Automotive paint and auto parts are still Japan's monopoly core technology

Some media revealed that an unexpected discovery of the earthquake in Japan was that Japanese companies had a high level of monopoly on key raw materials and components in the upstream. At present, on the three key components of electronic control components, electronic control modules, and automatic transmissions, the world is almost monopolized by Japan. Both Japanese cars and European and American cars rely heavily on Japanese manufacturing.

For automotive paints, for example, Ford Motor Company stated that a paint material called “Xirallic” has always been supplied by a Japanese supplier, which is an important component of black and red paint. Due to the tight supply of paint, Ford has restricted the booking of large pickup trucks with a tuxedo black color and will reduce the use of red paint.

In view of Japan’s monopoly of auto parts and auto paint core technologies, a recent media article stated: “The transfer of Japanese manufacturing to China has accelerated and is different from the past. It has been considered by Japan to be a highly confidential and closed core technology. Part of it will be transferred to China.” Some people even think that this time Japan’s industrial transfer will be an advantageous external factor that will promote the optimization and upgrading of China’s industrial structure.