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China's Auto Industry: Develop Through The Wind And Rain
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China's first vehicle, a Jiefang
truck rolled off FAW's assembly line in 1956
| In any country, the auto industry is an
industry that is highly linked to other industries and as such, has great
hearings on the whole national economy; China's auto industry is no exception
Experiencing more than 50 years of trials and hardship, China's auto
industry, which has made a great achievement, has become a pillar industry for
the country.
In general, China's auto industry has so far experienced two development
stages, and now it has graduated onto the third stage.
Construction Period: Born in the Poor and Undeveloped
Situation
The country's auto industry construction period lasted from 1953 to 1978.
China's auto industry began in 1953, when the First Automobile Works (FAW)
was set up in Changchun City of Northeast China's Jilin
Province. The first vehicle, a Jiefang (Chinese for liberation) truck named
by Mao Zedong, rolled off FAW's assembly line in 1956. During this period, the
development of Chinese automobiles was smooth. The total output of the national
automobile rose from 61 in 1955 to 22,574 by 1960.
However, affected by factors such as the "great leap forward" (a Chinese
economic plan aimed at revitalizing all sectors of the economy, initiated by Mao
Zedong, and which emphasized decentralized, labor-intensive industrialization),
natural calamity, and the "Culture Revolution," the Chinese auto industry rose
and fell indefinitely. In 1966, the total output of motor vehicles exceeded only
50,000.
Developing Period: See the Dawn
With the dawning of the reform and opening up, there
were some big changes in China's auto industry. In 1984, the question of
absorbing foreign investment and producing with foreigner partners was pushed to
the forefront.
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