Innovation: the real challenge

Investment liberalization is inevitable. Foreign companies, especially Japanese firms, are hoping for continued investment liberalization, and China continues to resist external forces.

Most automakers in China know independent innovation is the real challenge for them. Fortunately, Chinese automakers like FAW, Shanghai Automotive Industry Corp, Guangzhou Automobile Industry Group and Dongfeng are speeding up their independent innovations.

Most Chinese auto groups have also announced heavy investments in independent brands and technologies.

Smaller Chery, Geely, Great Wall Motor and Brilliance Auto have also put together their independent product and technology portfolios.

"There isn't much time left for China's auto industry," said Qian Pingfan, adding it's time to wake up for large automotive groups from sweet dreams of relying on joint ventures.

"Chinese automakers should speed up independent innovations, research and development," Qian said.

(Chinadaily.com.cn May 15, 2008)