Japanese suppliers in China (Part 2): East/North/Northeast regions and overview

Suppliers expand production capacities, launch new products, and enhance development functions

2015/02/16

Summary

 In 2014, China produced 23.72 million units of vehicles, up 7.3% year-over-year (y/y), and sold 23.49 million units, up 6.9% y/y. The figures both resulted only in a single-digit growth. In January 2015, the China Association of Automobile Manufacturers announced its estimate for the automotive market in 2015. The estimate also shows a single-digit y/y increase of 7% to 25.13 million units (including exports).

 Despite these slow growth rates, European, U.S., and Korean as well as Japanese OEMs are enhancing their production capacities, expecting the Chinese auto market to further grow in the medium term.

 Japanese parts suppliers are also expanding their operations, production capacities, and development functions in China to satisfy growing demands from European, U.S. andJapanese OEMs. Some suppliers are developing new materials and components for hybrid vehicles (HVs) or to comply with requirements for weight reduction and safety regulations.

 This report summarizes activities of Japanese suppliers in the eastern, northern, and northeastern regions as the whole of China during about twelve months from February 2014 to early January 2015.

Eastern China
East China
Northern/Northeastern China
North/Northeast China
Boost production capacity
(* Also produce new product)
Add production line and equipment Jiangsu Province: NSK Needle Bearing, Kobe Steel, Seiren, Sekisui Chemical*,
     Nissin Seiko, Japan Aviation Electronics*, and Fine Sinter*
Shanghai City: Daito Press Mfg.
Anhui Province: TPR
Fujian Province: JTEKT*
Shandong Province: Toyo Tire & Rubber and Nissin Kogyo*
Tianjin City: Pacific Industrial*
Liaoning Province: Bridgestone and Mitsuba
Add plant Zhejiang Province: Kobe Steel and Fujikura Rubber
Shandong Province: GMB
Establish new subsidiary, construct new plant/begin production
(* Also produce new product)
Jiangsu Province: Kotani/Okaya*, GMB, Nippon Steel & Sumitomo Metal,
     Tamagawa Seiki*, Pacific Industrial*, Primearth EV Energy*,
     and Musashi Seimitsu Industry
Zhejiang Province: Ogura Clutch, HI-LEX, and Minebea
Tianjin City: Sumitomo Riko and Tsubakimoto Chain
Liaoning Province: Kasai Kogyo, Kinugawa Rubber Industrial, Kobe Steel,
     and Bridgestone
Reinforce technology development function New establishment Tianjin City: Sanden
Guangdong Province: Hitachi Automotive Systems
Expansion Jiangsu Province: Aisin Seiki, JTEKT
Shanghai City: Denso and Toyoda Gosei
Restructure/reinforce management and production functions Nationwide: JTEKT
Shanghai City: Bridgestone
Guangdong Province: Musashi Seimitsu Industry
Liaoning Province: Tamadai
Region unknown: NSK and Mabuchi Motor
Reinforce sales and marketing functions Aisin Seiki, NOK, Kureha Battery Materials Japan, and Hitachi Automotive Systems
Withdrawal Anhui Province: Kasai Kogyo and Fujitsu Broad Solution & Consulting

Japanese suppliers related reports:
* Japanese suppliers in China (Part 1): Southern, Central and Southwestern regions (Jan. 2015)
* India (Nov. 2014)
* Mexico: New plants built to satisfy OEM demand (Oct. 2014),
  Mexico and Brazil: Expanding capacity for local demand (Oct. 2014)
* Thailand (Sep. 2014)
* Indonesia (Jun. 2014), Vietnam, Malaysia, Laos, and Myanmar (Jun. 2014)
* Europe (Jul. 2014), the U.S. (Apr. 2014)
* China (Part 2): Northern, Northeastern & Southern regions (Mar. 2014),
  China (Part 1): Eastern and Central China (Mar. 2014)