SAIC MOTOR(SH:600104) 晚点LatePost·2025-05-22 05:45Core Viewpoint - SAIC Group is undergoing an internal integration of its parts system, aiming to reduce the conflict between vehicle manufacturers and parts suppliers, and enhance collaboration through a more integrated approach [2][3][8]. Group 1: Integration Strategy - SAIC is restructuring its parts companies into two main entities: "Upper Body" led by Yanfeng and "Lower Body" which is a new chassis company under preparation [3][6]. - The integration focuses on "whole-zero synergy," enhancing project communication beyond the typical client-supplier relationship [4][6]. - The new chassis company will integrate several subsidiaries, including Shanghai Huizhong and Lianchuang Automotive Electronics, with the aim of establishing a smart chassis architecture [6]. Group 2: Business Model and Technology - The "Lingxi Digital Chassis," developed by SAIC's R&D institute, incorporates advanced technologies like rear-wheel steering and electronic suspension, which are currently rare in the 200,000 to 300,000 yuan price range [7]. - SAIC aims to leverage its extensive experience and mature parts industry to enhance the competitiveness of its brands, while also sharing R&D costs through increased adoption of the smart chassis [7]. Group 3: Financial Performance and Market Position - Despite having a robust parts system, SAIC's automotive business reported a gross margin of only 3.86% last year, compared to 17.91% for its parts business, while BYD achieved a gross margin of 22.31% through vertical integration [7]. - The automotive industry is entering a phase of consolidation, with companies like Geely and BYD also pursuing integration strategies to streamline operations and enhance technological capabilities [8].