Breaking the old law of the industry, the New Deal promulgated the detonation pattern restructuring


“Chang'an Group is initiating reorganization with Qingling to strengthen its strength and impact the first camp.” News from the Chang'an Group indicates that the new automobile industry development policy announced on June 1 has begun to take effect. The new industrial policy encourages the formation of new large-scale automobile groups. It clearly stipulates that the new large-scale automobile group should have a market share of more than 15% in the domestic market or that the annual automobile sales revenue should exceed 15% of the total vehicle sales revenue in the industry. . This undoubtedly removes from the system the "old law" of the first camp of the automotive industry held by SAIC, FAW, and Dongfeng "the oldest." Due to the market share of Dongfeng has not reached this limit, it has been on the edge of the exit; while Chang'an Group, Beijing Automotive, Guangzhou Automobile has seen the hope of being among the first camp. An unusually strong expansion of power is brewing a new pattern of the automobile industry. An individual inside the Zhishentong Chang'an Group recently disclosed: “The new industrial policy supports large-scale enterprise groups. Chang’an wants to strengthen the strength through cooperation with Qingling to impact the first camp.” Previously, Yin Jiaxu, head of the Chang’an Group, stated: “Chang'an is guided by market rules, with assets as a link, and with the establishment of corporate alliances as a measure, it is developing toward large enterprise groups, striving to achieve a market share of 15%, and striving to enter the first camp of the China Automobile Group in the shortest time possible.” Chang’an According to group sources, “The Group conducted a detailed survey of Qingling and found that Qingling’s assets are excellent, but at present, it is difficult to realize this idea because Chang’an Group is a central company and Qingling is a local enterprise. It is difficult to get together.” Qingling Group was once ranked first in the top 50 of Chongqing Industry, and it is one of the 14 key enterprises in the automotive industry in China. Its total assets are RMB 12.5 billion and its net assets are RMB 7 billion. The company's current main product is the latest technology level of the Japanese Isuzu in the last century, 0.6-3 tons of N, T two series of light commercial vehicles, 8-12 tons of F series of heavy commercial vehicles and 5-seat UC series of multi-function passenger cars. The company was approved by the state in 1994 and was listed as the first pilot company in China's auto industry to issue shares in Hong Kong. Products and Chang'an complement each other, assets are very good, but also the background of Hong Kong red chips, for which Changan Group has long been enamored. While Chang’an has shown strong impact on the momentum of large-scale enterprise groups, Beijing Automotive and Guangzhou Automobile are also making incisive efforts. It is understood that in 2003, Beijing Auto Holding’s affiliated companies produced a total of 348,000 vehicles, sold 336,000 vehicles and achieved sales revenue of 30.82 billion yuan. The market share in the country has increased from 5.6% in 2002 to 7.8%. It is reported that BAIC has proposed to achieve a new goal of accumulating production and sales of 1 million automobiles and a sales revenue of 100 billion yuan by 2008, becoming a Chinese auto company with a par with SAIC, SAIC, and Dongfeng. According to the relevant plans of Guangzhou Automobile Industry Group, by the year 2005, the entire group's annual automobile production will reach 300,000 units. In 2005, the total sales revenue will exceed 500 billion yuan, and in 2008 it will exceed 100 billion yuan. It seems that both Beiqi and Guangzhou Automobile are riveting their efforts to sprint hard. The Dongfeng Group, which did not have a market share of 15% last year, is naturally not willing to catch up with the younger brothers. Dongfeng Group officials told this reporter: “We also noticed the issue of the new industrial policy on the standards of large enterprise groups. But in the end, whether the market share or the sales revenue is used as the criterion for judgment is indeterminate. In fact, it is measured in terms of profits. We are The top ten profit-making enterprises in the country far exceed those of other companies.” Regarding whether Dongfeng will further strengthen mergers and reorganizations to regain 15% of the market, the person said: “The plan is certainly certain, but no further information can be disclosed at present.” According to the provisions of the new industrial policy, the approved large-scale enterprise group development plan is implemented by the company itself. Zhang Wenkui of the Development Research Center of the State Council said: "This means that large-scale enterprise groups will implement projects more smoothly." Jia Xinguang, chief consultant of China Automotive Industry Consulting Co., also stated: "The direct benefit is that the country approves a 5-year or 10-year plan. After the planning, the implementation of specific projects does not need to be approved one by one.” Clearly, in the increasingly fierce competition, the responsiveness of companies to the market will determine the success or failure of the enterprise, and large enterprise groups will receive more than others. Greater autonomy for businesses. For companies that are not yet involved in large-scale enterprise groups or companies that have already left the team, it is worth mentioning that they are doing their best. Li Zuokui of Dongbei University of Finance and Economics believes that in the short term, the capital strength of China’s auto industry will not allow most domestic companies to reach economies of scale, and it will be impossible for them to effectively narrow the gap with multinational corporations. Therefore, the way out lies in the voluntary and spontaneous foundation of enterprises. The alliance will form a synergistic effect, take the road of industrialization, collectivization, and internationalization, promote the large-scale asset restructuring of auto companies, and increase market competitiveness. Jia Xinguang analyzed that if Chang'an Group and Beiqi cooperate, the complementarity between the two parties is also strong. He said: "Baiqi now has very weak internal control over assets. Chang'an Group has strong internal cohesion. Changan's visit to Nanjing to set up a factory is a brilliant move. If you can establish a headquarters in Beijing, it will be even more powerful." Jia Xinguang believes that there are many possibilities for integration in the country. Changhe and Hafei may also be integrated. “The Hafei Group and Dongan Group, which produces the engine, have completed the integration. Changhe uses the engine of Dongan, so both Hafei and Changhe are engines. Contact, but also belong to the aviation company." In addition, Anhui Jianghuai, Kaisbauer, Chery has a great complementarity; Shenyang's Brilliance Jinbei may also be eaten by the FAW in the future; and now Guangzhou focused on the Japanese car , Dongfeng, which has extensive cooperation with Japanese cars, is naturally staring at Guangzhou; Zhengzhou Nissan may also incorporate Dongfeng in the future. In response to possible reorganization, relevant experts pointed out that the establishment of large-scale state-owned auto enterprise groups should not be interfered by the government. Instead, they should achieve industrial restructuring and corporate asset restructuring of the auto industry through competition in the market where the survival of the fittest takes precedence. Winning. Source: China Business News

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