Innovation and cooperation are the key to success. The future of automobile and automotive part industry lies in integration between different fields and cross-industry collaboration. Facing the new era of automobile industry transformation and upgrading, BHAP is embracing reforms actively, and speeding up “five major transformations” in terms of product, market, partner, talent & team, and business model. While building on its independent innovation capabilities, BHAP join hands with global automobile OEMs and automotive part partners to deepen cooperation in different links of the industrial chain and sharing of information, resources, and channels. New cooperation patterns of diverse forms have been developed so far, and marked achievements of high-quality development have been achieved.
In 2020 Global Top 100 Automotive Part Suppliers published by Automotive News, the position of BHAP was further improved, ranking No. 57 in this list and No. 2 among all Chinese enterprises included. Amid the general industrial downturn and the pandemic, BHAP marched against the trend and performed outstandingly, earning a consolidated operating income of RMB 20.6 billion with a YoY increase exceeding 14% and a yearly profit increase of more than 40%, and ranking among the fastest-growing automotive part groups across the globe.
While pushing its business in the directions of high-added-value products, high-tech products, four new modernizations, integration, and modularization, BHAP is reinforcing construction of its core product chain and development of future-oriented technologies, and improving its two-level R&D system as well. In 2020, the company has applied for over 130 new patents, possessing more than 1500 authorized patents in total. The company now runs 24 national high-tech subsidiaries, 9 national, provincial, or municipal enterprise technical centers, and 7 CNAS certified laboratories. Independent innovation capabilities have been growing at a fast pace in terms of key technical breakthroughs and core product applications.
With a constantly open and inclusive stance, BHAP is committed to collaboration with industrial chain partners. Such efforts are intended to deepen cooperation, facilitate joint innovation, and realize construction of platforms for sharing of global automobile and automotive part resources together with industrial chain partners. Based on a cooperation agreement with Fujian Xiangxin Company Limited in 2020, BHAP increased its capital shares in Fujian Xiangxin New Energy. Following optimization of industrial layout for special aluminum alloy products, BHAP introduced lightweight products with favorable costs and leading technologies to customers worldwide. A cooperation agreement with EA Group allows it to integrate resources related to wheel assembly, chassis, and vehicle body, as a way to achieve win-win development at deeper levels. BHAP is upgrading existing cooperation with global partners in terms of capital, markets, and channels, aiming to further expand China and global markets and achieve deeper co-development.
Resource integration, cooperation and sharing mechanisms lay a solid foundation for a great future of co-development. With trust and support from automobile manufacturer customers, BHAP works closely with global partners, and has made remarkable achievements of high-quality development in 2020. Some projects for key models have been established with domestic and foreign customers regarding products like roof, sub-frame, piston, and wheel assembly. The automotive electronics products of BHAP have been accepted by world-renowned customers in new energy industry, and corresponding cooperation projects have been started as good examples for future growth. Key achievements have been made in R&D and application of three-in-one electric drive, intelligent vehicle light, intelligent roof system, new piston in line with National VI standard, and fully plastic tail door. There have been great efforts in improving strategic communication and coordination with major global customer groups for market exploration. In 2020, the business in support of high-end customers has grown significantly, and that regarding commercial vehicles went up by over 19%.
By taking advantage of its global business footprint and diverse resources, BHAP is organizing its business activities systematically. With “five major business blocks” and “ten major systems” at the center, BHAP is reinforcing construction of its global management system. BHAP has made concrete moves to reduce the impact of the pandemic on its operations. By optimizing its global management architecture, BHAP is boosting project management and production operation capabilities comprehensively. Through automated, information-based, and refined management, the pressure of costs and expenditures has been significantly relieved, thus creating a solid foundation for successful accomplishment of annual targets and high-quality development.
Make every car and each trip enjoyable! BHAP will seek resource integration and win-win development together with global automotive part partners and other players in the industrial chain. BHAP make its best effort in close collaboration and coordinated innovation with automobile manufacturers, assist them with top-grade components and services, and win wide customer support and recognition with the best products and technologies. BHAP will march steadily towards the vision of becoming a systematized automotive core parts solution provider with global influence.