Aptiv Targets 50% Business Growth in China with NEV Sector Focus
Aptiv, a leading automotive parts manufacturer, has set an ambitious goal to grow its business in China by 50 percent over the next five years, driven primarily by the increasing demand in the new energy vehicle (NEV) sector. The company aims to capitalize on China's rapid shift towards safety, environmental sustainability, and connectivity in the automotive industry.
In 2023, Aptiv's sales in China saw a 12 percent increase, with the Asia-Pacific region, including China, contributing 28 percent to the company’s global net sales. Xu Xiaoying, Operation Director of Connection Systems Asia and Plant Manager of Aptiv, emphasized the company's commitment to accelerating its localization strategy in China. Aptiv plans to increase its partnerships with Chinese brands, aiming to make these partnerships account for 70 percent of its overall operations.
To support this growth, Aptiv has established its largest global connector manufacturing and R&D base in Shanghai at Aptiv Central Electric (Shanghai) Co. This facility is the world’s second-largest supplier of automotive connectors, underscoring the company's strategic investment in the region.
Aptiv is pioneering an intelligent factory for automotive connectors, leveraging advanced technologies such as artificial intelligence and human-machine collaborative manufacturing. By developing and designing core equipment, high-precision molds, and intelligent scheduling systems, Aptiv has automated its assembly operations, introduced unmanned injection molding, and implemented intelligent three-dimensional warehousing and optimized in-plant logistics.
These technological advancements are powered by big data, enabling Aptiv to create a digital full-chain traceability system that spans the entire product life cycle—from design and R&D to material input, production, quality inspection, and logistics. This comprehensive approach has reduced product development cycles by 26 percent and cut operating costs by 30 percent.
Aptiv’s strategic expansion in the NEV sector includes building a high-voltage connector factory to cater to the growing NEV market. This move aligns with China’s increasing emphasis on environmental sustainability and positions Aptiv to play a crucial role in the country’s automotive evolution.
As Aptiv continues to innovate and expand its presence in China, the company is well-positioned to meet the rising demand for NEVs and contribute to the future of sustainable automotive solutions.