The domestic market pattern is initially set to accelerate the west levy in the heavy-duty auto industry

After the domestic heavy-duty vehicle market pattern was initially set, China’s heavy-duty auto makers began to accelerate the expansion of the international market.

“We will achieve 50,000 heavy truck production and sales in 2007 and the sales revenue will exceed 10 billion. By 2010, Shaanxi Auto will become an oversized auto enterprise group with an annual output of 100,000 heavy trucks and sales revenue of 30 billion yuan. During the period, Shaanxi Automobile's exports will also be expanded from the current 10% to 15%." On December 28, 2006, Shaanqi Group Chairman Zhang Yupu told reporters at his 2007 annual business meeting. In 2006, Shaanxi Automobile's sales volume exceeded 33,000, and its export value was nearly US$58 million.

At the same time, at this annual business meeting, Shaanxi Automobile successfully launched the third-generation heavy truck in China---“De Yu”, which means that after China’s introduction of the Steyr platform in the 1980’s, it was once again technically related to Europe and the United States. The country is on the same platform, and in line with Shaanqi’s international expansion efforts, other heavy truck companies in China are also relentlessly embarking on the process of international expansion.

Earlier, Ma Chunji, chairman of CNHTC, also stated that by the end of the “11th Five-Year Plan”, China National Heavy Duty Truck's heavy-duty vehicle production and sales capacity will reach 125,000, of which one-third of the products will enter the international market. In addition, Chongqing Hongyan and Beiqi Foton have also been taking various measures to actively expand their market share in the international market.

The initial setting of the separatist

Objectively, after several years of accumulation and development, China's heavy-duty auto manufacturers have initially had the strength to participate in global competition.

From the perspective of market structure, after the adjustment period in 2005, the heavy truck market in China has resumed normal development in 2006, and with the clear state policies, accelerated pace of investment in fixed assets, and the vigorous development of road freight and network construction. Both have become the main driving force for the heavy truck industry growth.

According to statistics from the China Association of Automobile Manufacturers, since the third quarter of 2006, heavy trucks have increased by more than 30% year-on-year, becoming the largest market for commercial vehicle growth in 2006. It is generally believed that the sales volume of heavy trucks is proportional to the scale of investment in fixed assets, and China’s “Eleventh Five-Year Plan” will in turn stimulate a new wave of investment in fixed assets.

In terms of highway logistics, since China is the world’s second-largest expressway network, the total mileage is nearly 40,000 kilometers, and it also maintains a growth rate of 20% per year. After the road accessibility is improved, heavy goods trucks are available for expressway freight transportation. The economic advantages have fully emerged.

In addition, industry insiders also believe that the “three major echelons” of the original Chinese heavy truck market are also quietly changing: Influenced by the development trend of China’s truck products to over 15 tons, the traditional dominant player in the heavy truck market in China Dongfenghe FAW, because its mainstream heavy truck products are mainly "quasi heavy trucks" with capacities ranging from 8 tons to 15 tons, the original market share has been affected. However, in order to adapt to this market change, these companies have subsequently introduced large tonnages. Products, such as the Tianlong series of Dongfeng Commercial Vehicles Co., Ltd., Dongfeng Liuqi Balong, and FAW Liberation Aowei, etc.;

The second forces are Shaanxi Heavy Duty Truck, China National Heavy Duty Truck, Hongyan Chongqing, and Beiqi Foton. Since they mainly produce more than 15 tons of products, their market position and market share have also risen sharply. For example, Shaanxi Heavy Duty Truck Co., Ltd. achieved in 2006. The growth rate was 116%, and the highest single-month growth rate was 298.6%;

Multinational corporations such as VOLVO, Mercedes-Benz, Renault and MAN, which are the third forces, are generally 2-3 times more expensive than domestic products of the same tonnage due to their high-end products and extra-large tonnage products in China. Due to the low freight price, there is no monopoly like the car market being dominated by foreign brands, and domestic heavy truck brands still rely on the advantage of cost-effectiveness to maintain their dominant position in the market.

Increased technical strength

"Our independent research and development of heavy-duty trucks has reached an international advanced level in many aspects. There is no big difference between heavy trucks used in Europe and the United States," Zhang Yupu told reporters.

In fact, as early as the 1980s, China introduced the Austrian Steyr heavy-duty vehicle technology. It can be said that currently mainstream models on the heavy-duty truck market in China are all derived from the Steyr platform introduced in this era. According to statistics, this platform In China's four companies, the share has reached 46%.

"The introduction of Steyr technology has played a major role in the development of China's heavy-duty truck industry. Shaanxi Automobile also benefited from the introduction of Steyr technology. Shaanxi Automobile is the assembler of the first Steyr vehicle in China. Since then, many of the first prototypes of the Steyr models have been mass-produced from several companies,” said Zhang Yupu.

However, China’s independent research and development of heavy-duty trucks should be started in the near 20 years. Heavy-duty truck manufacturers, including Shaanxi Auto, have begun a comprehensive “secondary digestion” of Steyr technology, and at the same time, based on market conditions and consumer trends. Self-developed new heavy-duty vehicles, such as the "Flying Dragon" of CNHTC and the "Dragon" of Shaanxi Auto.

"The new Delon F2000 is a brand new upgraded version of DeLong Heavy Duty Truck. It fully realizes the absorption and digestion of MANF2000 technology, unveiled the prelude to 'China's heavy truck power upgrade' and broke the long-term reliance on imports from China's large-displacement and high-power heavy trucks. , To reach the international advanced level of similar products, to fill the gap of China's 12-liter displacement of its own brand heavy truck.” Liu Keqiang, marketing manager of Shaanxi Automobile Sales Company, told reporters.

It can be said that in the market competition, China's self-developed heavy truck has an absolute competitive advantage compared with European and American heavy trucks.

Brand becomes soft rib

“China’s trucks have the world’s highest production and sales volume and number of truck brands, but in sharp contrast to their quantitative advantages, our brand value cannot be compared with the world level. We are a weak brand.” Although China’s heavy trucks have an absolute market competitive advantage, Zhang Yupu expressed concern about the status of China’s heavy trucks in the international market.

"The most important thing is that due to the chaotic export order, domestic heavy-duty truck manufacturers have implemented low-price and vicious competition in overseas markets, and some companies do not pay attention to after-sales service and spare parts supply at all."

“The large amount of exports of Shaanxi Auto in the past two years has already established a certain advantage in the international market. At that time, the export price of each of our vehicles could reach 400,000 yuan, and now it has fallen to the level of 24 to 280,000 yuan.” Zhang Yupu for example.

“As a result of this behavior, the company’s sales volume has risen in a short period of time, but in the end, due to reputation, the product will be driven out of the market.”

Industry experts also pointed out that domestic heavy truck manufacturers have entered the overseas market. There are still many problems to be solved under the current management system, such as low-end markets, low-end vehicles, low prices and low profits, but the most important thing is the lack of brands. Compared with European cars, Japanese cars and Korean cars, the added value of the products is too low.

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Name	A  Automatic crusher mill
Front roller diameter (mm)(Smooth roller)	400
Rear roler diameter (mm)(Groove roller)	450
Roller length(mm)	840
Front roller speed (m/min)	12.67
Speed ratio	1:1.63
Max roller gap(mm)	10
Nip adjustment	Manual
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Power (kw)	45-8
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Name	B mixing mill
(mm) Front roller diameter(smooth roller)	400
Rear roller diameter (mm)(smooth roller)	400
Roller length(mm)	840
Front roller working speed (m/min)	19.36
Speed ratio	1:1.5
Max roller gap(mm)	10
Nip adjustment	Manual
Mixing capacity(kg)	20
Power (kw)	37KW
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Reducer ratio	45
Reducer model	315
Roller bearing diameter(mm)	260
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