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One in Four Electric Relays Worldwide Are Made in China

2008/09/24 | By Philip Liu

China is now a leading electrical relay supplier globally, turning out 3.5 billion relays in 2006, 25.3% of the world's output, with automotive relays being a staple of the industry.

Basically a relay is an electrical switch that opens and closes under the control of another electrical circuit.

Like many of the sectors that supply the hundreds of parts that make up a car, the relay sector in China has also been achieving relatively rapid growth alongside its car-making and IT (information technology) industries. Though per-capita private car ownership in China still lags far behind that in industrialized nations, the huge population in China and its rising level of affluence poise the nation as the world's biggest car market in the future. The China Association of Automobile Manufacturers data show that China turned out 8.88 million vehicles in 2007, a number expected to top 10 million in 2008.

The annual production volume of automotive relays reached around 3. 5 billion units in 2006. (Photo courtesy of Ruian City Zhongshen Electrical Equipment Co., Ltd.)
The annual production volume of automotive relays reached around 3. 5 billion units in 2006. (Photo courtesy of Ruian City Zhongshen Electrical Equipment Co., Ltd.)

Automotive relays are used mainly in passenger cars, including sedans, MPVs (multi-purpose vehicle), and SUVs (sport-utility vehicle), averaging 15 relays for each car and 25 relays for some high-end models, compared with seven for trucks and 20 for buses.

Accordingly the output from the Chinese auto relay sector has been growing leaps and bounds on the back of its buoyant car-making industry in recent year: expected to top 650 million units by 2010, 14.4% of all the relays made in China, up from 137 million units in 2007, including 120 million for the OEM (original equipment manufacturer) segment and 17 million for the aftermarket.

Booming automotive industry in China has fueled strong growth of the  automotive-relay sector. (Photo courtesy of Zhejiang Aborn Auto parts Mfg. Co., Ltd.)
Booming automotive industry in China has fueled strong growth of the automotive-relay sector. (Photo courtesy of Zhejiang Aborn Auto parts Mfg. Co., Ltd.)

China is now home to over 100 automotive relay manufacturers, many of which boast automated production to achieve economy of scale. Some homegrown brands have even carved out solid niches in the international market, thanks to wielding advantages such as low production cost and globally-sensitive marketing initiatives. A handful of notable, major manufacturers in the line are profiled below.

Xiamen Hongfa Electroacoustic Co., Ltd.

Founded in 1984, the company is China's largest relay manufacturer, with annual output reaching 700 million units, whose automotive relays have been supplied to GM, Ford, FIAT, SAIC, and Chery on an OEM basis.

Shanghai Hugong Auto-Electric Co., Ltd.

With its inception in 1997, the company is an OEM supplier to Shanghai Volkswagen Automotive Co., Ltd., China FAW Group Corporation, and some other automakers. In addition to auto relays, the company also produces switches, auto controllers, and actuators for sedans, trucks, small passenger cars, and light-duty cars.

Guizhou Tianyi Electrical Limited Company

Affiliated with China Aviation Industry Corp., the company has a staff of 1,880 who turn out mostly aviation relays, auto and motorcycle parts.

With cost advantages and flexible distribution channels, China`s homegrown automotive relay products have been enjoying rapid sales expansion. (Photo courtesy of Ningbo Yinzhou Yonglin Electron Electrical Equipment Co., Ltd.)
With cost advantages and flexible distribution channels, China`s homegrown automotive relay products have been enjoying rapid sales expansion. (Photo courtesy of Ningbo Yinzhou Yonglin Electron Electrical Equipment Co., Ltd.)