欧宝体育

1. Introduction to the Project

1.1 Project background

1.1.1 Product introduction

Automobile wiring harness, as a key basic component of automobile, is ushering in the key development period of design and development, technological innovation and performance improvement. With the continuous expansion of automobile functions, especially the rapid development of automobile electrification, intelligent driving and Internet of Vehicles (IoV) technology, the wide application of electronic control technology leads to the rapid increase of the number of electronic components, and then the number of electric wires and the power consumption increase remarkably. At the same time, the domestic automobile wiring harness processing technology is continuously improving. As the largest consumer market for wiring harnesses and cables globally, China offers significant market potential for automotive manufacturers, automotive parts suppliers, and agricultural machinery producers.

1.1.2 Market prospect

(1) Status of Automobile Wiring Harness Assembly Market

The automobile wiring harness assembly forms the core part of the automobile circuit system, which ensures the connection between the electronic components and provides the necessary power support for the smooth operation of the automobile. With the rapid development of automobile industry, the automobile wiring harness assembly industry has also experienced rapid growth.

The automobile wiring harness constitutes the network framework of the automobile circuit. Without the wiring harness, the automobile circuit cannot be established. Currently, no matter the high-end luxury car model or the economic common car model, the composition form of the wiring harness is basically the same, mainly composed of wires, connecting plug-ins and insulating tape. Automotive wires, also known as low-voltage wires, differ from common household wires. Household wires are usually single strands of hard copper, while car wires are made up of strands of soft copper wire, which can even be as thin as hair, wrapped in plastic insulated tubes, such as polyvinyl chloride, that are soft and not easily broken. Due to the particularity of automobile industry, the production process of automobile wiring harness is also more complicated than other types of wiring harness. In terms of function, the wiring harness is mainly divided into two types: power line and signal line. The power line is mainly responsible for carrying the current required to drive the actuator, which is usually relatively thick; the signal line is responsible for transmitting the command signal from the sensor, and is usually a multi-core flexible copper wire. Distinguished from the application field, the wiring harness can be divided into front compartment wiring harness, engine wiring harness, instrument wiring harness, interior wiring harness, door wiring harness, roof wiring harness, trunk wiring harness, high-voltage wiring harness, etc.

With the continuous expansion of the global automobile market, especially the rapid development of new energy vehicles and intelligent connected vehicles, the demand for automobile wiring harness is experiencing explosive growth. Currently, the main cost components of automotive wiring harnesses are wires and connectors, which account for about two-thirds of the total cost. The current scale of the domestic automotive wiring harness market is approximately 62.8 billion yuan, and its long-term market potential is expected to reach 160 billion yuan, indicating the enormous growth potential of the market.

The development of the automobile wiring harness industry is closely related to the close cooperation between the upstream and downstream entities of the industrial chain. Currently, automobile wiring harness enterprises have established close cooperation relationship with automobile manufacturers and parts suppliers to jointly promote the development of automobile electrical system. At the same time, with the integration and optimization of the global automobile industry chain, the automobile wiring harness enterprises are also actively exploring the international market and participating in the global competition.

(2) Market Prospect Forecast of Automobile Wiring harness Assembly

2023 marks the vigorous development of China's new energy vehicle market, driven by government policy support, growing consumer demand, and the enhancement of automobile manufacturers' product capabilities. The production, sales, and market penetration of new energy vehicles all reached historic highs. According to the statistics of Shangpu Consulting Group, in the first half of 2023, China's new energy vehicle market achieved a retail sales volume of 2.6 million units, a year-on-year growth of 120%. By the end of June 2023, the number of new energy vehicles nationwide had reached 10.01 million, including 8.104 million pure electric vehicles, accounting for 81% of the total number of new energy vehicles. In terms of penetration rate, the market share of new energy vehicles in China jumped from 7% in 2020 to 26.7% in July 2023, accounting for more than a quarter of the market share.

The rapid development of new energy vehicles has generated significant demand for the wiring harness industry. Due to the structural characteristics of new energy vehicles, batteries are used as the primary energy source, so the demand for high-voltage wiring harness is more urgent. As a key component of electric vehicle power production, high-voltage wiring harness is an crucial factor affecting the performance and safety of electric vehicle. It is mainly responsible for providing high-voltage and strong-current power supply for new energy vehicles, and belongs to high-safety-level parts, has the characteristics of high voltage/large current, large wire diameter and the like, and is obviously different from a low-voltage wiring harness used in a traditional vehicle.

With the increasing popularity of new energy vehicles and advancements in autonomous driving technology, the automotive wiring harness industry is poised to face broader development opportunities. At the same time, with the continuous emergence of emerging technologies such as 5G and Internet of Things, the function of automobile wiring harness will be extended from traditional electrical connection to more fields such as data transmission and signal control, which opens up a broad market prospect for the further development of the industry.

With the development of automotive electronic technology and the improvement of consumer electronics integration, the per-vehicle demand for wiring harnesses is also steadily rising. From 1.5 kilometers in 2000 to 3 kilometers in 2010; After 2010, along with the evolution of the automobile electrical architecture towards intelligence, connectivity, and electrification, the per-vehicle demand for wiring harnesses is expected to continue to grow. By 2025, it is anticipated that the per-vehicle demand will reach 4.5 kilometers.

1.1.3 Technical analysis

The manufacturing process of the automobile wiring harness assembly mainly comprises the steps of wire processing, terminal crimping, connector assembly, sheath wrapping, mark printing and the like. Among them, wire processing and terminal crimping are key processes that require specialized equipment and procedures to ensure processing quality and efficiency. Connector assembly and sheath wrapping shall ensure reliable connection and adequate protection.

1.1.4 Advantageous conditions of project construction

(1) Policy advantages

The “Automotive Industry Adjustment and Revitalization Plan” has outlined requirements for improving the automotive supply chain and encourages automotive wiring harness companies to strengthen cooperation with automobile manufacturers to enhance product quality and technological levels.

The Jilin Provincial Government, through provincial key industry development guidance funds, has gradually expanded its financial support for the new energy vehicle industry, focusing on supporting the R&D and industrialization of new energy vehicle complete vehicles and core components. For projects with major breakthroughs in R&D and industrialization technology, financial support of up to 50% of the total R&D investment may be granted.

Jilin Province supports investment attraction in key links of the industry chain of new energy vehicles, and gives comprehensive support to well-known domestic and foreign enterprises in the same industry to invest and build factories and establish new companies in Jilin Province in the principle of “one enterprise, one policy”; The government supports the introduction of new energy vehicle R&D talents and teams. For key core technology research and development projects undertaken by these teams, priority will be given for inclusion in the provincial key industry development guidance funds annual plan to receive financial support.

(2) Industrial advantages

The automotive parts industry is one of the pillar industries of Yitong County. The main products include: Spun wheels, special-purpose wheels, military wheels, mining wheels, section steel wheels, silicone oil fan clutches, gasoline filters, air filters, diesel pre-filters, fuel filters, oil pressure relief valves, automotive interior components, electric power steering systems, automotive high-pressure hoses, rubber sealing components, automotive longitudinal rail, wheel hubs, brake drums, high-pressure fuel pumps, precision castings, transmission gears, and over 200 other varieties of automotive parts and components. These products fall under six main categories: body module, environmental module, steering and transmission module, driving module, braking module, and engine accessory system module.

As of now, Yitong County has 4 automotive parts enterprises above a designated size, namely: Jilin Rui Special Automotive Components Co., Ltd.; Yitong Manchu Autonomous County Lixin Automotive parts Factory; Jilin Yuxing Machinery Manufacturing Co., Ltd.; Jilin Yite Rubber Hose Co., Ltd. Leveraging the Yitong Economic Development Zone, the county plans to build an automotive parts industrial park to serve as an industrial support base for Changchun. The industrial layout will create a development space of “one park, one base,” aiming to become a satellite city of Changchun.

(3) Location advantages

Yitong Manchu Autonomous County, located in the south-central part of Jilin Province, is the nearest county to Changchun City. It is only 48 kilometers away from the urban area of Changchun and only a 30-minute drive. The county is 77 kilometers away from Changchun Longjia International Airport, about 1 hour drive. Yitong has a well-developed transportation network, including Fusong-Changbai Expressway, Changchun-Liaoyuan Expressway, Changchun-Meihekou Expressway and Changchun City Ring Highway. It serves as a key passage for 4 regions and 16 cities (counties) in the central and southern parts of Jilin Province to reach Changchun. In addition, the Yitong Section of Liaoyuan-Changchun Railway was completed and opened to traffic in 2016, ending Yitong's history of lacking a railway connection. The completed Yitong-Changchun first-grade highway has provided two new, smooth arterial routes for the transportation network, facilitating the urban integration between Yitong and Changchun. The surrounding infrastructure of the project construction site is well-established, with convenient transportation and relatively complete resource conditions required for production.

(4) Talent advantages

Siping is home to several universities, including Jilin Normal University, Boda College of Jilin Normal University, Jilin Engineering Vocational College, Siping Vocational College, and the newly established Hongzui Vocational Technological College, Jilin University Siping Medical College, and Siping Radio and Television University. Among them, Jilin Normal University is a key university in Jilin Province, with 16,302 full-time undergraduate students, 1,844 graduate students, 336 international students, and 15,131 adult education students. It trains thousands of higher-level professionals for society each year. Surrounding cities such as Changchun, Harbin, and Daqing are home to many universities, collectively offering more than 500,000 higher-level talents annually. These talents can provide technological support for project construction.

1.2 Contents and scale of project construction

It covers an area of 35,000 square meters and a construction area of 20,000 square meters. The project plans to produce 200,000 sets of automotive wiring harnesses annually, mainly involving the construction of factory buildings, a quality inspection center, administrative office buildings, employee dormitories, and other supporting facilities, as well as the purchase of production lines.

1.3. Total investment of the project and capital raising

The total investment of the project is 200 million yuan, including construction investment of 110 million yuan

1.4 Financial analysis and social evaluation

1.4.1 Main financial indexes

After the project reaches the production capacity, its annual sales income will be 140 million yuan, its profit will be 42 million yuan, its investment payback period will be 6 years (after the tax, including the construction period of 1 year) and its investment profit rate will be 20%.

Note: “10 thousand yuan” in the table is in RMB.

1.4.2 Social evaluation

The implementation of the project will create a large number of local employment opportunities, increase the income level of residents, and have a positive effect on improving the local economic situation. At the same time, the construction of the project will also promote the development of related industrial chains and further promote the prosperity of the regional economy. In addition, the project focuses on environmental protection and sustainable development, which is in line with national policy guidance, and also has positive significance in enhancing the level of local environmental protection and social responsibility.

1.5 Cooperative way

Sole proprietorship, joint venture and cooperation, etc.

1.6 What to be invested by the foreign party

Funds and other ways can be negotiated face to face.

1.7 Construction site of the project

Changchun-Yitong Area, Yitong Economic Development Zone, Jilin

1.8 Progress of the project

Project proposal has been prepared

2. Introduction to the Partner

2.1 Unit basic information

Name: Yitong Manchu Autonomous County Government

Address: No. 88, Zhonghua East Road, Yitong Town, Yitong Manchu Autonomous County

2.2 Unit overview

Yitong has a long history and profound culture. Yitong is one of the important birthplaces and residential areas of the Manchu people. In ancient times, it was called Yidun or Yitun, which is a transliteration from the Manchu language, derived from the Yitong River's name, meaning a vast and surging river. As early as more than 4,000 years ago, the ancestors of the Manchu people began to thrive here, creating the brilliant Manchu culture.

Yitong is a place blessed with exceptional talent. The region has produced numerous remarkable individuals. There were military generals, scholarly officials, and distinguished figures such as Ba Qilan, a founding hero of the Qing Dynasty, the famous anti-Russian general iktangga, and the Manchu poet Mu Mutian, all born here. Prominent generals and giants like Li Hongguang, Li Shichao, Ji Xingzhou, and Wang Minggui have also illuminated the skies with their brilliance. Yitong has obvious location advantages and well-developed transportation network. Yitong is the nearest county to Changchun, and it is also a vital passage for four regions and sixteen cities (counties) in the central and southern parts of Jilin Province on their way to the provincial capital. Fusong-Changbai Expressway, Changchun-Liaoyuan Expressway, Changchun-Meihekou Expressway pass through the border, Liaoyuan-Changchun railway was completed and opened to traffic, ending Yitong's history of lacking a railway connection. The intercity expressway from Changchun to Yitong has been completed, allowing Yitong to benefit from the radiation effect of Changchun. Yitong is rich in resources and cultural heritage. It is an important food, animal husbandry and forestry base in China. The region is endowed with abundant resources such as oil, natural gas, coal, and geothermal energy beneath the ground. Its unique volcanic geology has also created valuable mineral water resources. Yitong's green agricultural products, such as rice, deer products, wild vegetables, and free-range eggs, are well-known both inside and outside the province. Yitong Manchu Art Troupe has given brilliant performances at the Shanghai Expo and has appeared many times on CCTV screens. Cultural events such as the International Shaman Culture Festival, Volcano Tourism Festival, Er Ren Zhuan Art Festival, and Pearl Ball Invitational have showcased the region's beautiful folk culture to domestic and international visitors.

This is a fertile land that nurtures vitality; this is a land full of hope and opportunities. With large-scale construction, vast spaces, improved transportation, and active investment promotion, a magnificent chapter of economic and social development is being written. With the new normal, new vitality, new economy, and new image, a dynamic, ever-changing, and three-dimensional landscape of the Manchu countryside is unfolding. Here, the grass is green with spirit, and the water flows with rhythm; Here, the air is fresh and the scenery is picturesque; Here, the rural customs are simple, and people's lives are harmonious; Here, is the place known as the “Seven-Star Blessed Land,” the only Manchu Autonomous County in Jilin Province - Yitong.

Yitong is committed to the construction of both soft and hard environment, striving to create an investment environment where businesses can invest without concerns, construct without interference, and develop without obstacles. The county guarantees the shortest approval process, minimal fees, and the highest service quality, earning the title of the “three ‘no worries’ and five ‘best’ county.” Following the service philosophy of “strictly managing what must be managed, freeing what should be freed, and leaving what can be managed to the discretion of the parties,” the county ensures that wherever enterprises go or projects are built, services will follow. With good reputation, it has earned the trust of foreign businesses and investors, creating a strong atmosphere of being business-friendly, secure, and prosperous. The region's favorable resources and ecological conditions provide Yitong with a more relaxed, superior, and comfortable environment for entrepreneurial development. This has created an irresistible attraction, drawing keen attention from investors both within and outside the province. In recent years, nearly 100 enterprises such as Riyadh Energy, Jilin Oilfield Company, Changchun Yatai Group, Jilin Yitong International Logistics, Guangdong Wens Foodstuff Group, and Qingdao NESI, have settled in Yitong, all achieving significant returns. This is a land full of infinite business opportunities, an ancient yet youthful giant, accumulating strength and ready to unleash its power. With unprecedented vitality, it is extending its wide arms, embracing guests from all over the world with a heart that can accommodate all.

2.3 Contact method

Contact person of project unit: Yang Ming

Tel: +86-18643489888

Email: jlytswj@126.com

Contact method of the city (prefecture) where the project is located:

Contact unit: Siping City Economic Cooperation Bureau

Contact Person: Wen Dacheng

Tel: +86-434-3260536

Email: spjhjjhk@163.com