Comming soon
Auto China 2014
G4 speech_Auto Shanghai 2015
Driven by ideas for mobility solutions in China – Connectivity, Automation and Electrification
Ladies and gentlemen,
When the 1st Auto Shanghai was held 30 years ago, probably no one had expected that the world of mobility would become such increasingly connected, automated and electrified.
As we see it, such trends of future mobility will bring multitude of benefits for drivers, making mobility safer, cleaner, more economical, easier to use and even with more fun. Standing at the forefront of innovations in all of these domains, Bosch is helping shape the future of mobility.
Leading supplier of integrated solutions for mobility of future
In recent years, by combining expertise in hardware and software in all of these fields, Bosch has developed innovative solutions that go beyond automotive technology to enable new offerings in mobility segment, including two-wheelers, smart transportation infrastructure, off-highway applications, fleet management, shipping, rail transportation and more.
One example is the locally tailored eScooter motor and control system, which ensures not only a high performance of eScooter, but also a maximum riding enjoyment for our Chinese customers. Another example is the smart charging solution for electric vehicles – a software solution developed by Bosch Software Innovation, the Bosch software and systems unit. It makes electric vehicles significantly easier to serve the charge spot and pay for the electricity. In the form of Bosch IoT Suite, it provides all Bosch divisions, as well as external customers, with a versatile software platform for the internet of things. As these examples show, Bosch no longer sees itself solely as a supplier of automotive components, but will in the future be offering its customers integrated mobility solutions.
A bright future of Bosch mobility solutions in China
In so doing, we will be also benefiting our own business. At the moment, our Mobility Solutions business sector – formerly Automotive Technology – is developing particularly fast. In 2014, its global operative sales grew by 9 percent – more than twice as fast as the market. For this success story, China remains a main driver. This country is now the largest automotive market worldwide for the 6th consecutive year, with more than 23 million vehicles produced and sold last year. This number will reach 25 million in 2015, according to a report from China Association of Automobile Manufacturers.
Over the past five years, Bosch's sales of mobility sector in China have grown more than doubled, reaching 42.8 billion RMB in 2014. That means on average, our sales grew each year by 21 percent, or nearly 7 percent faster than domestic vehicle production, which saw an annual growth of 14 percent in recent five years. In other words, there are ever more Bosch components in each car built in China. And this trend is showing no signs of slowing.
Deepening localization strategy in China
Dedicated to the sustainable development of Chinese automotive industry, we are continuously localizing the whole value chain here, from manufacturing, development to aftermarket service network
By 2014, we already established two automotive testing tracks and 26 automotive manufacturing locations across the country, of which 12 are also technical centers conducting research and engineering. In 2014, we opened two new locations in China, namely in Shanghai [Schan Hai] and Wuhan [Wu Heng]. This year will be adding another two locations, one in Wuxi [Wu Schi] and the other in Qingdao [Tsing Dao], both of which will focus on developing and manufacturing powertrain and exhaust-gas treatment technologies.
In addition, our new franchise system for Bosch Car Service in China was also successfully launched last year, aiming to offer one-stop professional and quality services to Chinese drivers across multiple car brands and models. Over 1,000 Bosch franchised workshops are planned to be established within next three years.
As for research and development, "local for local" is not the end of the story – we are also developing "local for global". In other words, we are exporting ever more mobility technologies developed in China around the world. Our lubricated common-rail pumps, which are robust even in the event of lower-grade fuel quality, are a strong example. We developed this product in China, for China, but also being marketed in Russia and India.
Bosch playing an active role in shaping the connected world
Currently, the "connected world" is already large and dynamic where smartphones and vehicles are concerned in China. In line with it, the field of telematics is developing particularly quickly here. According to a recent report from the Global System for Mobile Communications Assembly (GSMA), the Chinese telematics business is expected to reach 500 billion RMB in sales by 2016 – ten times more than in 2012.
Then, it leads to our first our strategic objective of mobility solutions senctor: Connectivity. For many years, Bosch has been preparing itself systematically to create solutions for a connective world, in particular in the field of mobility. On its path to the connected world, Bosch is linking its expertise in the "world of things" and the "world of software" as a comphrehensive system provider of connected solutions, including:
- sensors that measure multiple data of mobility;
- connectivity control unit - a box that connects vehicle electronics with external servers via data communication, realizing various connected solutions such as emergency call, fleet management, predictive navigation and more;
- as well as basic software platforms that incorporate our broad systems knowledge and intelligence, and forming the basis for various services
For example, in the field of automotive aftermarket, digital communication and data networking are playing an increasingly important role in repair shops. The repair shop of the future will be able to continuously monitor the status of customers' vehicles and recommend a repair in advance. In addition, parts can be ordered and employees' work time can be better organized. Once a customer arrives for a service appointment, Bosch's flex inspect component automatically reads the fault memory and checks car parts. A pilot project of it has been launched in a "Bosch owned and operated workshop" recently in Beijing.
Alliances involving different companies are another important driver of connected solutions. Joint projects and "eco-systems" need uniform standards and open platforms as a basis. Since only then, there can be fully compatible solutions to deliver the greatest benefit for customers and consumers in this connected world.
Automated driving promises enhanced safety in future mobility
Another big challenge in China – like around the world – is the increasing demand for traffic safety. At Bosch, accident prevention has always been the driving force behind our development of safety technology, such as our groundbreaking ABS and ESP. Based on recent data from the China In-Depth Accident Study (CIDAS), ESP can prevent up to 80 percent of all skidding accidents on highways in China. In order to save the maximum number of lives, we want to see ABS and ESP become standard.
Besides active safety technologies, driver assistance systems represent important first steps of future automated driving, which will eventually achieve our vision of accident-free mobility. That is why we are continuously investing in developing a variety of sensors that enable sophisticated driver assistance systems. For example, ultrasonic sensors and near-range cameras enable automated parking. Meanwhile, radar sensors and mono and stereo video cameras enable cutting-edge driver assistance functions, such as predictive emergency braking, which can prevent up to 70 percent of all rear-end accidents resulting in injuries or fatalities; as well as traffic jam assist, which can automatically control movements of the vehicle in congested traffic, enabling an easy driving.
With the completion of the full acquisition of ZF Lenksysteme early this year, the company changes to a new name of "Bosch Steering GmbH", and with it, our competencies for the developing automated driving functions are further widened. This is particularly true in China, with the seven automotive locations of Bosch Steering across the country.
Mobility will continue to become ever more electrified
Last but not least, our innovations are also driven by our desire to conserve resources as well as to contribute to maintaining a clean, healthy environment. China, in particular, is grappling with serious air pollution, which the government is trying to tackle through legislation such as the China-4 emissions standard for diesel vehicles implemented early this year. As a unique company offering expertise across all domains of powertrain solutions, Bosch is dedicated to the reduction of air pollution as well as improving fuel consumption in mobility sector, both globally and locally.
A particular focus of ours is on refining solutions for clean and fuel-efficient internal combustion engines. With the full spectrum of solutions including optimized port-fuel injection, sophisticated direct injection for gasoline and diesel, turbocharging, as well as transmission control and systems applications, we can help vehicle manufacturers achieve the fuel-efficiency targets for passenger cars, namely 5.0 liters by 2020. Even on the basis of 2012 best-in-class powertrains, we see the potential for a further 20-percent savings in fuel economy for conventionally-powered cars.
However, for stricter emission targets and fuel-consumption standards coming up, electrification will play an increasingly important role in the future of mobility. Where e-mobility is concerned, Bosch offers a wide range of components, covering solutions for e-bikes and e-scooters, through mild and plug-in hybrids, all the way to fully-electric powertrains.
As an enhanced version of start-stop system, our boost recuperation system (BRS) represents one of innovative hybrid soltuions. The system combines four efficient functions - recuperation, boosting, start-stop and coasting, which can lower a vehicle's fuel consumption and CO2 emissions up to 15%. With hybrid powertrains, engines is enabled to consume significantly less fuel and be even cleaner. And the additional torque from the electric motor will add to driving enjoyment, bringing combustion engines to new heights.
Batteries remain another key technology for enabling the further electrification of vehicles. With the establishment of the new joint venture with our two Japanese partners, we are engaged in developing next-generation lithium-ion battery technology, which aims to deliver twice as much energy density for half the present cost. In China, a team of 60 associates based in Suzhou are working on developing and manufacturing cutting-edge battery technologies. With their efforts, the pilot project – battery systems for a plug-in hybrid premium business sedan - was officially launched in the Chinese market in this January.
Closing
This has been a very brief overview of some of the new ground we're breaking in mobility solutions at Bosch. The three main lines of mobility development – connectivity, automation, and electrification – all converge at the ultimate goal of improving quality of life. We believe that pursuing them will not only lead to growth opportunities, but tangible, everyday benefits for drivers and society. As one of the leading suppliers in all of three domains, Bosch will be dedicated to shaping a better future of mobility both in China and worldwide.
Thank you, ladies and gentlemen, for your attention. Now, let's open the floor to your questions.
Contacts
Yinguang Yuan
Phone: +86 21 2218-1370
Email:yinguang.yuan@cn.bosch.com