On August 4, the Beijing Municipal Development and Reform Commission stated in a notice that Beijing will promote the development of the city’s automotive electronics industry by focusing on supporting the form of automotive electronics companies, and establish a production system for the automotive electronics industry in about three years. The notice required qualified automotive electronics companies to declare their projects to the Beijing Municipal Development and Reform Commission within one month in order to obtain funding and policy support. The key support of the automotive electronics industry projects include engine electronic control systems, chassis electronic control systems, automotive information systems and other hardware and the above-mentioned hardware matching embedded software systems. The relevant departments in Beijing plan to use the time of about three years to form a larger scale of production, increase the technological level of automotive electronics companies, and increase the position and share of Beijing enterprises in the national and even global markets. According to reports, leading enterprises with a registered capital of more than 10 million yuan (more than 2 million yuan in software companies) and a certain amount of output value and market share will be the key support enterprises. Compared with foreign countries, the application level of China's automotive electronics products is still lagging behind, with great potential and space for development. In 2003, the average global automobile electronic expenditure for each new car reached US$2,025, which accounted for approximately 26.2% of the total vehicle cost. In the same period, China’s average automobile electronic expenditure for each new car was only US$885, accounting for approximately 4.8% of the entire vehicle. Source: Automotive Weekly
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