe is on the mend as manufacturers continue reshoring. More money is going toward energy sourcing, sustainable fuels, and manufacturing. While the sector recovers, satisfying current demand domestically remains a challenge. For more intel, read on.

7 min