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China: Car Electronics Market Scale
added: 2007-03-29

In developed countries, the average cost of electronic devices per vehicle accounts for 20-25% of the total, or even as high as 50% for limousines.

China's auto output of 2005 was 5.71 million units, and sales value of the auto electronic products reached RMB 62.43 billion, up by 36.3% over the year of 2004.

By the end of October 2006, the output and sales of cars in china amounted to 5.8911 million units and 5.7658 million units respectively, up by 27.56% and 25.69% compared to the same period of 2005 separately. It is predicted that in the whole year of 2006, the output and sales of cars in china would reach or exceed 7 million units, which is much higher than the anticipated figure of 6.4 million units in early 2006, so it can be concluded that China car electronics market will also see a rapid growth correspondingly.

As the carrier of electronic products, the output of cars has direct impact on car electronics market scale. In the year of 2005, China auto industry kept a rapid growth, China car electronics market also witnessed a development peak accordingly. In addition, the further penetration of car electronic techniques promotes the car electronic products to become more and more popular, which leads to an increasingly growing proportion of electronic products in total cost of a car.

Presently, the network and bus technologies are being widely applied, especially for the CAN bus. More and more sensors will be installed in each sector of cars to collect dozens of information and to provide in-vehicle host computer with smart control in operation.

Car electronic technology will develop towards integrated functions and gradually form an economical, effective and diagnostic data center, e.g., the integration of sensors could reduce wire numbers, simplify control systems, and reduce the size of sensor system by 60%-80%. It is predicted that products in strong demands over the next few years are: GPS Navigation System, Automatic Shift Gears Control System, ESP, TCS, Smart Anti-theft system, In-vehicle TV, air-conditioning, and safety air bag, etc.


Source: Business Wire

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