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New energy vehicles have entered a period of comprehensive market expansion, and cable replacement products have seized the market gap

New energy vehicles have entered a period of comprehensive market expansion, and cable replacement products have seized the market gap

From August 26th to 28th, the 2022 World New Energy Vehicle Conference was held in Beijing and Hainan. On August 27, Premier Li Keqiang of the State Council stated in his congratulatory letter that China is a big country in the production and consumption of automobiles. In recent years, the new energy automobile industry has developed rapidly, and its production, sales and ownership ranks among the top in the world, and it has entered a period of comprehensive market expansion. The development of new energy vehicles is not only conducive to advanced manufacturing and green and low-carbon development, but also to enriching consumer choices and providing high-quality products.

Li Keqiang pointed out that for a long time, China has carried out exchanges and cooperation in the fields of equipment, technology and standards with countries with relatively early development of the automobile industry. Our support policy for the new energy vehicle industry is in line with international rules and treats new energy vehicle companies registered in China equally. China will continue to deepen international cooperation in related fields of the new energy vehicle industry with an open attitude, and promote cooperation through cooperation. Development, promote upgrading through development, better achieve mutual benefit and win-win with all parties, jointly plan a new chapter for the development of the automobile industry, and add new momentum to the sustainable development of the global economy and society."

"New energy vehicles continue to maintain rapid growth, and advanced technologies such as electric drive, intelligent network connection, and low-carbon travel empower each other, and have become an important force for the stable growth and transformation of the automobile industry." Vice Chairman of the National Committee of the Chinese People's Political Consultative Conference, Chairman of the China Association for Science and Technology, Wan Gang, chairman of the World New Energy Vehicle Conference, said.

 

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It is predicted that in the global context, by 2025, although the market share of traditional internal combustion engine (including alternative fuel) vehicles will still reach more than 70%, hybrid vehicles (including ordinary hybrids and plug-in hybrids) and pure electric vehicles will still have a market share of more than 70%. In particular, hybrid vehicles are expected to occupy about 15% or more of the market share due to the guarantee of driving range and fewer policy interference factors.

At the same time, with the gradual recovery of China's macroeconomic and industrial environment, domestic automobile production and sales are expected to return to a market size of 29 million vehicles around 2025. According to the vision mentioned in the "New Energy Vehicle Industry Development Plan (2021-2035)" by the General Office of the State Council: in 2025, the proportion of new energy vehicles will reach about 20%; in 2035, new energy vehicles will become the mainstream of vehicle sales.

Under the favorable situation, how will the cable-related market evolve?

On the one hand, when the traditional fuel vehicles are converted to the new energy vehicle market, the huge replacement volume of cable (wiring harness) products may bring changes and improvements that break through the "ceiling" for electrical equipment. In the field of automotive interior system components (wiring harnesses, switches, GM remote control transmitters, RKE radio frequency, electronic alarm modules, start and stop switches, etc.), Chinese automotive accessories (including wire and cable) manufacturers will also speed up the pace of layout.

On the other hand, cable products used in new energy vehicles have special requirements for the two structural contradictions of large current carrying capacity and flexibility. The temperature resistance level of insulating materials should be improved, and the lightweight should be promoted. It brings innovative changes to improve the manufacturing process of cables for new energy vehicles.