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With the finalization of the joint venture between Dongfeng and Volvo Trucks, heavy trucks in China will continue to flourish.
On July 1, Nissan Motor will formally withdraw from Dongfeng Commercial Vehicle Co., Ltd., a subsidiary of Dongfeng Motor, and transfer 50% of its shares to Dongfeng Motor. At the same time, Dongfeng Nissan Passenger Vehicle Co., Ltd. under Dongfeng Motor Co., Ltd. will also be formally dismantled and upgraded to a company with the level of Dongfeng Motor and other joint venture companies.
Just on the recent February 18th, another highly anticipated cross-border marriage has been “revised into fruitionâ€: Foton Daimler Automotive Co., Ltd., a joint venture between Foton and Daimler, was officially established, with a total investment in the joint venture. 6.35 billion yuan, registered capital of 5.6 billion yuan, the ratio of the two sides is 50:50. The joint venture company will produce Foton Auman's existing heavy-duty truck products from Futian Auman and Daimler's permit emissions standards and powers to OM457 heavy-duty engines with Euro V and 490 horsepower, respectively.
So far, Daimler, Volvo and Mann, the top three companies in the European commercial vehicle market, have been successfully paired with Chinese commercial vehicle companies. The industry’s speculation about the fact that the public will put Man into the bag or merge it with its original Scania and join forces with China to counter Daimler’s speculation has also been buzzing.
Right now, China has become the main battlefield of the world's commercial vehicle giants.
Responsible person in charge of Daimler Northeast Asia Investment Co., Ltd. (Daimler) Public Relations said in an interview that China is the world's largest truck market, with 1 truck being sold in China for every 2 trucks sold in the world. Daimler Trucks, as the largest global medium- and heavy-duty card manufacturer, has a very important strategic significance in doing business in China, the world's largest market.
Daimler Trucks predicts that by 2020, China’s medium- and heavy-duty truck market will reach 1.5 million vehicles per year, of which, sales of high-level medium and heavy trucks will account for half of the global truck market, and the outlook is very promising. Daimler believes that with the help of Futian's in-depth understanding of the Chinese market and its rich operational experience, the two sides jointly established a joint venture to jointly develop the Chinese market and benefit from the huge potential of this huge market.
In fact, Daimler trucks' confidence in the prospects of China's medium- and heavy-duty truck market is related to its rapid increase in China's performance.
Last year, the Daimler Truck Business Unit sold 4,257,56 vehicles worldwide, an increase of 19.8% from the 355,263 units sold in 2010. Among them, Mercedes-Benz truck sales reached a record high in 2011, delivering a total of nearly 5,800 vehicles in China, an increase of approximately 90% year-on-year. This achievement has made the Mercedes-Benz truck continue to be the leader in all European truck brands in China. It is understood that in 2011, Mercedes-Benz trucks added 7 outlets in China. At present, it has more than 30 dealers and service stations, and its network coverage and density ranks first among all imported heavy truck brands. This year the company plans to add 10 new outlets and is gradually advancing.
Yang Zaifu, deputy secretary-general of the China Passenger Car Market Information Association, believes that as the world's largest truck market, China's growing economic strength and huge commercial vehicle market potential have prompted more European, American and Japanese automobile manufacturers to compete to open up. At present, China's heavy-duty truck market, Europe, the United States, Japan, South Korea and other world-famous giant truck brands have wrestled. With the advent of these truck giants, which have a significant position in the global high-end commercial vehicle market, China's commercial vehicles will also usher in an opportunity for self-improvement and a fierce market competition.
Tan Xiuqing, vice president of Shandong Heavy Industry Group Co., Ltd. pointed out that in recent years, the merger and reorganization of the global commercial vehicle industry has become more frequent, which has intensified the industry consolidation efforts. In particular, some large multinational corporations make up their own shortcomings and easily enter a certain market through mergers and acquisitions. In a subdivided area, the synergy effect of 1+1>2 is exerted. In contrast, in China's commercial vehicle industry, more than a dozen brands have been fighting each other year after year, and there is no shortage of new companies or new brands. Enterprises are struggling to cope with fierce market competition, and they have no time or ability to carry out continuous research and development. With the gradual upgrading of product technology and emission standards, severe challenges have begun to appear, key technologies have been controlled by foreign capital, and the development of commercial vehicle companies in China has become increasingly passive. In addition, there are many plagiarism simulating plagiarism among Chinese enterprises, little spirit of cooperation, dismantling more and more, and consistent external and external, which are not conducive to technological progress and long-term development of the industry.
According to Yang Zaiyu, as multinational giants enter China, domestic heavy truck companies will undoubtedly be under greater pressure. Some weak brands and small businesses will even face the fate of being eliminated. On the other hand, the domestic heavy truck market still has a lot of room. While Scania, Pecca and other international brands are seeking joint venture partners in accelerating their entry into China, this is also an opportunity for domestic heavy truck companies.
“In contrast to the previous round of purely technology-for-market joint ventures, new joint ventures used the United Nations heavy-duty truck manufacturing companies to participate in the competition in the domestic market through joint ventures and partnerships such as product and technology introduction, which has become the development of the entire commercial vehicle industry. "The general trend." Yang Zaifu believes that for domestic heavy truck companies, in this wave of joint ventures, through cooperation with foreign brands, it is expected to rapidly increase product competitiveness and brand influence and achieve better market returns.
Wan Xujun, deputy general manager of Foton Motors Overseas Business Department, believes that in addition to the brand promotion opportunities, the entry of the international giant truck brands will bring many improvements to the technology and management of domestic heavy truck companies.