The market concentration is higher than in previous years. The OEMs are increasingly modularized and systematically procured, and the cooperation between suppliers is closer. As a result, the global auto parts supplier system gradually evolves into a pagoda structure. The first-tier manufacturers are responsible for the management of the entire supply chain, making the cooperation between the supply chains more standardized. Companies like this are top-notch in their respective markets. They occupy 80% of the market and dominate the high-end market. The CEO of a parts company said: "With the rapid growth of production and sales of the whole vehicle, the parts and components enterprises have encountered a once-in-a-lifetime opportunity. If they do not catch up with this express train, they will fall behind and will be eliminated."
