Agence France-Presse
\nSingapore<\/p>\n
German industrial giant Robert Bosch GmbH is accelerating into
\nthe Asia-Pacific automotive parts market amid rapidly growing
\ndemand for cars in China, India and other key countries.<\/p>\n
Its automotive after-market division is aiming to increase its
\nbusiness turnover in the region by 30-40 percent in four years.
\nThe division now has an annual revenue of US$500 million from the
\nAsia-Pacific area.<\/p>\n
Bosch also wants to increase its slice of the Asia-Pacific pie
\nfrom seven percent in 2002 to at least 10 percent in seven years'
\ntime.<\/p>\n
Global demand for automotive after-market products is
\nprojected to exceed $130 billion by 2007, according to Bosch
\nsenior officials.<\/p>\n
The after-market industry encompasses everything that happens
\nafter the sale of a vehicle, with Bosch specializing in products
\nsuch as spark plugs and windscreen wipers.<\/p>\n
\"We are now making an extra push to intensify our efforts,\"
\nBosch's vice president for regional automotive after-market
\nsales, Odd Joergenrud, told AFP in an interview.<\/p>\n
\"It's not like we are starting now but what we are actually
\ndoing now is to concentrate our efforts stronger in the region
\nand put more focus in our strategy and the way we want to
\nproceed.\"<\/p>\n
To spearhead its push into Asia, Bosch announced last week it
\nwill set up a regional automotive operation in Singapore.<\/p>\n
The growth strategy also involves expanding its network of car
\nservice centers in the region from 2,000 last year to 3,000 in
\n2006.<\/p>\n
\"Asia is, in the automotive after-market, a growing market,
\nand a relatively fast-growing market,\" said Eugen Konrad,
\npresident of Bosch's automotive after-market division.<\/p>\n
Regional demand is projected to grow between three and four
\npercent in the coming years, above the world's average of 1.7-1.8
\npercent, Konrad said.<\/p>\n
\"It sounds very very low but normally the after-market is not
\ngrowing very fast,\" Konrad said.<\/p>\n
\"If you go to Europe, it's one percent... if you go to
\nAmerica, its flat. So Asia is growing between three and four
\npercent and if you go into some countries like China, it's even
\nfaster growing, so it's worthwhile to come over,\" he said.<\/p>\n
Exciting markets on Bosch's Asian radar screen include
\nThailand, Indonesia and South Korea with China and India seen as
\nparticularly attractive because of their big populations, Bosch
\nsaid.<\/p>\n
Bosch wants its Asian business to grow twice as fast as the
\npace predicted for the region.<\/p>\n
\"We want to grow double as fast as the market so our growth
\ntarget will be in the range of 7-8 percent... that is what we are
\naiming at,\" Joergenrud said.<\/p>\n
Headquartered near Stuttgart, Bosch is one of Germany's
\nlargest industrial firms and the world's second largest supplier
\nof automotive technology with the division generating sales of
\n23.3 billion euros (US$26.63 billion in 2002, almost 70 percent
\nof the company's total turnover of 35 billion euros.<\/p>\n
It is well established in Europe but there is still some
\ncatching up in Asia where Japan's Denso Corp. is undoubtedly the
\nmarket leader, Bosch conceded.<\/p>",
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