2007: The Year of China's Automobile Quality Reengineering


In the past year of 2006, the Chinese auto industry showed a strong side of its pillar industries: Domestic sales exceeded 7 million, and exports were expected to exceed 340,000, both of which were the highest ever. However, in the industry and outside of a carol, the inharmonic sounds of product quality have occurred from time to time, and even began to interfere with consumers' choice of brands. After achieving the breakthrough of “quantity”, the improvement and leap of “quality” will be the most important thing that China’s auto industry should do during 2007 and even the 11th five-year plan period.

As early as a dozen years ago, China was recognized as the world's last undeveloped automobile market: In the 40 years of development, the annual sales volume has reached only one million units. The car industry is basically blank, and the auto industry is in the seller's market as a whole. This supply and demand situation has continued into China's post-WTO period. As the production of vehicles under the planned economic system changed to private consumer goods under the market economy system, the demand for automotive products in the market was promoted, and in 2002 and 2003 there was an “explosive” increase. By 2006, the Chinese auto industry had finally landed on 7 million vehicles after it had stridden across several million steps. In order to solve the contradiction between long-term accumulation of consumer demand and short-term supply shortages, the Chinese auto industry has started to expand its production capacity projects since 2003. At the same time, strengthening marketing and construction has become a top priority for companies seeking to quickly occupy market share. Of course, both joint ventures and independent brands have introduced quality assurance systems that meet national standards when introducing advanced technologies and products. However, for most companies, the Chinese auto market is still in the “Warring States era”, and it is the first time for the market to supply capacity and effective marketing methods. After the quality problem arises, the company’s after-sales service department will solve it. This "rapty radish is not washing mud" approach has indeed produced serious consequences, only from a Xinhua News Agency reporters can see with their own eyes: the new car replaced nine times a year exhaust pipe can not be used; Some new cars are used for tour, halfway down, air conditioning at 30°C does not work, and some foreign countries have exported 300 buses of a domestic brand to an African country. Most vehicles can't be driven in time.

The quality of the car not only appeared on the self-owned branded products, but also the joint venture brand car was also recovered by consumers. At present, cars used in China, especially vehicles sold in the past five years, will be at the peak of quality problems in the next year or two. If the company does not put the quality problem at the front end of the manufacturing process, and simply relies on the after-sales service department, then the product brand cannot be established, which will affect the survival of the company. The National Quality Inspection Bureau has issued regulations on the recall of defective automotive products. Once recalled, companies will bear huge losses.

The Central Economic Work Conference held at the end of last year proposed that the development of the national economy in 2007 should be changed from "fast and good" to "good and fast." For the Chinese auto industry, after reaching a certain number of platforms, 2007 will be the first year of quality. In the future, the growth rate of the auto industry will enter a stable period, and quality will be the most important factor in the business operations.

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