SINGAPORE auto parts makers, which hope to ride on their advanced electronics technology and research and development capabilities, are vying for a bigger role in China's rapidly expanding demand for car components.

More than 32 Singapore auto parts suppliers and representatives from 16 international procurement offices in China gathered yesterday at Auto IGNITE Shanghai Roadshow 2007, the first auto part sourcing event organized by International Enterprises Singapore, a state-owned trade promotion agency.

"Sourcing in China is going up and it would provide greater business opportunities for us," said Andrew Khaw, acting director of Corporate Group, electronics and precision engineering and infocomm technology Division at IES.

Singapore auto parts makers now focus on five product areas including audio & telematics, automotive electronics, passenger restraints & interior, transmission and body structures.

The Southeast Asian country plans to make use of its advanced electronics technology such as hybrid circuits to attract more buyers and increase its competitiveness against China's cheaper-price rivals.

"It is no wonder that electronics functionality is going to be a key differentiator for the automotive industry in the years to come," Khaw said.

More than a quarter of Singapore's gross domestic product comes from the manufacturing industry, with the electronics sector contributing more than 50 percent of the total output.

The Lion City has started to develop the automotive supporting industry into one of international standing and hopes to double output to S$1 billion (US$659 million) by 2008. Singapore hopes to snare some of the market amid the bullish development of China's auto industry.

An annual growth rate of 25 percent in vehicle sales has increased the demand for auto parts, and the sector is likely to draw a revenue of US$161 billion by 2010, the China Association of Automobile Manufacturers said.

Source:佚名