Low-price competition hidden hidden in China's auto exports call for orderly competition
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“Our company once received a large export order for 3,000 foreign cars. However, because the price was too low, the company did not take over, and other companies took over this list. This way they lose money and earn money, they will export to China’s auto industry. It is very unfavorable and it is very easy to be caught by the 'anti-dumping' handle!†The phenomenon of low-price competition that currently prevails in China’s auto exports is mentioned. One domestic auto company sales manager is very angry.
According to the "People's Daily" report, a latest statistical report released by the Ministry of Commerce shows that in the first quarter of this year, the increase in the number of Chinese cars and off-road vehicles was much higher than the increase in the amount, and the average unit price has dropped significantly. According to the Ministry of Commerce, there are currently 8 anti-dumping cases involving the Chinese auto industry in foreign countries.
While the volume of auto exports has increased, the number of export operations has also increased rapidly. According to statistics, there were more than 11,000 export enterprises in 2005, and the average export value of enterprises was less than 1 million US dollars. Due to the large number of exporting entities and the inability of state management, the price competition in export products has caused serious attention from major export companies such as Great Wall Motor Co., JAC, FAW Group, Dongfeng Motor and Chery Automobile.
Regulating foreign trade order and realizing fair competition in automobile exports are the topics that many auto companies devoted to long-term development of overseas markets have been calling for. At the National People’s Congress held in March this year, Zuo Yanan, Chairman of Jianghuai Automobile Group Co., Ltd., submitted a proposal on “Proposals on Further Regulating Foreign Trade Orderâ€. It is proposed that the Ministry of Commerce should take the lead to formulate relevant regulations for different industries. According to the import and export regulations, the Ministry of Commerce hopes that the Ministry of Commerce can provide enterprises with some advice in terms of trade environment and access conditions, so as to avoid over-competition of domestic enterprises and to prevent the anti-dumping measures of textile exports that have just begun.
Experts said that it is an urgent matter to regulate the export order of automotive products early and avoid falling into foreign anti-dumping disputes.