Wendy Zhang/ Shanghai Daily news

The Shanghai Automotive Industry Corp (SAIC) launched a subsidiary in Yantai specifically for the auto parts and service market, today's Laodong Daily reported.
With local policy advantages, the subsidiary will focus on the construction of auto parts facilities, property management of plants, cargo transport and maintenance.
"It can relieve some of the pressure currently on SAIC, and enables SAIC to focus more on manufacturing and marketing in a bid to increase its competitiveness," said an industry analyst, adding that the company is expected to have an improved system of production, sales, auto parts and services.
According to the development model for the international auto industry, the ratio between car sales and the maintenance market is 2:8, showing that the gigantic maintenance market is enough to support the growth of the whole auto industry, the analyst pointed out.
Overseas automakers have already recognized this point. General Motors has developed entertainment consoles specifically for its own vehicles, and the Mazda Motor Corporation announced price cuts of 40 percent for its auto parts.