What is the way out for Chinese self-owned brand cars?

If you don't count the hardships of starting a business, your own brand never seems to have been as difficult as it was this year. This year's hardships are very different from the hardships of entrepreneurship. This year, the self-owned brand experienced a rapid drop after a high growth. Even if the company has doubled its annual sales volume, it will still be difficult to complete the sales task even if the sales target is lowered. Companies that have been rushing to promote high-end brands are forced to find that they cannot sell for one month. a car. The market share is shrinking, and the price of bicycles is still not going up. The former joint ventures seem to run further and further, and later came the joint venture of independent brands. The recent adjustment of the energy-saving vehicle subsidy policy has raised the threshold for selected models, and has kicked a large number of self-owned brand models out of subsidies.

Going forward, it seems that there is no way to go, back, of course, a dead end, China's own brand cars out of the way where?

Countermeasures Geely car brand transformation and overseas mergers and acquisitions Perhaps for a persistent person, things can only be done if they want to do it. This is how Li Shufu started his life as an automobile company. Once his own brand cars are trapped in low quality prices, he once again achieved a breakthrough in high-end models and successfully launched three brands - Dorsett, Global Hawk and England. In the sales structure of Geely, the oldest player in Jiangshan has given up its main position. The emperor brand with mature and stable characteristics has been recognized by the market. The demand for the Emgrand EC7 model was strong and became the company’s best-selling model, accounting for 21% of the total sales. Its higher-priced models accounted for 49% of total sales, compared with 46% last year.

However, Geely also did not escape the fate of its own brand car company "more than half of the time, not more than half of the task." In the first half of this year, Geely Automobile sold a total of 21.33 million vehicles, which represented an increase of 9% year-on-year, of which domestic sales increased by 6% to 1,999 units, roughly in line with the 8% increase in the domestic car market, while exports increased significantly by 93% to 13,385 vehicles. In the context of a significant slowdown in the domestic auto market and a 3.5% year-on-year increase in vehicle sales in the first half of the year, Geely's 21.33 million vehicles also only reached 44% of the annual sales target of 480,000 vehicles.

Under this circumstance, Geely insisted on playing the emperor brand on the one hand, on the other hand, it placed its hope on the sales promotion of new cars.

Gui Shengyue, chief executive of Geely Automobile listed in Hong Kong, said that 4 to 5 new models will be launched in the second half of the year, which will contribute to the overall sales volume. As a result, Geely’s annual sales volume can increase by 15% year-on-year to 480,000 units. The goal. It is understood that Geely Automobile will launch the Global Hawk GC7 midsize sedan, Global Hawk GX7 sports utility vehicle, British sedan SC3 basic sedan, British sedan SC7 6AT (six-speed automatic transmission) medium sedan and Emgrand EX7 sports multi-function in the second half of the year. Cars and other models.

As the first Chinese auto company to successfully acquire overseas luxury brand cars, the development of Geely’s own brand will undoubtedly gain Volvo’s hand. Although Li Shufu repeatedly stressed that "Geely is Geely, Volvo is Volvo", but these two brands are now in the same company, using Volvo's advanced technology to help Geely's own brand growth, it should be reasonable.

Moreover, Geely itself is also progressing. In this year's automobile market, the average selling price of Geely Automobile's factory sales has improved to approximately RMB 45,000 per unit, an increase of 1.2% year-on-year. At present, Geely’s market share in the Chinese car market has remained at more than 6%. In the first half of the year, export sales volume has increased by 93% to 133,800 units, accounting for 6.3% of the Group's total sales during the period.

Guangzhou Automobile Passenger Vehicle expects government procurement to be liberalized. Whether it is the adjustment of energy subsidies or the weakness of the market environment, the impact of the newly established Guangzhou Automobile Passenger Vehicle is relatively limited. Although at the beginning of the year, the basic sales of 20,000 vehicles were proposed and the target of challenging 30,000 vehicles was met, in view of the weakening of the overall auto market environment, GAC passenger vehicles will strive to ensure the completion of the 20,000 sales task.

In order to increase sales volume, GAC Passenger Car has launched a promotional campaign of 10,000 yuan in the middle of the year, followed by the introduction of a 1.8L biography, and the entry price has been further explored. The reporter learned from GAC passenger car that the main energy of GAC passenger car in the second half of the year was the 1.8L biography passed around the country, and the main target chose the second and third tier cities with huge potential.

Another solution to the weakening of the auto market by GAC passenger vehicles is to pass the 1.8L pass to target the official car market. The 1.8L transmission model is built entirely in accordance with the new official vehicle procurement standard of “1.8L or less and priced at less than 180,000”, and hopes that the 1.8L transmission will account for 20% to 30% of the sales of official vehicles. According to an insider of Guangzhou Automobile Passenger Vehicle, “As a brand new brand, sales volume is not the main factor for GAC passenger vehicle considerations, and sales this year will certainly increase. The main task is to establish a brand and product line, and at the end of the year will launch its own SUV model. ."

The status quo policy does not force the pressure on the overall situation in the second half of the year. The overall sales volume of the auto market will decline this year, and it has to be said that there is a great relationship with the adjustment of national policies. First of all, this year, the state will levy a vehicle purchase tax at a tax rate of 10% for passenger cars with a displacement of 1.6L and below, and the purchase tax preferential policy will formally withdraw from the stage. Some professionals believe that the biggest impact of this measure is bound to their own brand car prices, because most of the independent brand models concentrated in 1.6L and below, the impact on sales is evident. Secondly, the auto-to-country and old-for-trade policy was also officially terminated early this year. It is also a big blow for independent brands with a vast market in rural areas.

In addition, the threshold for the recent energy-saving benefits will be officially raised in October, and the average fuel consumption for continuing subsidies will increase from 6.9 liters to 6.3 liters. Of the more than 420 models that enjoy subsidy cars on the list, 70% will be eliminated. According to rough statistics, the self-owned brand models with an average fuel consumption of 6.3L have already had less than 100 models, while small-sized vehicles have become the main subsidies.

According to data from the China Association of Automobile Manufacturers, in August, the self-owned brand of passenger cars sold a total of 407,400 units, a year-on-year decrease of 2.86%, accounting for 37.20% of the total sales of passenger cars. From January to August, the self-owned brand on the passenger car market sold a total of 3,930,200 vehicles, which accounted for 42.63% of the total passenger car sales, and the market share decreased by 3.18% year-on-year. It can be seen from this that the decline in the sales of self-owned brands from the beginning of the year to August is rapid, and only the growth rate of exports has made domestic independent brands somewhat gratified.

According to the inventory data in the first half of the year, almost all of the independent brands are far away from the sales expectations of “more than half of the time and half of the tasks completed”. Geely Automobile, which performed slightly better, sold 21.33 million vehicles and completed 44% of the annual sales target of 480,000. Chery completed 39% of its annual sales target; Changan completed 38.8% of its annual sales target; BYD completed 38.7% of its annual sales target; JAC completed 35.9% of its annual sales target.

It is difficult for new technology to support self-sale incentive policies to expire at the end of the period, the introduction of the purchase restriction policy, joint venture self-blocking, and the lack of strength for the high-end products to break through. The self-owned brand cars seem to have fallen into the development bottleneck. Obviously, the national encouragement policy has allowed the market share of the self-owned brands to increase far faster than the level that their own competitiveness should achieve, and they have been lost in rapid growth.

Grab the market, push technology, stare at policies and expand exports, these have become the "rescue" for car companies "warm-proof". In the application of new technologies, only a few autonomous automakers such as Great Wall Motors and BYD can quickly launch models equipped with turbocharged engines. However, they still need to be recognized by the market, and the time for most new technologies to be introduced to the market still needs six months to one. In the year, it is still difficult to support the sales of independent brands in the short term.

In terms of policy, many car companies look forward to the official launch of government procurement. According to the new government procurement rules for official vehicles at the beginning of the year, the standard of “distribution below 1.8L and selling price below 180,000” basically blocks joint venture brands outside the door. Xu Yulin, deputy general manager of Guangqi Passenger Vehicle, once expressed the hope that 1.8L will be passed on. The official car sales accounted for 20% to 30% of sales. But also in this market, there are also Roewe, Pentium, Yue Xiang and other models.

In addition, increasing export intensity is also an alternative strategy for companies to respond to the domestic market performance. At present, JAC and Chery Automobile are entering emerging markets such as Brazil and Venezuela. According to statistics, Chery Automobile exported a total of 18,000 vehicles to Brazil in the first half of this year, accounting for more than 25% of Chery’s total exports. Dong Yang, executive vice president and secretary general of the China Association of Automobile Manufacturers, reminded domestic auto makers that “exporting a car is not only about selling the product, but also taking into account local needs and doing a good job in localization.”

Measures Shanghai Automotive Co., Ltd. created Shanghai Auto, an “overseas overseas” R&D model that started as a direct confrontation with the joint venture. It was the first company to break the ceiling of 100,000 yuan for its own brand, but it still faced a decline in sales from the original target this year. 30,000 Taiwan pressure. Chen Zhixin, president of Shanghai Automotive, believes that in the ever-changing consumer demand and fiercely competitive domestic market, we cannot follow the general public and GM. We need to find a continuous, all-security and innovation-driven road. In a nutshell, it is based on the "one or two or three", one goal, two capabilities, or three major advantages to build an innovative system with SAIC's own brand.

One goal: to innovate to build a strong Chinese auto brand with core competitiveness and international competitiveness. Although the overall market growth slowed down during the first half of this year, there is still enough space in the next five to ten years in China, and even if it does not increase every year, there will be 20 million vehicles, compared with 17 million vehicles in the United States. In order to build a strong self-owned brand, Shanghai Automotive invested 23 billion yuan. In the “12th Five-Year Plan” period, SAIC will invest 22.2 billion yuan, which means that a total of 45 billion yuan will be invested in 2015.

In the three major areas of R&D, manufacturing and services, SAIC has initially established three differentiated competitive advantages. Such as research and development advantages, SAIC formed a research and development model of “China-led, global-linked, and one-out-seas” R&D system of domestic independent brands and was highly recognized by Premier Wen Jiabao. Shanghai Automotive has a large number of mid-to-high-level talents from Shanghai Volkswagen, Shanghai GM, former MG Rover Group and recruited from around the world. The technology R&D center has a global engineering team of more than 2,000 people, of whom more than 300 are R&D personnel in the UK. They not only own Rich experience in automotive R&D, and the R&D and design concepts are synchronized with the international.

In fact, this is an innovative combination of "UK Design" and "Made in China." An example can visualize the success of this R&D model. From the Roewe 550, Roewe 350 to MG3, all new products launched by Shanghai Automotive must pass the C-NCAP five-star rating, and score higher and higher. Even the first-line joint venture brands such as Shanghai GM, Shanghai Volkswagen, Guangzhou Automobile Honda, and Dongfeng Honda cannot achieve five stars for each new car. This shows that Shanghai Automotive's “one overseas” R&D model pursues stronger than joint venture products. Among them, safety performance is the most intuitive measure of the quality of a vehicle model, and it is the first and foremost.

If Brilliance Automotive wishes to break through and only innovate when many self-owned brand automakers fail to fulfill their annual tasks, Brilliance Automotive achieved a 5% year-on-year growth in the first half of the year. However, this does not mean that Brilliance did not feel that there was a chasing after the wall. Soldier pressure. In order to be able to win a new life, Huachen’s specific approach is to focus on key products and implement precision marketing in order to explore market segments in product sales strategy. For example, in the sales of Chinese cars, new products are launched and new products such as the Chinese H530 are launched. Pay attention to the sales structure, implement marketing projects such as dual fuel, respect for 1.8TAT, automatic car, new energy, personalized car and other products; and strive to promote the sales of high-end products such as Golden Ocean, Grace MPV, and enhance brand image.

Of course, these are only partial tactics. If we want to make breakthroughs in our strategy, Brilliance believes that only innovation can make it stronger, so that we can make a breakthrough. BAI Yumin, Chairman of Brilliance Automotive, told the reporter frankly that there are two huge gaps between us and foreign brands. The first is core technology, and the second is quality. Quality covers a wide range, such as process equipment problems, but the gap in the core technology is even greater. Such as design, chassis technology, engine technology, gearbox technology, automotive electronics, etc., the gap is everywhere.

Lack of technology and quality, of course, independent brands can not be accepted by Chinese consumers. If the Chinese auto industry wants to compete with joint ventures on the same stage and win some market share, it must pass core technology and quality. And these two levels must be solved by innovation. How to innovate? How can we have the core technology? Yan Yumin believes that two methods should be ruled out. The first is to buy money. “I have a good friend who tells me that money can buy wealth. I can’t buy strong. I’m convinced that I can’t buy it.” It looks like you bought technology, but you can't digest and absorb it, so I excluded simple purchases." The second exclusion is to build vehicles behind closed doors. The world has become internationalized. The innovation in R&D is to rely on international in-depth cooperation to learn their technologies, digest their technologies, and cultivate our talents.

The quality of innovation is to innovate from the concept. China's quality is checked out. It is a process, one step, and the sending of individuals to check it out. This practice is wrong. It can be 30 years ago and it is not now. The quality of BMW is considered to be guaranteed rather than checked out. There are a set of quality assurance processes and standards for each link and process, with process standards and management standards. Rely on these things to completely ensure that thousands of parts and dozens of processes are in a state of guarantee, not by people. This is also an innovation and management innovation. The improvement of quality can only be achieved through management innovation.

Summing up, in recent years, Brilliance Automotive has always insisted on innovation in brand, R&D and capital, and created the “Brilliance Model”. The so-called brand innovation, that is, a high starting point to build its own brand, through the quality of the brand, from the root to reverse the market's impression of the independent brand; "R & D and innovation" means that Brilliance Automotive insists on integrating the world's resources, to create high-quality national quality cars. To this end, Brilliance has established a high-quality technology alliance, which includes the cooperation with Porsche for chassis adjustment and cooperation with Pininfarina for vehicle styling design. As for capital innovation, Brilliance Automotive actively uses a variety of capital operations to actively explore new opportunities. The financing channels ensure that the company can achieve high-speed and steady development.

Great Wall Motor Relying on New Products to Raise Sales Volume by Core Technology In terms of sales volume from January to August, Great Wall Motor achieved sales of more than 300,000 units, an increase of 33.8% year-on-year, and Great Wall Motors exported more than 50,000 vehicles, an increase of 32.7% year-on-year. In August alone, Great Wall Motor also achieved a year-on-year growth of 13.7%, exceeding the growth rate of the same industry, and becoming one of the brands with the highest growth rate and fastest growth rate.

Wei Jianjun, chairman of Great Wall Motors, stated that more new cars will be put on the market in the second half of 2011. The main products of Haval SUVs are: Mid-to-high class urban SUVs Haval H6 and Haval M4. Tengyi's main products include: Tengyi C50, Tengyi C20R and other models. Feng Jun pickup introduced a Feng Jun 5 modified models. Among them, Haval H6 and Tengyi C50 will be marketed as key products. Among them, the Tengyi C50 is also a newly developed high-quality full-size passenger car with international high quality in the Tianjin factory, which will be the focus of sales promotion.

Wei Jianjun said that Great Wall Motors aims to build a “three-high” product this year and plans to sell 500,000 vehicles, of which 80,000 are exported. Both the Haval SUV and the Tengyi are more than 200,000. Feng Jun pickup more than 100,000. Maintain China's sales volume of SUVs first, maintain the sales volume of China's pickup trucks, and enter China's A-class Jiajiao.

Wei Jianjun said: "Without mastering the core technologies, we can only be controlled by people forever; without high value-added products, we can only paralyze the low-end market; without taking the road of independent development, China's national automobile industry will have no future." Now Great Wall Motors Whether it is through the integration of global resources for innovative R&D, or through cooperation with top international technology companies and standing on the shoulders of giants to carry out “integrated innovation”, Great Wall Motors has firmly grasped the trump card of technological “autonomy” and laid the foundation for achieving the upward development. A good foundation. “

Wei Jianjun, chairman of Great Wall Motors, said: “The way out of self-owned brands is still in terms of quality. Behind the quality is actually technology and quality support.”

In addition, based on the globalization strategy of Great Wall Motors, export sales has been a strong promoter of Great Wall Motors. Products are mainly exported to Russia, Italy, Australia, Egypt, Syria, South Africa and other countries and regions. In mid-May 2011, Great Wall Motors exported 1,000 taxis from Algeria, creating a new record for bulk purchases of Chinese car brands in Algeria. In June, the successful launch of the Tengyi C30 in Chile became the first sedan model in the Chile sedan category.

Haima Motor's brand promotion by SUV is similar to that of many companies. Haima Motors also chose the main SUV model market this year and hopes to break through the ups and downs of its own brand products through the use of hippocampal knights. The next step will be the deployment of B-Class vehicles.

It is understood that Haima Motor sold 94,900 vehicles from January to August this year, an increase of 4% year-on-year, including the Sea Horse Cavaliers maintained a monthly sales of about 3,000 units. Wu Gang, deputy general manager of Haima Motors and general manager of the sales company, said: “The entry threshold for low-end SUVs is relatively low, and the SUV market is getting hot. This is the main incentive for many independent brands to be involved in the low-end SUV market. But it is really in China. The SUV market has taken a place, and its own brands must break the fate of the low-end price war in the downstream of the industrial chain and imitate the patchwork.” With the introduction of the new hippocampus knight, the Cavaliers will bring new wave sales to hippocampus.

Limited by the development of products and networks, hippocampus has always been hard to be called a "mainstream brand," but Haima Motors has not disrupted its own development because of the general trend. Wu Gang, deputy general manager of Haima Motors and general manager of the sales company, said: “The over-reliance of independent brands on the growth of sales and development speed, ignoring the strategies of technological capabilities, quality, brand, customer service, and steady growth have exacerbated today’s situation.” The car also cooperates with the huge automobile trade, enhances the network service ability.

According to the plan of the previous hippocampus car, a B-class car will be introduced in the future. The car will be selected according to the sales situation of the hippocampus knight. In addition, the design of the four generations of Fairchild has also ended. By the end of the Twelfth Five-Year Plan, Haima will expand to seven product lines, including new Class B vehicles, large MPVs, medium-sized SUVs, etc., a platform-level model, and gradually get rid of A0-class models.

Reporter observes that independent brands lack their own "brand cars"

Talking about the development of self-owned brands is a big topic. Many people will also think of the rise of car companies in Japan and South Korea in the last century; that same year that has experienced imitating, learning, and innovation has been successful. Today, Chinese independent brands are mostly copying this model, but they are not only more powerful opponents, but also unprecedented energy revolution and market environment.

The more than ten years or even decades of development of self-owned brands, the ones most impressed by the people are the red flag cars that have changed their tastes and the Chery QQ that has been successful in imitation. Today, these two brands are not brilliant. The reason is not that car companies do not strive to promote themselves but lack strong products to support them. In contrast, the well-known auto brands in Japan, whether Toyota Corolla, Honda Civic or even Suzuki Alto, each of these products has become the object of consumers sought after, of which the design and quality of the product has become the key. These two are the weaknesses of most of today's own brand cars.

The power of design and innovation has not been demonstrated in self-owned brand models. Chinese car companies are not a lack of technology, direct-injection turbocharged gasoline engines, dual-clutch gearboxes or even hybrids, which are still considered cutting-edge technologies in joint-venture brands, and will soon appear in a large number of auto brands in the near future. on. The body and chassis technology also has a lot of successful examples to learn from, the key is that the independent brand cars did not go out of their own way in the design. The appearance of the product is stereotyped, the design of the interior lacks new ideas, and the performance tuning does not have its own characteristics like the Japanese and Korean cars. The autonomous products based on the moderation have less individuality of the domestic cars, and gradually become more competitive. Being forgotten and marginalized by consumers.

Chinese consumers want the strength of their own brands, and hope that they can open a domestic car of their own choice, even if only one or two models for their own choice. This kind of product does not need much, but can arouse the consumer's desire for purchase and increase the vitality of the brand. Not long ago, I saw a topic in a domestic automobile magazine called the Memoirs of Japanese High-performance Cars. The topics include Toyota 2000GT, Toyota AE86, Nissan GT-R 32, and Mazda RX7. The symbol of the Japanese car in that era was displayed, and it became a Japanese car to establish its own "brand car." Looking back at domestic cars, they also need such a "brand car." This is an age of star effect. For self-owned brand car companies, the power of star cars can also help them in their rise.

Different times, the opportunities and challenges that today's self-owned brands face are different from those of Japanese and Korean cars. Today's consumer demand for cars is not only tools, but today's Chinese car companies are even less in the policy protection enjoyed by Japanese and Korean companies that year. Today's Chinese cars face not only powerful European and American rivals. Self-branded cars need to be self-reliant, but this cannot be supported by lack of consumer and national policies.

Countermeasures Chery Motors does not reduce its sales target for this year. Self-Empowerment and Independent Innovation As of August this year, Chery’s annual sales volume has reached 404,662 units, showing a year-on-year growth momentum. According to Ma Dejun, general manager of Chery Automobile Sales Co., with the recent listing of Tiggo 1.6DVVT, Chery E5 and other premium models, sales will be more optimistic in the second half of the year and Chery will not change its annual sales target.

Ma Dejun said, “The development of self-owned brands must be very difficult, but we are very confident. Even if the industry holds a wait-and-see attitude towards the future development of independent brands, I think independent car companies represented by Chery will continue to face adversity. The growth has grown.” He also said that for the first half of the year, the growth of the auto market experienced a decline, resulting in a significant decline in the sales volume of self-owned brands, which included many internal and external factors: Over the years, their own brands have developed short-term qualifications and lack of experience, leading to brands. Force is very weak; coupled with joint venture brands in the product and price level of pressure penetration, and long-term accumulation of scientific research ability is poor and other issues, the independent brand has entered a new transition period and painful period.

Ma Dejun said, “Although there is a big gap between our own brands and joint venture brands in terms of products, technology, marketing, management, etc., some domestic car companies represented by Chery have realized the importance of strengthening the internal strength cultivation. Speed ​​up the development of technology research and development and brand management. This is the progress in pressure."

Ma Dezheng said that the way out for independent brands must be independent innovation. Chery has been adhering to independent innovation since its establishment and persistently pursuing technology. It has continuously invested in research and development of automobile core technologies such as entire vehicles, chassis and engines, and core engine technologies in recent years. The application is due to the introduction of high-performance engines such as the DVVT. The coating production line is the coating production line of German DURR company that Chery invested nearly 700 million yuan. This is the fifth DURR coating production line in the world after BMW, Volkswagen, Audi and so on. The anti-corrosion and anti-rust capability of the car body is up to 12 years, which is far higher than the domestic industry standard of 8 years. Chery also invested 1.5 billion yuan to establish Asia's largest national-level technology testing center and successfully completed the "China's first touch" (the first domestic "car-to-car" collision according to US standards).

New energy is the development trend of the automotive industry in the future. As for the research and development of new energy technologies and products, during the “Eleventh Five-Year Plan” period, Chery took on 9 major projects of “Energy Saving and New Energy Vehicles” and passed all the experts of the Ministry of Science and Technology. The acceptance includes the development of hybrid vehicles, pure electric vehicles and fuel cell vehicles, and the development of alternative fuel vehicles such as energy-saving, environmental-friendly, high-efficiency gasoline engines for the new generation of cars, compressed natural gas, and methanol flexible fuels. On the other hand, it is an international development strategy. Overseas markets have become an indispensable sales direction for independent brands. In the overseas market in the first half of the year, Chery achieved export growth with 88.5% year-on-year growth. J. DPower's satisfaction survey on after-sales service shows that in 2011, Chery achieved a record high of 841 points, exceeding the industry's average score of 8 points, and pressed many joint venture brands to stay at the forefront of the first camp of independent brands.

Changan Automobile's layout will slow down next year's auto market. For Changan Automobile, it will focus more on “cultivating internal strength” and will already prepare for the next year. Data show that Changan Automobile sold 9.25 million vehicles in the first half of this year, which was a decrease of 5.05% year-on-year, of which mini-vehicles and autonomous cars were both greatly affected.

After the recent adjustment of energy-saving vehicle subsidies, Changan Zhixiang and Benben MINI still have models within the scope of subsidies, with limited impact. In the second half of the product planning, Changan Automobile also has no plans to list new models. It is understood that Changan Automobile has placed more emphasis on launching new models or launching new models next year, including the new car C201 (Yidong) will be available in the first quarter of next year, and the SUV codenamed E301 will be held next year. 7 The moon phase.

In the 2011 semiannual report released by Changan Automobile, the main reason for the decline in the profitability of self-owned brands was mainly due to the decline in overall sales of the company and the increase in the cost of raw materials, and the gross profit margin fell sharply. As for the major problems and difficulties facing the company's operations in the second half of the year, the company stated that it mainly comes from the following three points: 1. The slowdown in the growth of the auto industry; 2. The high price of raw materials is operating; 3. The cultivation of independent brands is in the growth stage. In response to the situation in the second half of the year, the company stated that it will work hard to reduce costs and increase brand competitiveness.

BYD will launch turbocharged engines this year for BYD. It has been an eventful event for them. They have to “pay the bill” for their previous crazy expansion. However, in the product area, BYD will launch a model equipped with a new power system in the second half of the year, which will allow BYD to take the initiative in responding to this energy-saving policy adjustment.

This year, BYD focuses on new cars and technology brands in its products. Two of the major actions are keeping the S6 hot and the launch of new power systems in the second half of the year. At present, BYD's hot-selling model S6 is still in a rampant production rampage. In August, it has increased production to 6,000 units. By the end of this year, it is expected to achieve 15,000 units in a single month. This model is expected to support the second half of the year. For the first time, the G6 mid-to-high-end sedan equipped with a turbocharged direct-injection engine and a DCT dual-clutch transmission has also been officially launched. Although the new power system is worth looking forward to, the technical reliability remains in the market, yet it still has to be tested by the market.

In addition, BYD Li Yunfei, general manager of assistants, said in an interview: “Beginning last July, BYD has made improvements in all aspects of quality and molds, in the hope that the main sales models can have better value and gain consumer recognition. As a result, sales have climbed since April."

However, the most unfavorable to BYD is that the recent departure of senior executives and the layoff crisis have had an adverse impact on the corporate level. Due to the rapid expansion of the previous scale, BYD had to choose to lay off staff as a coping strategy in the face of a weakening of the overall auto market. At the same time, some BYD auto businesses have also had to choose an outsourcing model.