Recently, the chairman of Sinotruk Group visited Zhongqi Bridge Box Company and proposed that the axle products should become an important reason for customers to purchase heavy-duty trucks. It was not until recently that Beiqi Foton invested 500 million yuan to build engine parts in Hebei Chengde. The center shows that the self-built core component system has been intensified in the domestic heavy truck industry.
Seeing human distress
The reason is that in the heavy truck industry in 2010, the looting resource turmoil took the brunt. At that time, many dealers expressed their dissatisfaction with being bought but not sold, and the leaders of various companies went to the critical parts companies to pick up the goods.
The phenomenon of robbing resources like in 2010 will never return, and resource shortages like 2010 will no longer occur in five years. In spite of this, various companies were once bitten by snakes and feared for a decade. Many company officials said that key components are subject to human control. When the market is good, the output cannot be raised due to the lack of supply. It is really uncomfortable to have orders and can't get a car.
If an enterprise wants to become bigger and stronger, it cannot support it without its own parts and components system. From the perspective of supporting, in the sales season, it is always stuck, and the entire vehicle company naturally can not be reconciled. This is the only way for the development of enterprises. At the same time, not only do you want to grow bigger, you can also strengthen your joint venture with foreign brands.
There is an old saying in China that it is better to ask people than to ask for self. For the sake of long-term consideration, the entire vehicle company will not be forced to build its own parts and components system in order to improve product quality and product self-control. As long as the product quality is good, users will recognize it.
The operating model of the domestic professional spare parts system is not perfect. First, the coverage of products is not very complete; secondly, professional parts and components companies are not yet open enough. For example, when resources are scarce, the parts companies that are related to the vehicle companies will not treat the whole vehicle companies in their own system and the non-system vehicle companies. They will give priority to ensuring the supply of the enterprises in the system.
In this regard, relevant persons with heavy truck companies stated that due to the consideration of safety in production and operations, the establishment of a key component system has been put on the agenda. When there are many orders, if there is no own parts and components system, and independent parts and components companies cannot guarantee normal supply, they will be more passive.
To some extent, this also disrupts the normal market order. Users are in a hurry, as long as they have a car and they will buy it, causing the market performance of some companies to be affected. Because of this, although the truck market no longer has the brunt of 2010 since 2011, companies have not relaxed their efforts to build key parts systems. In the long run, the truck industry is getting better, and we cannot ignore the longer-term development because of a temporary market downturn.
Strengthened demand
In addition to protecting normal production from excessive interference from the outside world, along with the continuous development of enterprises and industries, the self-built critical parts and components system of the vehicle companies also has many considerations such as technological upgrading and better matching. This is also to pursue better vehicle matching. After all, a good car should have a good overall match. The use of other people’s parts requires constant communication with the other party, and the other’s products will not necessarily adapt to your ideas quickly, resulting in inefficient testing of new vehicles and even delaying the development process.
It is a matter of time for each company to build its own parts and components system. This is related to quantity. It may also be modeled on the European model. The six major European companies have their own engines. China's trucking companies feel that they have sufficient funds and Strength to build their own parts and components system. Since then, they have not had to be controlled by Others , and have been able to obtain a share from the parts and components system.
There are about 10 large automobile parts and components groups in the world. Their common characteristics are concentration; second, specialization; and third, the parts and components companies have higher technical level than the entire vehicle companies. At present, the domestic automobile companies run with parts and components companies, and foreign companies are reversed. For example, the upgrading of the emission standards, the state introduced the regulations require the vehicle company to do, the vehicle company requires the engine to do, the engine requires the other supporting companies to do, the final result is that everyone began to find alternative solutions. When China's heavy trucks rose to the National III standard, many companies suddenly found that the engines that were generally accepted by users in the market were gone. Abroad, this phenomenon does not occur, and their behavior is longer.
In fact, the national standards for environmental protection upgrades were announced very early. Any one of the more important policies from research to implementation, before and after the cycle of at least two or three years. In the survey, the industry began to prepare, and would not be caught off guard when the policy came out. At present, the domestic parts and components companies, especially the heavy truck sector, have been pressured into cost control and have not been able to do some forward-looking things. The current state of the industry is that everyone has done some very specific work, but did not see the long-term development, including insufficient investment in technology, resulting in some confusion when the policy came out.
The self-built parts and components system of heavy truck companies is mainly considered from the perspective of development, so as to better match the products and better control the production and sales. For example, to develop their own engine can be carried out for their own models, and the use of independent parts manufacturers of products, because it is universally applicable products, is a major road cargo, matching may not be as good as their own development.
At the same time, the pursuit of personalized vehicle companies in marketing, services, etc., does not want to continue the same homogenous competition at the product level. Pursuing differentiation and embodying the different styles of each company is also one of the starting points for self-built parts systems. For a long period of time, the supporting facilities of all companies are almost the same. They can only be used to distinguish their products by changing the cab. The differentiation is not obvious. Self-built parts systems can achieve better differentiation. Because changes in key components such as engines involve changes in processing technology and production lines, the cost is relatively large. Even the alliance's parts and components companies are not willing to make changes for a single company.
The promotion of multiple benefits
The nature of capital is the pursuit of profit, which is also reflected in the self-built critical parts and components system. Many heavy truck companies in China are taking the European technology route. The six heavy truck manufacturers in Europe, including Mercedes-Benz, Volvo, Scania, Man, Iveco and Renault, have their own engines, transmissions and axles. From this point of view, it is normal for some domestic heavy truck companies to have their own parts and components systems. For enterprises, they plan related parts and components projects, but it is not ruled out that the profits of core assemblies such as engines, transmissions, and axles are relatively high.
This is also the consideration of the entire vehicle company for its own interests. Judging from the current situation, it is an indisputable fact that the profit rate of the entire vehicle company is low, and the price of the entire commercial vehicle cannot be maintained. When the market is not good, all companies take the price competition. At this time, it is generally the first to press down on sales profits, then the production profits, and finally it is the profit of the supporting business. However, vehicle companies do not necessarily have to be able to reduce the price of parts suppliers, and their delivery efficiency is also slow. In fact, vehicle companies make profits from vehicle assembly. The price war reduces the profits of bicycles, causing the entire vehicle company to not make money. The self-built parts and components system can compensate for this to some extent. Key components such as engines, transmissions, axles, etc., have higher profits in production and after sales. This is also true from the perspective of the market. Many of the after-sales services of the vehicle are faced with parts such as engines and transmissions.
At the same time, each local government needs to obtain GDP from the vehicle companies. However, after years of development, the entire vehicle company has reached a certain height, which requires new growth points. Therefore, investing in setting up a parts and components system is a matter of course. The entire automobile company's self-built parts and components system behind it is also inseparable from the local investment drive. For example, a place where a vehicle company's project was launched may later consider whether or not it can be involved in other areas. However, this will affect the country's industrial layout. The manufacturing industry needs long-term process of industrial cultivation and sustainable development. In this process, if the profits are not high, it is imperative to invest a sum of money to do something else. It will not last long.
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