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Another car dealer group has been delisted! According to media reports, the stores of Chongqing Longhua Industrial Group (hereinafter referred to as "Chongqing Longhua"), which are regarded as the "lowest-key and mysterious" dealer group in Chongqing, are either closed or transferred, and the maintenance given or purchased by a large number of users cannot be cashed normally.

Ms. Zhu, who lives in Yuzhong District, complains that her car has only been maintained a few times and the 4S store is empty. According to Ms. Zhu, she bought a Civic in Longhua Tianshi 4S store in December 2021. The reason why she chose this store is, on the one hand, it is close to home to facilitate later maintenance, on the other hand, it is the trust of the store's Chongqing Longhua Group. After all, it is a "time-honored brand" that has been operating for many years, whether it is enterprise scale or market reputation, which is reassuring. As a result, Ms. Zhu applied for a membership card in the store, but did not expect that the membership card had not yet been used, waiting for the news that the 4S store was closed.

According to media practice, the Longhua Tianshi Automobile sales Company mentioned by Ms. Zhu is located on Jingwei Avenue, Yuzhong District, Chongqing. On the sliding door of the vehicle entrance and exit, a notice of "our shop is closed" is posted impressively. When I walked into the store, there was no exhibition car in the exhibition hall of the 4S store, only some tables and chairs that had not been removed, no one could be seen on the workstation in the office, and even the oil on the floor of the maintenance workshop had been cleaned up.

The media reporter inquired to the security guard when Wohua Automobile sales and Service Co., Ltd., which also belongs to Chongqing Longhua Group, was evacuated. He pointed to the nearby Volvo store and said: "it has been a long time since it was withdrawn. I can't remember exactly which day. Anyway, it's been more than half a year." Through the glass of the store, there is no trace of the Volvo brand in the store, only on a rollout standing next to the glass door, with a "notice of after-sale maintenance site transfer" posted on December 12, 2022. On the outer wall of the building, there is a huge advertisement saying "the whole shops in the prime area are for rent", announcing the evacuation of the "ex", waiting for the newcomers to settle in.

In the nearby Zhonghua Automobile sales and Service Co., Ltd., the festive Spring Festival store sign is still hanging on the door, but a rabbit ear has been broken and hung on the Volkswagen brand LOGO, the front door glass is affixed with a "stop business" notice, there is still a display car in the exhibition hall, the maintenance area is dark, and the empty 4S store looks particularly bleak.

On April 14, the Chongqing Municipal Administration of Market Supervision and Administration revealed that Dachang Automobile Holdings Group Co., Ltd. plans to acquire a 100% stake in Chongqing Longhua Industrial Group Longhua Automobile sales and Service Co., Ltd. (hereinafter referred to as "Longhua Automobile"). According to the document, Longhua Automobile was founded in December 2010, mainly engaged in FAW Audi brand car sales and after-sales service related business, mainly through Longhua Group, the parent company of Longhua Automobile, engaged in investment and management business. Dachang Bank was established in April 2021, the main business is vehicle sales and after-sales service, distribution brand auto parts sales, etc., the ultimate controller is China CITIC Co., Ltd.

Longhua Tianshi Automobile sales and Service Co., Ltd. is a wholly-owned subsidiary of Chongqing Longhua Industrial (Group), founded in March 2008 and opened in February 2009. At its peak, it represented FAW-Volkswagen, Dongfeng Honda, FAW Toyota, FAW-Volvo, Changan Automobile and other brands, ranking among the top five in Chongqing Automobile Dealers Group.

Chongqing Longhua Industrial (Group) Co., Ltd., founded in 1994, headquartered in Yubei District, Chongqing, is a comprehensive group company engaged in automobile sales services and automotive aftermarket business, and is well-known in Yubei District and even Chongqing. no matter the enterprise scale or market reputation have been recognized by many users. According to Tianyan investigation, Chongqing Longhua Industrial (Group) Co., Ltd. is still in a state of existence, but many of its affiliated companies have been cancelled. Including Chongqing Longhua Group used car Trading and replacement Service Co., Ltd., Chongqing Longhua (Group) Suzuki Automobile sales Service Co., Ltd., Chongqing Longhua Industrial Group Di Automobile sales and Service Co., Ltd., Chongqing Longhua (Group) World famous car Fine products Exhibition Center Co., Ltd., Chongqing Longhua (Group) Changan Automobile sales Service Co., Ltd., Chongqing Longhua Industrial Group car Leasing Co., Ltd., etc. Both are displayed as logged out.

Chongqing Longhua Group closed a large number of stores, in fact, is also the epitome of car sales and service reshuffle. In February, Zhejiang Zhongtong holding Group, the largest car distribution group in Taizhou, Zhejiang, ran away, many of its distribution stores were closed, employees' wages could not be settled on time, and maintenance given or purchased by a large number of users could not be solved.

A few days ago, domestic auto distribution groups released their 2022 results one after another, in which net profit of Bidley Holdings fell 56.7% year on year to 243 million yuan, Meidong Automobile net profit fell 54.2% to 556 million yuan, Xinfengtai dropped 76.6%, Yongda Group dropped 43.2%, Zhongsheng Group dropped 21.3%, and Guanghui Baoxin plummeted 226.4%.

In recent years, with the rise of independent brands, the market advantage of joint venture brands is gradually lost, especially in the new intelligent and electric track, the joint venture car companies do not have much advantage, which leads to a sharp decline in sales and a sharp decline in market share. the difficulties faced by joint venture car companies will eventually be passed on to dealers. Earlier, some dealer groups that made money by betting on joint venture brands now face the choice of survival.

According to the 2022 National investigation report on the living conditions of Automobile Dealers released by the China Automobile Circulation Association, 2022 will be the most difficult year for car dealers in the past 3-5 years. Car dealers' satisfaction with the mainframe factory, annual sales target completion rate, profitability and other aspects have declined. According to the association's survey, only 29.7% of dealers made a profit in 2022, while 70.3% of dealers lost money or did not make money, the worst year since 2018. According to incomplete statistics, more than 2000 4S stores in China will withdraw from the Internet in 2022, and Chongqing Longhua is just a microcosm of the market.

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