AAIA Factbook 2010 - (Page 72)

ChInese auToMoTIve afTerMarkeT REPORT ON CHINA LIGHT VEHICLE AFTERMARKET While new car sales have tumbled in the last 6 months, the aftermarket has generated more focus. In China, where new vehicle sales remain strong, the aftermarket is expanding even more rapidly. Global parts and services companies need to take a careful look at the burgeoning market which is still in an embryonic stage. The parts and service value of China’s light passenger vehicle market climbed to over US$30 billion last year based on a vehicle parc of over 35 million. • Demand for major and minor general repairs is the largest segment with a 46% share • Maintenance and light repair comprises 38% and collision repair 16%. • By vehicle age, 4 to 9 year old vehicles now have 50% market share as the parc begins to age. • Mid-sized sedans dominate the market in terms of parts and service demand with a share of almost 40%. • On average, the annual spend for all vehicle types is $860. Overall, China’s market is considered in a “developing” growth cycle phase, exhibiting a mix of crude, undeveloped market characteristics as well as more modern, sophisticated traits. The supply chain continues to represent a key challenge for all market participants as it remains fragmented and highly dynamic. • There are over 350,000 accredited garages with an additional vast number of low end mom & pop operations. • Service chains still represent a small share of the market but are starting to grow rapidly. • 4S (Dealerships offering car sales, parts, services and information) shops are struggling to make money on vehicle sales and have turned more aggressively to parts and service. • On the parts supply side, there is continued localization by foreign parts companies seeking to improve competitiveness and response time to market, as well as consolidation among many of the smaller, local players. • Parts distributors remain largely regional in nature, with small scale and unsophisticated business systems. * At garage shop level 72 2 0 1 0 d i g i t a l a f t e r ma rk et f a ctb o o k c op y r i g h t © 2 0 0 9 a uto mo ti ve a f terma rk et i ndustry associat ion

Table of Contents for the Digital Edition of AAIA Factbook 2010

AAIA Factbook 2010
Contents
Economic and Financial Indicators
Key Economic Indicators
Aftermarket Employment
Technician Employment and Wages
Aftermarket Mergers and Acquisitions
Financial Profiles of Selected Aftermarket Companies
U S Motor Vehicle Aftermarket
Channel Forecast Model
Census Review and Forecast Assumptions
U.S. Motor Vehicle Aftermarket
Size of the Automotive Aftermarket
Aftermarket Sales by Distribution Channel
Aftermarket Service and Retail Channels
Program Distribution Summary
Automotive Aftermarket
Consumer Profile
Sales of Replacement Tires
Replacement Rates for Motor Vehicle Parts and Jobs
Accessories
Aftermarket Accessories
Chemicals and Fluids
Automotive Chemicals and Fluids
Aftermarket Segments
Medium and Heavy Duty Truck Aftermarket
Paint, Body and Equipment Aftermarket
Tool and Equipment Aftermarket
Vehicle Sales, Usage and Registrations
U.S. Motor Vehicle Sales
Top 10 Light Vehicle Sales
U.S. Motor Vehicle Population
Hybrid Vehicles
Vehicle Operating Costs
Gasoline Affordability and Vehicle Miles Traveled
State Summary Statistics
State Summary Statistics
Global Aftermarket
Global Economic and Automotive Data
Global Vehicle Registrations
Canadian Aftermarket
Mexican Aftermarket
Chinese Aftermarket
Glossary and Reference
Glossary of Aftermarket Terms
NAICS Definitions
Aftermarket Data Resources
Aftermarket Data Resources
AAIA Market Research
AAIA Market Research
AAIA – Lang Market Comparison
Harmonization of Aftermarket Industry Data

AAIA Factbook 2010