In the bleak truck market in 2012, there was still a bright color. Although the sales of heavy trucks have dropped by 30% year-on-year and the light trucks have dropped by 10% so far, the wall is not bright outside the wall. This year, Chinese trucks have shined in the troubled overseas market. According to Yang Aiguo, deputy secretary general of the China Chamber of Commerce for Import and Export of Machinery and Electronic Products, according to customs declaration data, China's truck enterprises have exported 157,000 trucks this year, an increase of 15.5% year-on-year; the export value reached 2.036 billion yuan, a sharp increase of 35.9%. In the case of a weak domestic market, truck companies will also pay more attention to overseas markets, and the overseas strategy is an important part of the company's development strategy.
The wall is not bright and the wall is bright.
Xu Changming, director of the Information Resource Development Department of the National Information Center, said that in the first half of this year, except for micro-cards, the domestic heavy, medium and light truck markets all showed a downward trend, and the heavy truck market shrank by one-third. However, the strange thing is that the heavy-duty sales of heavy trucks in the domestic market have increased by 36% in overseas markets, with export orders reaching 18,000. The products are exported to 96 countries and the top exporters of trucks. Shaanxi Automobile and Dongfeng are two companies that have performed well in the domestic market and become two proud plums in the winter. Dongfeng has been firmly in the position of sales champion this year, and Shaanxi Automobile's market share has improved significantly. In May, it even won the monthly sales champion, but this did not make the two companies despise the overseas market. In the first half of this year, the export of Shaanxi Automobile and Dongfeng Trucks both exceeded 10%.
In addition, Liberation, Beiben, Futian, Valin, and Jianghuai also performed well in overseas markets. In January of this year, the first batch of 100 liberation J6 heavy trucks were sent from Dalian Port to Iran, and the remaining ones were successively completed in the following months. This business is the largest single overseas market order since the release of the J6 heavy truck. The future liberation will focus on the Iranian market and radiate to other parts of the Middle East, further expanding the sales and brand influence of liberation brands in the Middle East. In April, 97 engineering vehicles from Beiben Heavy Trucks exported to Bolivia and completed vehicle adjustment work in the plateau climate of more than 3,000 meters, creating a record for the export of Beiben engineering vehicles. Hualing Heavy Truck exported more than 1,000 vehicles in the first half of the year, and its products are exported to Southeast Asia, the Middle East and North Africa. In March of this year, Valin successfully passed the Thai TISI certification. This not only means that the Southeast Asian market is affirming the Hualing heavy truck, but also preparing for more models of Hualing to enter the Southeast Asian market. In the first half of the year, Foton Motor's net profit increased by 200% year-on-year, of which, it contributed a lot to the export of overseas markets. Similar to Futian, the prices of Jianghuai commercial vehicles exported to South America are generally 25% to 75% higher than the domestic market.
Develop an overseas strategy
As the contribution of overseas markets to the performance of truck companies has gradually increased, overseas markets have become more and more important in corporate strategic considerations, and some companies have developed overseas development strategies. Foton Motor has formulated the “2020” strategic plan and proposed to adopt the “5 3 1” core strategy to realize the transformation from “China operation” to “world operation”. Among them, “5” refers to the construction of five factories in each of the five selected countries, each with a design capacity of 100,000; “3” refers to breakthroughs in three developed markets in North America, the European Union and Japan and South Korea; “1” "It means building the global operation headquarters and innovation center of Foton Motor in Beijing and gaining a leading position in the Chinese market. Around this strategy, Foton is already working actively.
Ma Chunji, chairman of China National Heavy Duty Truck, also said that Sinotruk has formed a “6+1” overseas strategy, dividing the world into six major regions, namely Southeast Asia, the Middle East, Southern Africa, North Africa, Central Asia, Russia and the Americas. The six districts are responsible for the marketing, after-sales service system construction and spare parts network construction of their respective regions; the Jinan headquarters of the heavy-duty truck import and export company is responsible for domestic business support, service and management. The “6+1” model provides a clear and unambiguous definition of the job responsibilities and powers of the various departments within the system. The organizational structure is more reasonable and the service positioning is more precise. In addition, heavy trucks will strengthen cooperation with Man to jointly develop the international market.
Overseas investment set up factory
Setting up a factory overseas is one of the steps to implement an overseas strategy.
On March 26, the establishment ceremony of Foton Motor Kenya Co., Ltd. was held in Nairobi, Kenya. This is another major move by Foton Motor to set up a factory overseas directly after establishing a KD production base in East Africa in April 2011. In addition, Fukuda's Indian and Russian factories are also in full swing. It is reported that the land for the construction of the plant in India has been purchased, and the foundation construction will start in the near future and will be put into operation before the end of next year. The Russian project is half a year to a year later than the Indian project and is expected to go into production the following year. Demand for heavy trucks in the Indian market is not large, but Fukuda is optimistic about India's light trucks and light and heavy trucks, subject to India's transportation infrastructure, although India's demand for heavy trucks will not be too large for the foreseeable future, but Fukuda also Start preparing for it.
FAW Jiefang has also completed a draft letter of intent for cooperation with Russia's largest commercial vehicle manufacturer GAZ Group. It will jointly invest and establish a production base in Russia to produce and sell liberated brand medium and heavy trucks. The planned local production capacity will reach 5,000 in three years. 10,000 vehicles. Previously, Liberation had reached an agreement with the Iranian auto industry management department to jointly develop and produce heavy truck products adapted to the Iranian market. FAW Jiefang will also build and expand a number of light trucks and medium and heavy truck assembly bases in Pakistan, Mexico, Ukraine, Kazakhstan, Ethiopia and other countries, and set up Africa Investment Co., Ltd. in South Africa to carry out the existing FAW medium and heavy truck production base. Expansion of production, the current site selection has been completed.
The joint venture between the heavy truck ace and the Iranian Mammut Group is also part of the wave of Chinese truck companies investing overseas. The Iranian Mammut Group is an internationally renowned manufacturer and manufacturer of commercial vehicles. Through multi-disciplinary understanding, it has a strong interest in cooperation with the Heavy Duty Truck 7 Series Light Truck and 717 Micro Card Series. Now the two parties have reached a principle agreement on joint venture cooperation.