Barriers And Measures On Strengthening The Independent Innovation Of Domestic Automotive Industry

The automotive industry is a heavy industry which relates highly to other industries and influences the domestic economics significantly. Because of this, our nation has made the plan of developing the automotive industry since the PRC was founded. However, half a century passed while there still exists a number of problems in our automotive industry. The most urgent of all are the low ability of independent innovation and thereby the lack of core competitive power.Considering the long-term sustainable development of our country, our nation has treated strengthening the independent innovation as a national strategy. The author regards fostering the ability of independent innovation and the establishment of realizing the core competitive power as an inevitable way of expanding domestic automotive industry.The article describes the developing process of the domestic automotive industry from the views of formation of the ability of R&D, especially the three main stages since the PRC was founded. The problem of implementing independent innovation of domestic automotive industry are described after analyzing the data of the three stages, which reflects the severe absent of independent innovation.This article analyses the strategies which the domestic automotive industry should taken on independent innovation from the aspect of the government, of the industry and of the automotive companies, associated with the current situation of domestic automotive industry.As for the solutions of this problem, strategic trade policy on the domestic automotive industry should be performed based on the requirement of the WTO and its feasibility is also validated. R&D subsidy and proper tariff protection is the primary policy which should be implemented.