Xingyu’s advantage expands to create a domestic automotive lamp faucet

The company specializes in R&D, design, manufacture and sales of automotive (mainly passenger car) lamps. It is the leading domestic automotive lamp assembly manufacturer and design solution provider in terms of sales revenue in 2008. The customers include a number of domestic major automobile manufacturers such as Chery Automobile, FAW-Volkswagen, FAW Toyota, FAW Xiali, FAW Car, Shanghai Volkswagen, Shanghai GM, Dongfeng Nissan, and Dongfeng Nissan; and foreign automakers such as General Motors and Chrysler. The major products include automotive headlamps, rear combination lamps, fog lamps, brake lights, and turn signals. Xingyu has successively participated in the simultaneous development of a number of new models of a number of vehicle manufacturers, and has excellent technology research and development capabilities and mature management capabilities.

Based on the advantages of domestic capital to control leading foreign investment

With the rise of China’s auto market, from the late 1980s onwards, some foreign automakers will introduce automotive lighting fixtures for automobiles in the international market to China, mainly foreign automakers. China's joint-venture vehicle manufacturing companies provide vehicle lighting packages.

On the other hand, a small number of domestic-funded automotive lighting manufacturers started to provide complementary products for domestic-funded vehicle manufacturing companies. Through long-term and unremitting efforts, on the one hand, they have improved their technological capabilities and on the one hand made full use of local advantages and achieved rapid development. Individual domestic-funded enterprises represented by Xingyu Co., Ltd. have gradually entered the car-shadow matching market of the joint-venture vehicle manufacturing enterprises, and competed with foreign-owned headlight manufacturing companies in local areas.

The cost advantages of Xingyu's shares are mainly reflected in several aspects such as product design and development costs, management costs and production costs. In terms of product design and development costs, Xingyu’s shares mainly adopt independent design, development and joint development with universities and scientific research institutions. The product design and development work of foreign-funded enterprises is generally undertaken or outsourced to third parties by its shareholders’ overseas companies, and the cost is higher than Domestic companies; In terms of management costs, foreign companies employ a large number of foreign management personnel, the cost is higher than domestic-funded companies; in terms of production costs, Xingyu shares mainly through the localization of equipment to reduce production costs, and some foreign-owned headlight manufacturing companies purchase foreign originals. Assembled parts cost more than domestic companies.

With the increasingly cost- and quality-oriented local procurement strategy of joint-venture vehicle manufacturing companies and the rapid rise of local vehicle manufacturing companies, Xingyu Co., Ltd., a domestic-owned headlight manufacturing company, has shown great potential for development.

Competing overseas markets, technological advantages, rapid response

In the cooperation with overseas vehicle manufacturers, close to customers and rapid service are important manifestations of the competitive advantage of Xingyu. With the exception of Shanghai Xiaolan, the major domestic foreign lamp manufacturing companies currently take the form of wholly foreign-owned enterprises, and the main business decision-making power belongs to overseas parent companies. This mechanism of “domestic management and overseas decision-making” enables foreign-funded enterprises to understand customer needs, Responsiveness and ability to act quickly in response to customer needs are limited. Compared with foreign lamp manufacturing companies, the company's decision-making bodies are unified and the mechanism is flexible. They can quickly respond to customer needs in all aspects of product design, development, production, logistics, and after-sales service. On this basis, Xingyu has successively participated in the early synchronized development of a number of new models of a number of vehicle manufacturers, and jointly designed and developed the vehicle-wide lamps with FAW Group. Received the high praise from FAW Group and was awarded the "Excellent Supplier Award", which won the honor for the national headlight manufacturing enterprise.

The arrival of the automobile society is not only a reflection of the gradual maturity of the automobile industry in China, but also a microcosm of the domestic production companies represented by Xingyu Co., Ltd. as they continue to develop their future. Based on the parallel development strategy of both domestic and overseas competitors, and continuously gaining the development prospects recognized by domestic and international automobile production partners, Xingyu has gained momentum for further development.