“In the first half of the year, the sales of the internal combustion engine industry fell 4.68% year-on-year, and the overall decline in diesel engines was as high as 18.74%. Although the overall decline is stable, there are also many bright spots in the economic operation of the industry, such as the upgrading of enterprise products, the transformation of smart workshops, and the use of “Internet+”, etc. Continuously presented.” Xing Min, executive vice chairman and secretary-general of the China Internal Combustion Engine Industry Association, analyzed the trend of the industry at a recent conference on the analysis of the economic performance of China's internal combustion engine industry.

The overall industry is steadily declining

According to the latest data, the cumulative sales of internal combustion engines from January to June totaled 29,212,300 units, a cumulative decrease of 4.68% year-on-year, and the cumulative total of 107,701,500 kW completed from January to June, a year-on-year increase of 0.09%.

The passenger car market is still better than the industry average. The accumulated sales volume of the internal combustion engine for passenger cars from January to June was 9,163,400 units, an increase of 6.67% year-on-year; and the overall condition of the diesel engine market continued to decline, with a cumulative decrease of 18.74% year-on-year.

In the first half of 2015, the production and sales of commercial vehicles were 1.766 million and 1.754 million, which represented a year-on-year decrease of 14.86% and 14.41% respectively. This was a significant increase over the same period of the previous year. However, compared with the previous May, the decline continued to narrow. The sales of commercial vehicles continued to decline. As for the multicylinder diesel engine companies that have a relatively high share of commercial vehicles, the overall sales volume has also dropped significantly.

From January to June, new energy internal combustion engines generally showed a steady trend. The government continued to implement favorable policies for new energy vehicles, new energy-related infrastructure construction in full swing, and people’s acceptance of new energy sources deepened. It is believed that new energy internal combustion engines will come more and more. The better.

Looking at the first six months of 2015, with the exception of the year-on-year increase in passenger cars, the rest of the industry has declined to varying degrees, and the total sales volume has steadily declined.

Promote intelligent development

Smart manufacturing is an important starting point for the “Made in China 2025”, covering many areas such as digital workshops, industrial big data, industrial internet of things, smart home appliances, rail transit, avionics, industrial robots, and automobile manufacturing. The purpose is to accelerate the development of domestic smart equipment and products, promote the intelligentization of the manufacturing process, focus on the construction of digital factories, and deepen the application of Internet+ in the manufacturing industry.

Under the background of the overall downturn in the industry, the leading enterprises in the internal combustion engine industry are taking the “Made in China 2025” as the important starting point, continuing to promote intelligent manufacturing and promoting the industry to accelerate the transformation and upgrading.

Weichai Power spared no effort in promoting the integration of the two technologies and implementing smart manufacturing. On July 21, the Ministry of Industry and Information Technology announced the list of pilot demonstration projects for smart manufacturing in 2015, and the integrated demonstration pilot project for diesel engine intelligent manufacturing declared by Weichai Power successfully entered the list. It is reported that there are a total of 46 short-listed projects. There are a number of listed companies such as Weichai Power, Yili Shares, and Tiandi Science and Technology, which cover 38 industries and are distributed in 21 provinces (autonomous regions and municipalities directly under the Central Government).

Weichai Power comprehensively combed the relevant processes of the eight business areas (R&D, procurement, supply chain planning, production, logistics, marketing, management, and service) in the pilot development of intelligent manufacturing pilot projects, and fully focused on the manufacturing process, focusing on promoting The manufacturing process is intelligent to cultivate new production methods.

In the future, Weichai Power will use intelligent manufacturing as the direction, fully promote the integration of the two industries, continuously improve the level of factory intelligence, and concentrate efforts on intelligent equipment, industrial network interconnection, and flexible production lines. At the same time, we continued to promote the opening of five end-to-end processes, including strategy to landing, concept to product, lead to order, order to delivery, and problem solving. Ultimately achieve the goal of meeting the individual needs of customers with low cost, high efficiency and high quality, and provide customers with more than expected value.

Weichai Group Chairman Tan Xuguang stated at the Economic Forum hosted by the Standing Committee of the Political Bureau of the CPC Central Committee and the State Council Premier Li Keqiang on July 10th that China’s equipment manufacturing industry must seize the “Made in China 2025,” and Internet +"

Actions, the “One Belt and One Road” strategy, and opportunities for international capacity cooperation, strengthen confidence, speed up industrial restructuring, promote transformation and upgrading, enhance development momentum, promote the transition from general technology to core technology, and transform investment from investment to investment. From domestic development to global development and transformation from manufacturing to service manufacturing.

Quanchai Power is a professional diesel engine R&D and manufacturing enterprise in China. Its product uses cover automobiles, agricultural equipment, engineering machinery and generator sets. In order to respond positively to the national strategy of building a strong nation and adapt to the new model of intelligent manufacturing development in the diesel engine industry, Quan Diesel Power actively promotes the application of intelligent manufacturing in diesel engine product design, processing, testing and equipment, and accelerates the manufacturing capacity and development level of enterprises to a new level.

Prior to this, Quanchai Power received the "2015" No. 415 "Notice on Special Project for Intelligent Manufacturing in 2015" issued by the Ministry of Industry and Information Technology, and Quan Diesel Power's "Diesel Engine Intelligent Plant for Large and Medium-sized Agricultural Equipment" project was listed in the national "2015 Smart Manufacturing Special Project."

It is understood that in March this year, the Ministry of Industry and Information Technology issued a notice to launch a special pilot demonstration of smart manufacturing in 2015, and decided to launch a special pilot demonstration project for smart manufacturing since 2015 to promote industrial transformation and upgrading and speed up the process of building a strong manufacturing nation. The action implementation plan focuses on six pilot demonstrations of process manufacturing, discrete manufacturing, smart equipment and products, new modes of smart manufacturing, intelligent management, and intelligent services.

"Going out" is an important way

If China's equipment manufacturing industry wants to develop, it must go out. The internal combustion engine companies not only focus on changing the predicament, but also value the implementation of the “going out” strategy and have a good performance in going abroad.

Tan Xuguang said that overseas mergers and acquisitions have played an important role in accelerating the restructuring of Chinese enterprises, mastering core technologies, entering the global market, and improving the management level. He pointed out that we must dare to "go global" and increase our competitiveness in the international market arena. It also hopes to establish a platform and mechanism for external cooperation between the government and enterprises, give full play to the joint efforts of the enterprises and the leading role of large enterprises, realize the mission to the group, and promote the implementation of the “One Belt and One Road”.

In recent years, Weichai has vigorously implemented its internationalization strategy, seized the opportunity to strengthen international cooperation in superior production capacity, and has steadily promoted the project of “achieving international brands in going abroad”. While expanding into foreign lands and acquiring high-end enterprises, it has gradually transformed from general international trade to in-depth marketing and local manufacturing, accelerating the pace of production capacity and technology output, and increasing the influence of international brands.

Going out is an important way to promote China’s economic development and accelerate the upgrading of China’s equipment manufacturing. In recent years, Weichai has taken aim at the international market and seized opportunities, and has successively acquired some high-tech companies in Europe, playing an important role in accelerating structural adjustment, mastering core technologies, entering the global market, and improving management levels. After the global financial crisis in 2008, Weichai successively invested in the acquisition of three European companies, including the French Boduuan engine company, the luxury yacht manufacturer Italy Ferretti Group, the KION Group and its subsidiary Linde Hydraulics.

In the first half of this year, Weichai's overseas M&A companies generally performed well. Among them, Germany’s KION continued to maintain a strong profitability, France’s Boduuan turned a profit, and Italy’s Ferretti was gradually on track. At present, the proportion of overseas business has exceeded 30%, which has become an important guarantee for the sustainable development of the company.

At the same time, Weichai is gradually transforming from general international trade to in-depth marketing and local manufacturing, accelerating the pace of production capacity and technology output. At present, we have established production and manufacturing bases in countries such as Thailand, India, Myanmar, and Ethiopia to realize output from products. From technology exports to local manufacturing transformation, we have made positive contributions to expanding Weichai's market share.

Under the situation in which the domestic market continued to slump, Yuchai turned his sights abroad and implemented the "going out" strategy. It is understood that in the domestic diesel engine industry continued to decline in the situation in the first half of this year, Yuchai products in the overseas market presents a boom. According to statistics, from January to June, Yuchai’s total overseas market volume has increased by 36%, and the annual sales target has been completed ahead of schedule.

In the Southeast Asian market, the performance of the Vietnamese market is even more impressive this year. From January to May this year, the number of Yuchai products entering the Vietnam region has exceeded 10,000 units, an increase of 136% compared to the same period in 2014; Saudi Arabia is Yuchai’s In an important market in the Middle East, currently, Yuchai’s products occupy the leading position among the top four bus transportation companies in Saudi Arabia. In the first half of this year, Yuchai also achieved good results in the Saudi market, with an expected entry volume of 2200. Taiwan, market share will also increase by 10% on the basis of 2014.

In addition, from January to May of this year, sales and sales of Yuchai Ship’s electric power products in overseas markets both achieved significant growth compared to the same period of last year, of which, sales volume increased by nearly 30%, and sales increased by over 60%; YC6T New high-powered products such as YC6TD, YC6C, and YC6CL quickly gained market recognition after they were put into the market. In the first half of the year, Yuchai exported more than 70% of the ship's products, compared with the same period of last year. Electric export sales increased by 127%.

In addition, in Turkey, which is known as the Eurasian Continental Bridge, Yuchai has accelerated cooperation with a Turkish company to accelerate the development of Yuchai's electric products into Europe. Currently, Yuchai has achieved more than 30 orders in this market. It is understood that using this as a springboard, Yuchai is expected to open the door of the European shipbuilding market this year.

From January to June, the overseas market of Xichai hit a record high of 72.1% year-on-year, achieving more than half. Among them, the total export volume of Conway's supercharged intercooled engines and 4/6DF engines has increased significantly. At the same time, Xichai will continue to increase its exports of complete vehicles and non-Road Machinery products such as Jiefang, Jianghuai, Changsha Foton, and Kama through effective linkage with vehicle manufacturers and domestic and foreign merchants this year. In particular, this year, 2,140 vehicles will be equipped with Xichai State IV. The successful export of JAC commercial vehicles to South American countries, the first European V natural gas engine, and the complete exportation of complete vehicles to Eastern European countries and the high export frequency of generator sets all signified that Xichai's steps to achieve overseas expansion have steadily increased.

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