Re-starting the "Sanjiang Project" Renault "renovates"

This time, Renault seems to be prepared.

The Sanjiang Renault plant in Xiaogan, Hubei Province will resume production in the near future. Right now, the factory is doing preliminary preparations for parts and components. A person involved in the Renault project revealed to reporters that in the second half of this year, the “Dongfeng-Nissan-Renault Project”, which has been caught in an overall stagnation by the end of 2005, will be able to resume negotiations.

Sanjiang Pathfinder

For Sanjiang Reynolds' general manager Gubiais, his career in China will usher in a busy period. Some time ago, Gubiaisi, who had lived in Wuhan Zhuankou Development Zone for a long time, has been busy pursuing the work of the supporting business for the restoration of the Sanjiang Renault plant.

“Sanjiang Renault will produce a van that resembles Ford Transit and Iveco, with a planning target of 50,000 vehicles for five years.” An interview with a Guysian person said in an interview with reporters that Renault is working on this project. An additional investment of RMB 500 million has been made to Sanjiang Reynolds. In addition to the replacement of a small portion of the original equipment of the Sanjiang Renault plant, other funds will be used to improve the parts and components.

As early as March, senior executives of the Gubías and Renault Automotive France headquarters secretly held a supplier meeting at the Procurement Department (Wuhan Xinhua Novotel Hotel) of Wuhan Reynolds Wuhan to determine the first batch of parts and components supporting companies. “The legal vehicle suppliers in the Wuhan area, including the supporting companies of Shenlong, all participated in this meeting,” said the above sources. “Because the new van truck engines take the form of spare parts and local assembly, Sanjiang Reynolds will also build an engine assembly center and a logistics center to save the cost."

"The factory has been preparing, but it has not yet begun production." The relevant personage of the manufacturing department of the Sanjiang Renault factory said when asked by reporters. Mr. Mao, general manager assistant of Sanjiang Reynolds, said only that “this project is to be kept confidential.” Zhang Yan, a person in the project department of Reynolds China, stated that there was no news to be released.
Make a change?

In fact, for 15 years into China, the stubborn Renault has had so much sadness and helplessness.

On November 6, 1993, Renault signed a joint venture agreement with Sanjiang Aerospace Group of China for the assembly and production of light commercial vehicle Tafik in Xiaogan City, Hubei Province. In December of the same year, Sanjiang Renault Automobile Co., Ltd. was established. Sanjiang holds 55% shares and Renault holds 45%.

In 1994, Sanjiang Renault Automobile Co., Ltd. began production, but it sold more than 4,000 vehicles in more than eight years. From August 2000 to 2004, Sanjiang Renault was struggling with frequent changes in Chinese shareholders, and finally fell into a production shutdown.

“An important reason for the failure of Sanjiang Renault is that China and France disagree on their decision-making opinions,” said senior automotive analyst Jia Xinguang. Renault wanted to send a finance manager from headquarters to Sanjiang Renault. The Chinese did not help the person. Visa.

At the same time, Renault's stubbornness is also one of the reasons for the failure. For example, during the 8 years of joint venture, Renault has consistently adopted imported engines for the models of Sanjiang Renault, making the market price of “Tafiq” more than 50,000 yuan higher than that of competitive products imported afterwards but using domestic engines, and the products have lost their competitiveness. .

Today, the suppliers who are familiar with Sanjiang Renault are still worried about Renault's stubbornness. At the supplier's meeting in March, a legal supplier at the conference directly asked Renault executives how Reynolds will balance the quality and cost of box cars produced in the future. "Renault will work with suppliers in an open mind, giving priority to costs and ensuring product quality on the basis of cost control." Renault's headquarters executives seem to have compromised.

Renault’s related people frankly stated that “there has been a failure, and there will naturally be a shadow in the heart. Sanjiang Renault’s approach to product prices will certainly not be the same as in the past. This is all forced by the market.”
Project Overture

In fact, the resumption of production of Sanjiang Renault is the prelude to the official launch of the Dongfeng-Nissan-Renault project.

"It is expected that in the second half of this year, the previously suspended Renault sedan project will resume negotiations." The above-mentioned participants involved in the Renault project said. Sanjiang Renault has always been Renault’s legacy in China. Renault’s investment in the settlement of this mess is also paving the way for follow-up sedan projects.

During the Beijing Auto Show, Nissan-Reynolds Alliance CEO Ghosn launched a new consultation with Dongfeng executives in addition to a joint venture with Dongfeng executives. He also had a private meeting with the current Deputy Minister of Industry and Information Technology Miao Wei, and Ghosn expressed to Miao Wei. The willingness to continue in-depth cooperation with Dongfeng. "However, the actual situation of the promotion of the car project will depend on how well the current executive vice president of Renault Automotive, Mr. Nakagaki, has done his homework. Before leaving office in China, he said to me that the Dongfeng Renault project will have two or three months or so. The statement.” The person said meaningfully.

“The construction of the engine and logistics center will save the purchase cost of the sedan project.” The above-mentioned participants involved in the Renault project believe that most of the Sanjiang Reynolds' current determinations are for the legal brand accessory suppliers supporting Shenlong. Can provide a more solid basis for Renault's car project.

The resumption of production at the Sanjiang Renault plant is just the first step for Renault to fight in China.

However, in addition to the new plan, the above-mentioned informed sources also revealed that after the restoration of production, Sanjiang Renault, the original management framework will not change. This also led the industry to doubt whether the reform of Sanjiang Renault can be implemented. “Sanjiang Aerospace Industry Group does not have much experience in building vehicles.” Jia Xinguang analyzed that if Sanjiang Renault did not sum up its past experiences and lessons, it may repeat the mistakes.





View related topics: Dongfeng Renault project tracking report

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