Auto parts companies struggle to cope with changing economic environment
Release date:
2020-11-02
The deteriorating economic environment has worried managers of many domestic companies. Not long ago, the September sales data released by the North American market made some Chinese auto parts companies feel uneasy on the other side of the ocean, which greatly damaged their confidence in entering the Latin American supporting market.
The deteriorating economic environment has worried managers of many domestic companies. Not long ago, the September sales data released by the North American market made some Chinese auto parts companies feel uneasy on the other side of the ocean, which greatly damaged their confidence in entering the Latin American supporting market. "Chinese companies are facing a lot of pressure, including rising costs, financing difficulties for small and medium-sized enterprises, and fluctuations in export exchange rates." On the other end of the phone, the boss of a domestic brake pad exporting company had a hearty laughter and confident words, More replaced by sighs and speculations, "I just finished negotiating an order not long ago. Originally, there was about a 10% profit. What I didn't expect was the rapid decline of the euro exchange rate, and the profit expectation turned into a reality of loss."
Faced with changes in the economic situation, most auto parts companies are actively responding. "On the one hand, even if we support hard, we have to hold on. After all, the big environment is here, and everyone is facing difficulties. On the other hand, we must find new countermeasures, such as raising product prices, doing a good job in the linkage between price and exchange rate, and forward foreign exchange settlement, etc. "In addition, the CEO told reporters that the company has begun to focus on developing the domestic market in the face of declining demand in overseas supporting markets. It is understood that other companies have similar practices. Some time ago, an automotive electronics company in Dongguan held a special oath conference to sound the clarion call to vigorously expand the domestic market. Before that, the company's products were almost exported overseas.
WeChat Official Account
Henan Zhongyuan Piston Co., Ltd.
Phone:+86-0391-8161717
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Email:zhongyuan@zypiston.com
Website:http://www.zypiston.com
Address: No. 288, Wutong South Road, Mengzhou City, Henan Province, China