Increasing localization for sustainable development in China
- Strong growth: sales of Mobility Solutions in China grew 25 percent year on year to 82.9 billion RMB (10.9 billion Euro) in 2017
- Sustainable localization: 23 automotive manufacturing locations in China
- New division: Connected Mobility Solutions meet the increasing demands in the domestic market for digital mobility service
Bosch is transforming driving with connected services to make mobility more flexible and less stressful. The leading global supplier of technology and services is highlighting its connected mobility solutions at Auto China 2018. Together with its comprehensive range of solutions for electrification and automation, the company aims to reshape the future of mobility in China. “China’s automotive industry is in a phase of fast-paced development. Smart connected mobility and automated driving are on track to becoming part of our daily lives,” said Dr. Rolf Bulander, member of the board of management of Robert Bosch GmbH and chairman of the Mobility Solutions business sector.
China’s automotive industry is in a phase of fast-paced development. Smart connected mobility and automated driving are on track to becoming part of our daily lives – said Dr. Rolf Bulander, member of the board of management of Robert Bosch GmbH and chairman of the Mobility Solutions business sector.
Sales growth of Bosch Mobility Solutions in China outstrips domestic auto production
Sales of Bosch‘s Mobility Solutions in China surged 25 percent year on year to 11 billion Euro (82.9 billion RMB) in 2017 – a growth rate far higher than that of domestic auto production and sales. To achieve this result, Bosch’s focuses on a strong localization strategy in China and provides a comprehensive range of solutions tailor-made for the local market. Rising demands for commercial and new energy vehicles have also been central to fueling this growth. Furthermore, the expansion of Bosch’s driver assistance system business has been particularly strong in favor of the rapid introduction of automated driving in local markets.
Sustained investment in China and advancements in manufacturing capabilities through R&D efforts have laid a solid basis for Bosch’s stable and long-term growth. As testament to this, by the end of 2017, the Mobility Solutions division already had 23 automotive manufacturing locations in China. In May this year, the new plant of the Car Multimedia unit in Wuhu, which will produce infotainment systems, will commence operations. Then the first Bosch iBooster production base in the Asia Pacific will officially start production in Nanjing in November, helping to meet China’s growing demand for electrified and automated driving solutions. The second phase of the Automotive Electronics plant in Wujin, Changzhou, will also be completed this year, marking a total investment in the facility of 800 million RMB. Partnerships with local companies are also being strengthened with United Automotive Electronic Systems Co., Ltd., a joint venture between Bosch and Zhong-Lian Automotive Electronics, scheduled to complete construction of new plants in Taicang and Liuzhou in April and June, respectively. The company mainly produces injection system and control units for cars.
New division for connected mobility services
As the government rolls out its nationwide smart connected driving strategy and given the young average age of car buyers in China, the demand for smart vehicles is rising. The explosion in the number of mobile internet users has also accelerated the pace at which the Chinese market for Internet-connected vehicles has grown. In addressing these trends, at the start of this year, Bosch established a new global Connected Mobility Solutions division to meet the increasingly diversified requirements for connected mobility services. China is a strategic market for growth for the new entity. “Bosch realized early on that internet-connected driving is an important growth area and besides providing a real-time connection between vehicles, users, and the internet, we are also looking at offering digital services that make mobility stress-free and enjoyable,” said Dr. Bulander. Building on Bosch’s wealth of experience and proven accomplishments in the fields of vehicle technology and mobility, the new division will expand mobility options that are more suited to China’s current driving conditions. This will include smart parking solutions, predictive diagnostics based on deep data mining, as well as advanced fleet management systems.
Innovation also in electrification and automation
Connected mobility is just one potential field of growth for Bosch in China, however. At China Auto Show, the company is presenting complete powertrain solutions to demonstrate a one-stop solution in the field of electrification. With an energy-saving and efficient intelligent thermal management system, a vehicle’s heat flow can be effectively managed, extending the range of an electric vehicle and ensuring comfort of the driver and passengers. Bosch’s latest powertrain solution innovatively integrates the motor, power and transmission components into a compact unit that directly drives the car’s axle – the eAxle. Bosch sells this electric axle drive to a wide range of customers – to established automakers and start-ups alike. Here, Bosch customers also benefit from the company’s global research and engineering network. The latter allows the company to carry out projects in China flexibly and close to its customers. Bosch driver assistance systems have already been installed in cars made by 24 Chinese auto brands. These are paving the way for automated driving in China. Bosch’s automated driving team in China continues to work actively with a number of domestic automakers on Level 2 automated technology.
