On November 1st, Shanxi Province officially started to charge ordinary road tolls. Starting from January 1, 2009, Guangxi will implement weight-based tolls on highways that have been linked to toll collection, and implement weight-based tolls on ordinary toll highways on April 1 of the same year.
The toll-by-weight tolls that have been widely implemented on highways throughout the country are now extended to ordinary roads. What will be the reasons for many trucks that have switched from highways to ordinary roads because of the weight-based charges? Judging from the current situation, ordinary road toll-gathering fees have shown a tendency to spread across the country. What impact will this move have on the demand for road freight?
Or will boost demand
Judging from the performance of the heavy-duty truck market in which the toll-in-weight provinces have been implemented, weight-based charges can indeed promote heavy truck sales. “First, the implementation of weight-based tolls will stimulate some of the demand. According to the relevant regulations of the Ministry of Transport, the total vehicle weight cannot exceed 55 tons. After strictly implementing the toll-by-weight and implementing the 55-ton limit, many vehicles will give up overload or they will New cars must be added,†said Huang Weidong, general manager of Guangxi Liuzhou Yunli Special Purpose Vehicle Co., Ltd.
From this point of view, the implementation of weight-based tolls on ordinary roads will further stimulate vehicle owners who transfer from highways to ordinary highways to carry out vehicle renewal, thereby stimulating rising market demand. “At the same time, if the overload phenomenon is alleviated and the degree of wear of the vehicle is reduced, then the chance of vehicle failure during the warranty period will also decrease. During the warranty period, the free service cost of the vehicle will be reduced to some extent. The burden on dealers and vehicle companies," said Huang Weidong.
“Although toll-by-weight will increase the cost of transportation in Guangxi by about 20%, the impact will be relatively small for transport companies that do not need to be overloaded themselves,†said Huang Weidong. Weng Keli, general manager of Wengshi Bada Logistics in Liuzhou, Guangxi, said: “Weighing and weighting can effectively regulate the market and eliminate the driving force of vehicle overload. For companies like us that mainly transport daily necessities, transportation costs will be reduced.â€
Increased actual volume
“As far as the status of the current freight market is concerned, this demand will be difficult to release in a short time,†said Mr. Han, a distributor of Shanxi Auto in Shanxi Hongdong County. The biggest constraint is the increase in transportation costs. “The implementation of weight-based tolls on ordinary roads will, to some extent, reduce various types of overloaded vehicles. In Shanxi Province, the demand for heavy-duty trucks is mainly transported by coal. In the past, vehicles were overloaded and they could take ordinary roads. Now, the province implements weight-based tolls uniformly. Vehicles that continue to be overloaded will have to pay more, and not overloading will increase the cost of transporting units of goods," said the dealer. Mr. Xu, a general manager of a transportation company in Shanxi, complained to the “Commercial Automotive News†reporter: “Implementation of toll-by-weight will increase the toll of bicycles by about 50%. Originally, the freight rate was not high, and now we really lose money and earn money.â€
At the same time, due to the impact of the economic environment, the market's demand for coal and mineral resources has been greatly reduced, resulting in a sluggish freight market, which in turn has resulted in a lack of rigid demand for vehicles, and up to 60% of freight vehicles in Shanxi and other regions have been suspended. Under this market pattern, the implementation of weight-based tolls on ordinary highways may further deteriorate the market environment. Huang Weidong said: "The increase in transportation costs may cause some customers who have car purchase needs to wait and see again."
“In Guangxi, for example, there are many overloaded vehicles on the road and the vehicles are worn out. The average car needs to be replaced in about two years. Although there will be a small sales peak before the implementation of toll-by-weight, it will be eased due to vehicle overloading. The service life will also be extended, and vehicle renewal may slowly slow down, said the manager of the vehicle of Guangxi CIMC Vehicle Co., Ltd. Mr. Han, a heavy truck dealer in Shanxi, said: “The big picture is not clear. Many car owners have a wait-and-see attitude. Therefore, although we expect market demand to increase, it is hard to say whether it will really stimulate users to buy vehicles.â€
No major changes in models are hot
“Large-tonnage, multi-axis, and light weight are the trends in the development of vehicles under weight-charged conditions. This has been proven by the market in the past few years. Weight-based tolls on ordinary highways will continue this trend for vehicles.†According to industry experts, “In the implementation of the toll-by-weight system, the transportation company likes to replace or purchase 6×4 tractors or 8×4 dump trucks, because these two models are the most cost-effective in the weight-for-weight toll section.â€
Mr. Han told reporters: “Although some areas have not yet implemented freeway toll-by-weight tolls, most areas in the country have not implemented ordinary road toll charges, but users have long considered the impact of toll-by-weight In the fixed area, even if the province does not implement toll-by-weight, it must consider the cost of transportation through other provinces.From the viewpoint of Shanxi, because the neighboring provinces have implemented early-weighted tolls, vehicles that have been running outside Shanxi have been drawn to 6×4. Cars are the mainstay.†He also said: “Lightweight models are definitely the future development trend.†Huang Weidong also pointed out that at present, when they promote their products, they have begun to guide users to focus on light trucks and fuel economy.
The reporter learned from a sales manager in charge of the Northwest Market that Tianchang Hongchang knows that in order to cope with market changes this year, the company has invested a lot of energy in the lightweight dump truck, such as the use of high-strength steel plate instead of ordinary steel. It is reported that heavy truck group special-purpose vehicle company is also carrying out truck weight reduction work. On the one hand, it adopts lightweight dump truck chassis developed by CNHTC Group; on the other hand, according to the actual loading conditions of the carriage, it is under the premise of retaining the framework form. The traditional middle beam was changed from disconnected to monolithic. The design of the compartment was optimized to reduce the weight of the dump truck by more than 2 tons.
“After weight-based tolls are imposed on ordinary roads, lightweight dump trucks will be welcomed by the market.†Another heavy-duty truck dealer in Shanxi believes: “A lightweight 8×4 narrow-body dumper from Valin is very popular in the market. After all, the reduction in vehicle weight means that the volume of cargo will increase and the economic benefits will be even better."
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