Light Diesel Engine Market Tired

When heavy-duty diesel engines emerged in differentiation, the light-duty diesel engine market has also seen significant adjustments. Although the data from the China Association of Automobile Manufacturers shows that sales of light goods vehicles (including non-integrated vehicles) only fell by 2.9% from January to May, many enterprises that produce light-duty diesel engines saw a significant decline.

â–  High-end engines are favored From January to May, among several companies that mainly produce light-duty diesel engines, Anhui Quanchai Group sold 181,600 engines, a year-on-year decrease of 14.16%; Dongfeng Chaochao sold 89,500 units, a decrease of 15.05%; Yunnei Power sold 109,400 units, a year-on-year decrease of 1.69%; Weichai Power Motors sold 62,900 units of diesel, an increase of 12.98% year-on-year. If we only look at these figures, we cannot see the real changes in the light-duty diesel engine market.

China National Automobile Industry Association engine enterprise self-dispensing data show that from January to May, Jiangxi Jiangling engine self-dispensing amounted to 84,000 units, an increase of 20.51%; Qingling auto-dosed 32,700 units, an increase of 26.96%; JAC The self-distribution volume of automobiles was 23,400, an increase of 28.28% year-on-year. These companies have produced more high-grade engines, which have higher prices and higher profits.

Combining these two sets of data to analyze, we can see the clues. In 2010, the truck market in China has experienced rapid growth. The self-provisioning volume and sales volume of all the companies have also increased significantly. It is fortunate that they can buy the engine. However, under the bad situation this year, from the data point of view, the market demand for high-end light trucks and light-duty diesel engines is obviously higher than that of medium and low-end products. Dongfeng Motor, Jianghuai Automobile, Jiangling Motors, and Qingling Automobiles equipped with these medium-to-high-end engines all showed significant growth, with the year-on-year growth rates of high-end light trucks representing Jiangling Motors and Qingling Auto Light Trucks reaching 18.07% and 16.59 respectively. %. This is in line with the direction of the country to promote industrial restructuring.

According to the relevant person in charge of Dongfeng Chaochai, the negative growth of light diesel engines from January to May this year is normal, because after last year's rapid growth, many demands have been released, especially in the car to the countryside. With the exit of policies such as old-for-new trade-offs, the sales of light-duty diesel engines will usher in a relatively stable period. The reason for the decline in sales of Chaochai from January to May is that some vehicle manufacturers are still digesting last year's inventory. From the perspective of the total number of vehicles on the vehicle equipped with the Chaochai Engine, it is the same as last year.

The related person in charge of Xichai told the reporter that the light truck market experienced a certain decline, but the vehicle demand for transporting vegetables and fruits to ensure the normal life of residents is still relatively strong. Many of these vehicles are equipped with engines with better performance.

Although sales of Weichai Power Yangchai also have a relatively large increase, compared with 2010, the company's production line has been relatively calm. According to the person in charge of the marketing department of Yangchai, the company has also stopped production on non-holidays holidays.

In light of the adjustment of the light diesel engine market, the capital structure of light diesel engine companies is also undergoing changes. As the independent engine plant faced the pressure of capital shortage and technology upgrade, after Yangchai and Yunnei were respectively reorganized by Weichai Power and Changan Group, this year Anhui Quan Diesel was also reorganized by Rongsheng Group and is awaiting approval from the relevant national authorities.

The light diesel engine market is worthy of expectation. The relevant person in charge of Dongfeng Chaochai told reporters that the growth rate of the young diesel engine market should be between 5% and 10%. From the specific market segments, the growth rate of small-displacement engines below 4100 is slightly higher. These engines are mainly equipped with small cards and micro cards, and medium-to-high-grade light diesel engines will grow slightly. He said that in recent years, market demand has shifted from the primary market to the secondary and tertiary markets, and the rapid growth of inter-city logistics vehicles has started to shift to county-level and urban-rural logistics vehicles, as well as the replacement of agricultural tricycles. Farmers' demand for vehicle comfort is increasing. Therefore, from the perspective of development during the 12th Five-Year Plan period, the light-duty diesel engine market will continue to grow steadily.

In addition, as the country gradually regulates the logistics market and reduces logistics costs, logistics vehicles, especially the urban light logistics vehicles, will have a relatively large market space. However, these markets require fast and timely delivery. The engine's performance requirements are relatively high, which also suggests that companies should improve the engine's technical level as soon as possible, otherwise they will be eliminated in the market reshuffle in the coming years.

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