Yuchai wants to seize the city bus and car diesel engine market

The reporter Tong Zheng reported: Recently, at Yuchai's 2006 strategic release and marketing service conference held by Yuchai Group, China launched the first Euro IV diesel engine YC6L350-40 with independent intellectual property rights. At the same time, Yuchai also launched the first domestic diesel engine YC4W with independent intellectual property rights, which fills the gap in China's sedan diesel engine.

Relevant persons believe that Yuchai’s first launch of its European IV power product and diesel passenger car engine is to seize the urban public transportation and car diesel engine market.

The first wave of diesel engines in China was initiated by Yuchai. In the 1980s, Yuchai applied advanced technology to diesel engine manufacturing and successfully developed the YC6105Q diesel engine, which allowed traditional diesel engines to enter the era of high power and energy saving. A large number of vehicles were matched in trucks and passenger cars, changing the situation in which gasoline engines dominated the world. Created the myth of the queuing opportunities for dealers across the country, Yuchai itself has also achieved leapfrog development.

The fact that Yuchai first introduced two high-end models shows that Yuchai is implementing a technology-leading strategy, expanding market space through the development of new products, and continuously injecting momentum for sustainable development.

Last year, the entire internal combustion engine industry took a "brave brake." As of the end of November 2005, China's internal combustion engine sales realized a profit of 3.858 billion yuan, a year-on-year decrease of 21.01%, which constituted a huge gap from the increase of 35.24% in 2004. This shows that the internal combustion engine industry will inevitably face a major adjustment.

Last year, Yuchai sold 267,500 engines, a year-on-year increase of 22.73%, and sales revenue of RMB 12.1 billion, up 12% year-on-year. Sales revenue growth is lower than sales growth, which also indicates that Yuchai was also forced to participate in the homogenization competition of the engine industry in 2005 and adopt a strategy of reducing sales. The birth of Yuchai Euro IV diesel engine indicates that Yuchai will build its advantages in green power.

With the encouragement of policies, some domestic automobile manufacturers have also launched diesel car products accordingly. Relevant persons believe that the implementation of sedans in China will also face issues such as policies, diesel quality and funds. Consumers' long-term concept of consumption requires companies to guide and change. Therefore, to develop an immature market with a mature product, from the launch of new products to large-scale industrial production, it will take a while. This is why Yuchai's 300,000-vehicle diesel engine project has been repeatedly delayed. In addition, the development of this emerging market cannot be accomplished overnight and requires continuous capital investment. In addition to taking measures to reduce operating costs, Yuchai must also attach importance to the role of the capital market and prepare enough funds for the implementation of new diesel engine products.

View related topics: Yuchai won the "China Brand Annual Award NO.1" (internal combustion engine) title in 2007