Market launches for a good New Deal to promote the recovery of the internal combustion engine industry

According to the data from the China National Internal Combustion Engine Industry Association, in the first half of 2013, a total of 30.7389 million units of internal combustion engine sales were completed in the country, an increase of 3.73% year-on-year; the completed power was 9502.504 million kilowatts, a cumulative increase of 3.06% year-on-year. Compared with last year, the overall performance of the industry market was steady and there was an increase. According to different classifications, except for hybrid engines and construction machinery engines, there was a year-on-year decrease, while others had different degrees of improvement.

In the national energy-saving emission reduction call, the internal combustion engine companies increased the production and sales of natural gas internal combustion engines, making natural gas engines increased by 43.72% year-on-year, much higher than the average level of the internal combustion engine industry. Similarly, diesel engines and gasoline engines all increased, with cumulative sales of 4,630,200 units of diesel engines, an increase of 5.42% year-on-year, and cumulative sales of gasoline engines of 26,288,800 units, an increase of 11.71% year-on-year.

The industry is conducive to the development of enterprises

Not long ago, the semi-annual reports of listed companies were reported in succession. From the perspective of a number of listed companies, the engine companies in the first half of the year swept away from the gloom of insufficient sales. The sales of various companies grew more or less in varying degrees.

According to the semi-annual report, Weichai Power reported operating income of 30.9 billion yuan in the first half of the year, a year-on-year increase of 14.27%, and a profit of 2.08 billion yuan, an increase of 9.89% over the same period of last year. In the first half of the year, the company sold a total of 21,070 sets of 10L, 12L, and 13L engines. Heavy-duty engine products are still in a dominant position in the heavy truck market. At the same time, Weichai’s Lanqing WP5 and WP7 engines sold 4,205 units in the first half of the year, an increase of 55.3% year-on-year. Including: 3,532 vehicles supporting the market, an increase of 48.7%.

Yuchai Group's operating revenue in the first half of this year increased by 2.24% from the previous year. From January to July, while Yuchai maintained steady growth, its engine sales exceeded 310,000 units, a year-on-year increase of 15%, sales revenue exceeded RMB 12 billion, a year-on-year increase of 15%, and engine market share increased by 1 percentage point year-on-year, continuing to rank. The industry first. Among them, the engine's overseas entry volume exceeded 16,000 units, an increase of 40% year-on-year. Sales performance is clearly better than the industry average growth.

In terms of the auxiliary engine market, marine internal combustion engines and garden machinery used to perform well. Marine engines sold 26,300 units in the first half of the year, an increase of 99.79% year-on-year. Garden machinery used in internal combustion engines sold 1,861,100 units in the first half of the year, a year-on-year increase. 96.01%. Commercial vehicle internal combustion engines performed well, with 2,070,400 units completed in the first half of the year, an increase of 10.49% year-on-year. Compared with last year, the internal-combustion engine used in agricultural machinery and generator sets increased slightly, with year-on-year growth of 5.74% and 5.08%, respectively. Affected by the overall poor market for construction machinery, sales of internal combustion engines for construction machinery have also been hit hard. In the first half of the year, cumulative sales of internal combustion engines for construction machinery totaled 369,900 units, down 31.66% year-on-year.

New Deal Launches Companies to Upgrade

Energy conservation and emission reduction has always been the focus of the internal combustion engine industry and is also the main contradiction in the development of the industry. Earlier this year, the General Office of the State Council issued the Opinions on Improving the Energy-saving and Emission Reduction of the Internal-combustion Engine Industry (hereinafter referred to as “Opinions”), although this opinion was considered by some to be due to environmental problems caused by hazy weather. The policy, but according to its requirements, it can be seen that the upgrading of the internal combustion engine industry has an impetus.

The 12th China International Internal Combustion Engines & Components Exhibition held in Beijing recently featured the theme “Innovative Development, Energy Saving and Emission Reduction, and Green Manufacturing” to focus on the latest technological development achievements and new product achievements of the internal combustion engine industry. It can be seen that the concept of energy-saving and emission-reduction has indeed been promoted in the industry. Major companies have made great efforts in energy-saving emission reduction and environmental compliance standards.

Weichai's medium- and heavy-duty diesel engine high pressure common rail electronic control system, HPDI new energy engine technology, original STEPPEDBOWL, airway research, multi-jet technology and many other world-class advanced technologies have become the focus of technology to display firewood. For the implementation of the National IV emission standard, Weichai will use the electronically controlled high pressure common rail technology as its only four-phase technology solution. Weichai has successively put into production WP10, WP12, WP7 and Weichai natural gas series engines that represent the highest level.

As a leading enterprise in China's auto parts engine industry, Yunnei Power's products include advanced diesel and gas engines such as D19TCI (European V), D19TCI (APU), D20TCI, D25TCI, YN30QNE (natural gas), and YN38CRD high pressure common rail. Including the natural gas engine YN30QNE that meets the country's five emissions, this engine represents the most advanced level in the field of natural gas engine Yunnei.

In terms of FAW Xichai, its intelligent motor-driven hot-end EGR system independently developed by China IV Products not only solved the technical problems of the hot-end EGR valve system applied to medium- and heavy-duty commercial diesel engines, but also achieved the deployment of EGR valves at the hot end of the diesel engine. Two utility model patents such as the control mechanism and two-way butterfly valve structure. In recent years, FAW Xichai has built a full range of national four-vehicle diesel power platforms, including Conway, Hengwei, and Aowei, with power coverage of 78-500 hp.

Industry rebounded in the second half or growth

In the first half of this year, the overall performance of the internal combustion engine industry has improved steadily, with an increase over the same period of the previous year. In particular, natural gas engines have shown a good momentum, indicating that industry enterprises are deeply implementing the guidelines for energy-saving emission reduction. The industry has increased its efforts in developing and launching energy-saving and emission-reducing products. Its industrial structure and product structure have been adjusted. It has achieved very good results in the market and achieved a leap from rapid growth to steady growth.

Xing Min, executive vice president and secretary-general of the China Internal Combustion Engine Industry Association, said that the economy of the internal combustion engine industry was in good condition in the first half of the year. According to relevant data from the National Bureau of Statistics, from January to May this year, the total income of the internal combustion engine industry was 96.9 billion yuan, an increase of 12.4% year-on-year; profit was 7.6 billion yuan, a year-on-year increase of 11.8%. Regarding the development trend in the second half of the year, he said that the internal combustion engine industry will continue to maintain its steady growth momentum in the first half of the year and companies can meet market demand.

Xing Min told reporters that the implementation of Document No. 12 of the State Council means that the internal combustion engine industry must have an overall vision of design, manufacturing, remanufacturing, and alternative fuels, and implement energy conservation and emission reductions in the entire industry chain. From the first half of the year, one of the biggest challenges faced by the industry is the implementation of the National IV emission standards on July 1.

Xing Min is very pleased to tell reporters that after many years of independent innovation of internal combustion engine companies and the formation of strong technical support, the industry as a whole can fully meet the market demand for energy-saving emission reduction products. According to him, 20% of the 85 large-scale enterprises in the country have national-level technology centers, and more than 50% have provincial and municipal technology centers. They can develop mainframe and component products that are suitable for different market segments.

In the first half of the year, the internal combustion engine market has grown in various categories, such as blooming flowers. Although according to the analysis of the industrial development situation in the first half of this year by the Ministry of Industry and Information Technology, despite the fact that China’s industrial economy has generally maintained a stable operation, it is facing new challenges. The complex situation in which the old difficulties and challenges are intertwined has a relatively large downward pressure on growth, but according to the current development trend of the gas turbine industry, the whole industry may continue to maintain growth in the second half of the year.

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