From huge loss to "champion": China National Heavy Duty Firefighters four doors


There is a beautiful place 25 kilometers away from Jinan, named Zhangqiu, and there is a sacred place in Qingquan, which is named as Baimai Spring because of its many springs. In mid-June, the reporter drove from Jinan to Zhangqiu. Many construction sites were seen all the way under construction. With a busy scene, China National Heavy Duty Truck's "heart" - Jinan Power Company was located in the Zhangqiu Mingshui Economic Development Zone.

In the assembly workshop of Jinan Power, the reporter saw the roar of one side of the machine, while the other side was dusty, and the blue channel was even glamorous. All visitors were required to put on shoe covers. On the piston and connecting rod assembly line, the young Li Xusheng told reporters that he had to complete the piston assembly of more than 90 engines per day; Wang Xiaokun of the upper protection process said that sometimes there are more than 100 units per day, even on weekends. To work overtime... During the interview, all the employees the reporter saw were full of energy. When talking about income, most of them smiled and nodded. “Not bad.”

Whatever you see, it is difficult to connect with a company that once suffered a huge loss of more than 9 billion yuan on the verge of bankruptcy. In 2005, under the situation that the national heavy truck market was down by 36%, China National Heavy Duty Truck achieved 45,000 sales and sales, and its sales revenue was 23 billion yuan. It also won the first heavy truck sales of over 300 horsepower, and the first heavy truck sales, equipment. More than 10 liters of engine weight sales in the first three titles. In September 2005, the market share of heavy trucks increased from 4% before reorganization to 28%, regaining the throne of the heavy-duty truck industry that has long been abandoned.

Bankruptcy to the industry champion, what exactly is there? Facing the increasingly fiercely competitive market, during the “Eleventh Five-Year Plan” period, will China National Heavy Duty Truck continue its glory?

Storm course

“Without the ambitions of Ma Chunji and Cai Dongwu, there is no heavy truck today. This staff is very convinced.” As an old heavy truck person, the Deputy Minister of Propaganda Department of China National Heavy Duty Truck Ni Guixiang witnessed the heavy truck Decades of stormy history.

The Yellow River JN150 has inspired a whole generation of heavy-duty truckers, and the Yellow River heavy truck has been unifying the market for decades. However, by the late 1980s, the state-owned enterprises have become increasingly difficult to return and their business operations have been in trouble. By 1999, the company’s losses were as high as 80 yuan. 100 million yuan. On August 18, 2000, under the Ministry of Finance, the related assets of CNHTC Group were transferred to Shandong, Shaanxi, and Chongqing, and Shandong was divided and bankrupted. By January 18, 2001, when China National Heavy-duty Truck Group Co., Ltd. was established, the total liabilities of the former CNHTC Group amounted to RMB 12.967 billion, and the accumulated losses exceeded RMB 9 billion. Looking back, Ni Guixiang still sighed.

In January 2001 when Ma Chunji stepped down as the deputy secretary of the Jinan Municipal Committee to serve as Chairman of the Heavy Gas Group, the heavy-duty trucks were already in jeopardy: the mechanism was out of touch with the market, the management was chaotic, the product was overstocked, the people were scattered, and the talent was lost.

“When Ma Chunji came, the workers have not paid salaries for 13 months in a row. The pensions owed to the pension fund and the debt owed to the bank are the highest in the industry. At that time, many workers went to the streets to block the streets,” Ni Guixiang said. Later, he borrowed 3 million yuan from the finances and raised 15 million yuan from banks and other channels. He decoupled from the original assets and closed the operation. He relied on this money to start a new one. At that time, there were 85,000 heavy-duty trucks, but the annual output was less than 10,000. At that time, 19 policies had been set to divert more than 50,000 people. The pressure was imaginable.

At the time, Ma Chun-chi proposed that "one year is the same, two years of profit, and three years of development." It is the determination to hold a heavy load. Ni Guixiang introduced that the key to the rejuvenation of CNHTC is the implementation of "four innovations": technological innovation, management innovation, marketing innovation, and corporate culture innovation. Up and down, the situation quickly reversed, with production and sales rising rapidly from 7,800 units in 2001 to 45,000 units in 2004. In 2005, the market experienced a major decline but it also maintained 45,000 units.

"It's really not easy to get back to life and to be at the forefront of the industry in just five years." Ni Guixiang said.

Take advantage of sailing

"At present, the development of China National Heavy Duty Truck has entered the second stage, will rely on the implementation of the 'four strategies' to fully promote the rapid development of enterprises, bigger and stronger." China National Heavy Duty Truck responsible person introduced, "four strategies" is It refers to the leading technology, low cost, regionalization, and internationalization strategy. The goal is to build an international brand and achieve world-renowned heavy truck companies.

While striving to cultivate internal strength, another factor in the rise of China National Heavy Duty Truck is to strengthen cooperation and take advantage of the situation.

On June 9, 2003, Sinotruk and Volvo invested 1.6 billion yuan to establish Jinan Huawo Truck Co., Ltd. to produce Europe's most advanced FM series of heavy vehicles. Driven by the Volvo project, companies from the United States, Japan, South Korea, Belgium and other countries have come one after another. At present, there are more than a dozen enterprises that have established matching relationships with China National Heavy Duty Truck.

In October 2004, China National Heavy Duty Truck launched the HOWO series heavy trucks with independent intellectual property rights, rapidly became the mainstream product of the heavy-duty mid-to-high-end market in China, and set an industry record of one-off exports to overseas 10,000 vehicles in 2005.

On the engine side, Sinotruk also cooperated with Volvo and FAW. In addition, the King Prince series of medium- and heavy-duty trucks jointly developed by Sinotruk and German Man Company has also formed a capacity of 10,000 vehicles a year.

At present, China National Heavy Duty Truck Group's products have changed from a platform in Steyr to a series of HOWO, Steyr, Steyr, Gold Prince, Yellow River, Haojun and Haoyun, which have changed from 78 models. Has become the current more than 1,700 models, product layout is fully spread.

Consolidate development

In the face of the ever-changing market, the key to maintaining the top position in the industry is to further tighten the cornerstones while continuing to innovate.

After breaking up with Weichai Power, China National Heavy Duty Truck began to make every effort to build its own "Heart" heavy truck. On April 18, 2006, Jinan Power, which invested nearly 1 billion yuan, was formally put into production in Zhangqiu, together with the capacity of the Hangzhou engine plant. The monthly capacity of 7000 units can basically meet the assembly requirements.

According to Yang Yongqi of Jinan Power, in terms of independent research and development, 17 technical improvements were made in the engine's injection system, intake and exhaust systems, electrical systems, combustion systems, and cooling systems. In manufacturing, flexible production was used. The model and the most advanced manufacturing process equipment in the world, such as the cylinder processing production line, the most advanced NCK2000 engine monitoring and control test bed in China, and the most advanced engine painting line in China; for the improvement of technology, the main components adopt international famous brands. Wiz booster, Delphi nozzle, Mahle's piston, Mibawa connecting rod and so on.

At present, China National Heavy Duty Truck's vehicle assembly quality has reached AUDIT assessment score of 480 points or less, close to the level of similar international products; engine overhaul mileage has reached 800,000 km. We will continue to increase research and development in fuel economy and emissions. In the second half of the year, we will launch heavy trucks equipped with Euro III engines.

In addition, the reporter also saw at the scene that Jinan Fuqiang Power Co., the first domestic automobile engine remanufacturing company next to Jinan Power, has also started production. According to the company’s deputy general manager Jiang Zaixian, Fuqiang is a joint venture with Lister Petter, a British company, and currently has 15,000 sets of production capacity.

In terms of market expansion, regionalization and internationalization strategies are parallel. In China, we tailored the customer's geographical characteristics to tailor the ZL319092 “Zhejiang Dump King” in Zhejiang; developed the “Suizhong Wang” for the cold resistance of the Northeast market; launched “Jin for the Shanxi and Inner Mongolia markets”. "North King", the sales volume has grown rapidly compared to the previous period.

In terms of internationalization, the “go global” strategy is fully implemented. In 2005, Sinotruk exported more than 4,500 vehicles, which was equivalent to more than 110 times in 2003. On February 21, 2006, Sinotruk signed a 350 million U.S. dollar heavy truck export contract with Iranian automobile manufacturing company, becoming the single largest export contract for the domestic automobile industry.

According to the contract, 10,000 HOWO7 series heavy trucks will be exported to Iran in 2006. In addition, Sinotruk will sell cars to Iran at an annual rate of 5%-20% in the next 10 years.

new challenge

According to Cai Dong, General Manager of CNHTC, in the first half of 2006, China National Heavy Duty Truck Co., Ltd. sold 31,303 vehicles of various types, an increase of 34.78% year-on-year, and its market share increased to 20.41%; it exported 3255 vehicles, earning 1.26 yuan. One hundred million U.S. dollars. From data analysis, the development momentum is quite rapid.

In September 2005, Sinotruk recaptured the industry championship, but it was only a single-month champion. From the total analysis, it is still ranked third. However, the gap between FAW and Dongfeng has been very small. From the perspective of development, it is really winning. The annual championship is not impossible.

In the first half of this year, cumulative sales of FAW heavy trucks totaled 33,933. Although it was the "top card," it was down 10.58% year-on-year; Dongfeng heavy trucks sold 33,375 units, which represented a decrease of 30.18% year-on-year; and China Heavy Duty Truck Group had 31,303 units. Sales ranked third, but increased by 34.79% year-on-year. Between one increase and one decrease, the probability of winning the championship increases greatly.

At present, the domestic heavy-duty truck market has gradually been rid of the decline in 2005, but the total number of heavy-duty trucks is relatively small, and the relative volatility is large. The growth is still very subtle, and it cannot be blindly optimistic. In the first half of the year, the production and sales of heavy trucks were 114,900 and 111,300, respectively, down 0.47% and 2.28% year-on-year, respectively. Together with semi-trailer tractors, the heavy-duty truck market sold 153,000 units. The growth rate was 5%, which was lower than the 7.71% growth rate of commercial vehicles.

On the other hand, Shaanxi Auto Group, Beiqi Foton and Chongqing Hongyan also showed significant growth, with growth of 71.8%, 36.06% and 35.18% in the first half of the year. Under the sub-sector effect, the market share may be allocated. Have an impact. In addition, oil prices, energy-saving technologies, exports, and national policies may all cause market volatility, precisely because the gap is small and the competition will become fiercer. Whether this year or soon will win the championship will be a challenge to China National Heavy Duty Truck.

China National Heavy Duty Truck has established its "Eleventh Five-Year Plan" target. By 2010, 125,000 heavy-duty vehicles will be produced and sold, and three-thirds will be realized: the domestic market share will reach one third of the industry; all products One-third of them enter the international market; new products account for one third of the total market share.

Whether the goal can be successfully achieved, the market has the most say.

View related topics: China National Heavy Duty Truck Breaks Monthly Sales Record for National Heavy Truck Industry


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