Inventory of the Top Ten Keywords of China's Internal Combustion Engine Industry in 2008

Key words: 50 billion yuan

In mid-December 2008, Tan Xuguang, chairman of Weichai Group, said that in 2008, the Group’s sales revenue exceeded 50 billion yuan, a 100-fold increase over 1998, and it strives to double its sales revenue by 100 billion yuan in 2012 and enter the world. 500.

In the face of the impact of the economic crisis on the heavy truck industry, Tan Xuguang said that as early as the year before, the company made a pre-judgment on the advent of this crisis and formulated a set of countermeasures. Weichai will make adjustments in the market segment, and its product power will be extended downwards, focusing on the development of 5 to 7 liters of truck power and 8 to 12 meters of passenger car power; expanding the applicable fields of products, and exploring rigs, excavators, etc. The field of mobile machinery; continue to reduce the proportion of heavy trucks, 50 loader power products, tap the potential of other market segments, optimize product structure, and improve the ability to resist risks.

Keyword 2: The chaos

On November 10, 2008, Wang Jianming, former chairman of Yuchai Machinery and chairman of Jiangsu Yangdong Co., Ltd., the title of "King of China Power," was controlled by the Disciplinary Committee of Jiangyan City in Jiangsu Province, limiting his contact with the outside world and receiving relevant investigations.

Since November 5th, more than 1,000 workers of Yangdong Co., Ltd., located in Jiangyan City, Taizhou, Jiangsu Province, have organized demonstrations in conjunction with nearby villagers to protest the company’s long-term deductions and defaults on “five risks and one gold”, seniority compensation, and compensation for demolition. Wait. Wang Jianming, chairman of Yang Dong, and former chairman Wang Jianming, son of Wang Jianming, were also “house arrested” on the same day.

In May 2008, Wang Jianming sued the former High Court of Jiangsu Province to raise the former leader Ge Lanqing and its Changgong Group. Wang Jianming and Ge Lanqing have disputes over land transfer, equity transfer and other aspects. Of course, the severe market fluctuations in 2008 are also another important reason for creating chaos.

Keywords three: hundred years of internal combustion engine

On October 20, 2008, the 100th anniversary of the Chinese internal combustion engine industry was held in the Beijing National Committee of the Chinese People's Political Consultative Conference. After 100 years of development, China's internal combustion engine industry has completed its transformation to a world-leading internal combustion engine. The output of automobile supporting power ranks among the top three in the world; the output of tractors and combine harvesters far exceeds that of other countries; the output of supporting power products for construction machinery ranks first in the world; the internal combustion engine for motorcycles ranks first in the world; the single-cylinder diesel engine ranks first in the world; The world leader.

Over the past one hundred years, especially during the 30 years of reform and opening up, China's internal combustion engine industry has grown from scratch, from weak to strong, from small to large, from attachment to autonomy, and has developed a road of self-reliance and hard work. In 2007, the total industrial output value of China's internal combustion engine industry reached 226.4 billion yuan, and the sales value of sales reached 229.3 billion yuan, and the output of products reached the scale of 57 million units and 1 billion kilowatts.

Keyword 4: Bosch wants to monopolize the common rail system

In August 2008, Bosch launched an economical high pressure common rail product for diesel engines for light commercial vehicles under 3.5 tons in price ranging from RMB 5,000 to RMB 6,000. Bosch did not substantially reduce the price of the existing high pressure common rail system, but introduced a low-cost product for the Chinese market. Compared with the original high pressure common rail system, this economical product simplified some functions and reduced the number of electronic control components. The common rail system's oil supply pump was also changed from the original distribution pump to an in-line pump. The cost was reduced and the price was naturally cheaper.

In the domestic three diesel engines market, Bosch's high pressure common rail system was once in an absolute monopoly. With the continuous addition of international and Chinese competitors, Bosch’s absolute monopoly has gradually been broken. Bosch's economic high-pressure common rail system for light diesel engines has a price advantage that makes it capable of killing the market. When other competitors are not ready, Bosch is likely to monopolize the high pressure common rail market for light-duty diesel engines. .

Keyword 5: Technical Route

In July 2008, China National Heavy Duty Truck Group's five electronically controlled EGR models received the Beijing Municipal Environmental Protection Bulletin. There are two types of engines that meet the three national emission standards: one is a common-rail engine and the other is an EGR engine. Except for China National Heavy Duty Truck, other companies adopt almost all high pressure common rail technology. Under the same conditions, the triple card of the EGR country is 10,000 yuan lower than the triple card of the high-pressure common-rail countries. This high price gap has caused the imbalance in the national triple card market competition, which has caused the industry's disputes about the technical route.

In the face of China National Heavy Duty Truck EGR heavy-duty card 10,000 yuan price advantage, other heavy truck companies can not remain indifferent. As a result, the sound of attacking EGR heavy trucks has become more and more intense. In these doubts, the focus is on EGR heavy trucks that may be false. Some people believe that the standards that can be achieved in the laboratory may not be met during the actual use process. There is also a problem with the production consistency of EGR heavy trucks.

Key Words Six: China-Integrated Association

On July 2, 2008, the 4th member representative meeting of the China Internal Combustion Engine Industry Association elected the members of the new council. Tan Xuguang, chairman of Weichai Power Holding Group Co., Ltd., was elected chairman.

After Tan Xuguang’s election, he said: “The new council must assume the role of linking up with others, actively serve the member units, strengthen communication with the government, seize the opportunities for reforms, take up the responsibility of the society, and really play the role of the association in the industry. In the coordination role."

Tan Xuguang became Chairman of the China Combustion Engine Industry Association. It was the first time in the history of the association that the company’s leaders were the directors of the company. This means that the association is striving to be in line with the international approach, with the leader of the industry leading company acting as the chairman of the board and considering the development of the industry from the perspective of the company.

Keyword Seven: The Three Kingdoms Period

On July 1, 2008, the National III standard was fully implemented nationwide. The implementation of the three national standards can, on the one hand, reduce pollutants in tail gas emissions; on the other hand, it can promote the technological upgrading of automobile manufacturers. However, this move has also led to the emergence of redundant costs, increasing the extra costs of automobile manufacturers, and may also increase the cost of consumer purchases. The implementation of the National III is undoubtedly a double-edged sword. The result is a game between the government, auto companies, and consumers. Among them, auto companies and consumers have the greatest influence.

National III is a blow to the relatively backward engine branded autos, especially those models that do not currently meet the National 3 standard, and cannot be sold in the cities of the three national standards, undoubtedly reducing the market scope of these models. Of course, this also motivates auto companies to increase investment in engine environmental protection technologies and stimulates the maturity of domestic automotive engine technology.

Keyword 8: Social Responsibility

On June 26, 2008, Yuchai Group officially announced the "Green Development, Harmony and Win-win-2007 Sustainability Report" in Beijing. This report is the first social responsibility report issued by Yuchai Group and it is the first time in China's internal combustion engine industry. The "Report" regards "Green Development, Harmony and Win-win" as the core philosophy and guidelines for the implementation of corporate social responsibility by Yuchai Group, and objectively demonstrates that China's state-owned large-scale backbone enterprises make active contributions to the promotion of national economic development and social progress. High sense of mission and sense of responsibility.

Yuchai always upholds the concept of scientific development and insists on integrating social responsibility into the planning, development, production and operation of the company and practical work. At the same time, Yuchai Group also consciously assumes social responsibility and actively participates in various social welfare undertakings. In February 2008, Yuchai Group sold 16 generator sets with the fastest output record in history and shipped to the snow-stricken areas of Guilin on February 4.

After the 5•12 Wenchuan earthquake, Yuchai Group kept an eye on the situation in the disaster area. 36 sales and service personnel from Yuchai’s Chengdu office and over 600 Yuchai system service stations quickly formed rescue teams and service teams. In the hardest-hit areas, rescue teams are assisted to rescue personnel and to repair rescue vehicles. The Group actively donated money and goods, totaling more than 15 million yuan.

Keyword Nine: 20 Million Units

At the end of May 2008, Changchai wrote a glorious chapter in the history of entrepreneurial development in 1995: The cumulative production and sales volume of diesel engines exceeded 20 million units.

20 million diesel engines is a monument, it embodies the hard work and sweat of all staff of Changchai, and also realizes the pursuit and dreams of generations of Changchai.

In recent years, Changchai has been market-oriented and driven by technological innovation. It has closely followed the development direction of “single-cylinder-changing, multi-cylinder-high” product development, accelerating the pace of product structure adjustment, and increasing the number of technological transformation projects. Cylinder base and other major projects, focusing on the development of high-speed vehicles with high-speed vehicles, high-speed direct injection, common rail EFI and other European II, Euro III multi-cylinder machine, and strive to transform the technical advantages into product advantages, and achieve technological innovation. The value has emerged from a spiraling path of product upgrading and improvement of competitiveness, which has basically formed the technological leading advantage of differentiated competition.

Key words: Liquefied petroleum gas engine

In 2003, in order to eliminate bus and taxi “black smoke,” Guangzhou officially proposed a plan to fully implement the use of liquefied petroleum gas.

The operating costs of liquefied petroleum gas engines are quite high. On average, the conversion of liquefied petroleum gas (LPG) costs 80,000 yuan per engine for a bus. For abused buses, the government has a one-off subsidy of only 20,000 yuan, but it is buying new liquefied gas. LPG vehicles require more than 500,000 yuan, which is more than 50,000 yuan more expensive than diesel vehicles.

The city’s bus industry has invested more than 2 billion yuan in the implementation of liquefied petroleum gas. These funds are basically absorbed by enterprises themselves. The transformed LPG buses have transformed these companies from meager profits to huge sums. Losses, and even some large state-owned public transportation companies have lost nearly 100 million yuan each year, and even the daily operations have to rely on bank loans.

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