China Sourcing Reports
Car MP3 Players
China is home to over 50 manufacturers responsible for producing more than half of the world’s supply of car MP3 players and FM transmitters.
As demand for in-car audio products continues to skyrocket, makers are ramping up their production capacities and are coming out with better quality models with sleeker designs.
Portable Digital Devices
China remains the undisputed sourcing hub for portable digital devices. Suppliers continue to develop innovative and feature-packed products in response to consumer demand.
Makers are also planning to reduce their prices to stimulate demand and penetrate new markets.
Bicycles
China’s bicycle exports consist mostly of mountain, BMX, city and children’s bikes. Models for professional racing are also available, but output remains low due to the highly technical specifications and requirements these entail.
The country exported US$2.6 billion worth of non-electric bicycles in 2008, an increase of 18 percent over the previous year. Overseas shipments in terms of volume, however, dropped by 4 percent to 57 million units.
Automotive Parts
China’s automotive parts industry will continue to rely on the repair and replacement sector to drive exports in the year ahead as orders from the beleaguered vehicle assembly segment continue to drop.
Up until late 2008, some suppliers were actively pursuing OE contracts with carmakers, an arrangement that would enable the former to offer products at prices 20 percent higher than replacement models.
