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In 2019, passenger car sales in China fell by as much as 9.3% compared with the same period last year, falling into a state of decline for two consecutive years. In 2020, affected by the impact of the epidemic, the automobile market is facing an unprecedented severe test. Many voices pointed out that "from the perspective of the industry pattern, the concentration of the market is increasing, and weak brands are facing elimination."

During the two sessions, representatives of the automobile industry have made suggestions and suggestions, hoping to activate the automobile consumer market, promote the development of the automobile industry, and help enterprises tide over the difficulties. However, for the current automobile market environment, many senior executives of automobile companies also expressed concern.

Xu Heyi, party committee secretary and chairman of BAIC, said in an interview with the media, "the epidemic has accelerated the knockout stages of the industry, and the market share has been further concentrated to high-quality head car companies." Therefore, for the weak and backward car companies, they will face continuous challenges. Xu Heyi also believes that China's independent brands must continue the good situation of practicing their internal skills, focusing on innovation, and continuing to upgrade in recent years, and truly realize the qualitative change from big to strong with the improvement of their comprehensive competitiveness.

Tan Minqiang, deputy to the National people's Congress and deputy chief engineer of Dongfeng Company, said: "in a market of stock competition, there will be a situation in which the strong are always strong and the fittest survive. The arrival of this stage is a matter of time. In fact, China's auto market has shown an obvious trend of concentration, and the degree of concentration is getting higher and higher. "

Tan Minqiang believes that China's auto market has entered a state of stock competition. At present, the automobile markets in Europe, the United States and Japan have entered a state of stock competition and are relatively mature. Throughout the development history of the automobile market in Europe, the United States and Japan, after nearly a hundred years of development, there are only a small number of car manufacturers left. " Therefore, at present, there are more than 100 domestic automobile manufacturers, especially since the new energy vehicles entered the market, there has been a lot of increment. Under such circumstances, in order to achieve sustainable development, they will certainly go through the process of merger and reorganization.

For the current competitive environment of the domestic automobile market, many senior executives of automobile companies have made an early warning. Tan Benhong, executive vice president of Changan Automobile, once said, "China's automobile industry has entered a comprehensive phase of elimination. The stronger the strong, the greater the pressure on the weak." The survival of the fittest is more obvious, and 50% of Chinese car brands will cease to exist for some time soon. " Zhu Huarong, president of Changan Automobile, even believes that more enterprises will be closed and merged in the next three years, and eventually there will be "only five or six Chinese car companies."

From the perspective of market share, Chinese brands and legal brands are facing tremendous pressure.

According to the monthly report of the China Association of Automobile Manufacturers, the market share of Chinese brand passenger cars in April 2020 was only 34.6%, down 2.6 percentage points from the same period last year, the lowest in six years; from January to April, the market share was 38.1%, down 2.5 percentage points from the same period last year, falling below the red line of 40% again. The decline in Chinese brand passenger car market share is related to the decline in sales of head car companies, the serious retrogression of line 3, 4 and 5 brands, as well as the recession of the new energy vehicle market.

The market share of French brands remained at about 0.7% in the same period last year and fell to only 0.3% this year. First of all, because the headquarter and factory are located in Wuhan, which leads to stagnation for many months, and secondly, the collapse of Dongfeng Renault and Changan PSA also accelerates the delisting crisis of French brands.

The normal survival of the fittest in the market, the structural adjustment of the automobile market and moving towards the road of high-quality development is the law of the industry. under the superimposed influence of multiple factors, it accelerates the reshuffle of the automobile industry. Therefore, from the perspective of the industry pattern, the concentration of the market is increasing, and weak brands are facing elimination.

Finally, the sales ranking of narrow passenger car enterprises in April 2020 is attached.

(watchmaking: daily car)

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