As the engine is the core component of the heavy truck, owning the engine has a competitive initiative, which can be supported by the gross margin of the heavy truck industry. At present, the gross profit margin of the heavy truck engine is about 30%, while the gross profit rate of the vehicle is only 10%. A veteran executive once joked that he is producing heavy trucks to work for companies that produce engines.

The engine cake is so tempting that the heavy-duty truck company is currently busy mastering engine production rights in order to gain a leading edge in the competition. On October 12, Ma Chunji, chairman of heavy truck industry leader Sinotruk Hong Kong, announced that he had officially signed a contract with the German company Man. Man will pay 560 million euros to obtain a 25% stake in Sinotruk Hong Kong plus one share. This marriage, accelerating the pace of cooperation between the two sides in the sales network and global procurement to expand market share is an important aspect, but more importantly at the technical level, CNHTC will receive long-term international advanced heavy truck technology from MAN. The support, especially through the technology transfer of Euro III, Euro IV and Euro V emission engine products, provides stable technical support for the company's development over the next 10-20 years, greatly accelerates the pace of technological advancement of enterprises, and establishes international heavy truck technology. Platform.

The same performance depends on heavy truck engines Dongfeng Motor. The company's 50%-owned Dongfeng Cummins Engine Co., Ltd. products cover light, medium and heavy-duty trucks, medium and high-level intercity buses and other fields. Over the years, the investment income from Dongfeng Cummins has been the main contribution of Dongfeng Motor's performance. In the first half of this year, Cummins’ sales performance was not satisfactory. Its contribution to Dongfeng Motor's performance dropped from 131% in 2008 to 61.95% in the first half of 2009. Guo Qing Securities analyst Wang Qingtao believes that at present, Dongfeng Motor's dependence on engine business is very strong. Engine improvement means the improvement of Dongfeng Motor's performance. From the perspective of sales volume and profitability in the third quarter, the improvement of Dongfeng Cummins is very obvious. From July onwards, the engine changed its trend in the first half of the year, with monthly sales exceeding 10,000 units. In the third quarter, a total of 39,500 engines were sold, a 45% increase from the second quarter and an increase of 3% from the third quarter of last year. The contribution to the company’s investment income in the third quarter was close to 100 million yuan, an increase of 15.9% year-on-year, and an increase of 81.5% from the previous quarter. It is expected that the company will achieve sales of 126,000 units of engines throughout the year, a decrease of only about 25% year-on-year, and Dongfeng Cummins' contribution to the company’s investment income will also reach 280 million yuan.

Coincidentally, the production heavy trucks have been carrying Futian cars for Weichai and Cummins engines, and they are also planning to cooperate with Daimler-Benz to produce engines. The two parties intend to establish a Chinese medium and heavy truck joint venture company, which will produce Futian Auman's current and future Futian Auman heavy truck products and Mercedes-Benz OM457 ("MB OM457") heavy-duty engines that meet Euro V requirements. At the same time, the two parties will set up an R&D center in China Zhongka Trucking Co., Ltd. that can independently develop Auman medium and heavy truck products for China and other markets, and Daimler will provide technical and expert support to help the Chinese Zhongka Vehicle Joint Venture to implement the entire The product quality and reliability of the vehicle are improved, and the adaptability of the imported Daimler components is improved. According to reports, the 12L heavy-duty diesel engine produced by the joint venture company will fill the gap in the Chinese market because it can be equipped with the Auman heavy truck, which will help improve the competitiveness of Auman heavy trucks in China and emerging markets.

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Zhejiang Ideal Bell Technolody Co., Ltd , https://www.idealpneumatics.com