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Dongfeng Yulong was established in 2010 as a joint venture between Dongfeng Company and Yulong Automobile to produce products of Yulong's own brand "Na Zhijie". Dongfeng Yulong launched the first Nazhijie 7 in 2011. The SUV has a Smart + connected system and a blind spot camera that other models do not have. If it is now, it is a must for every car, but it was definitely an innovation in the 3G era at that time. So at that time, this car pushed Dongfeng Yulong into the tuyere, and even had to wait in line to buy cars. In 2014, Dongfeng Yulong released the SUV you 6 with a slanted back design, with monthly sales of 5000 units. In 2015, Dongfeng Yulong's sales reached an all-time high of 60, 000 units, but since 2016, Dongfeng Yulong's sales have been declining for three consecutive years. By 2018, annual sales are only 7056, a year-on-year decline of 60.9%, entering 2019. Instead of improving, it has exacerbated the downward trend.

Recently, with the sharp decline in sales, manufacturing plants have been shut down and a large number of employees have left. It is understood that Dongfeng Yulong had a total of about 3000 employees in 2014 and 2015, resulting in a large number of employees leaving with the sharp decline in production from 2016 to 2019 and the delay in listing. At the Dongfeng Yulong factory in Xiaoshan, Hangzhou, workers say that the monthly output is now about 100 units, while the number of workers in the workshop has dropped to two digits, and the automation rate is only 30%, the same automation rate. The mainstream joint venture is 80% and 90%.

Dongfeng Yulong's problems actually appeared in 2017, when the company adjusted people, things, material and financial aspects, reintegrated and opened a new cooperation model, and the management team withdrew from the company and retained the investment.

Compared with domestic private enterprises, Dongfeng Yulong is still relatively strong in strength and good in launching products, but later it has been delaying the launch of new models, leading to the launch of new products for a long time, and the drawbacks of the original models have gradually emerged in the era of gradual development of science and technology and economy. But in fact, this is all appearance, and the most fundamental thing is that high fuel consumption makes the mainframe factory realize that it should be changed. Dongfeng Company once proposed to replace the original 1.8T engine with PSA 1.6T engine, so that the procurement cost is lower, the fuel consumption is lower, and the price is more effective. But this decision is always just a decision, which is denied internally. Yulong believes that it is not feasible because the 1.8T engine is its product, and it firmly does not agree to replace it in order to protect its own interests. This is just the tip of the iceberg. Similar problems arise frequently within the company, and both companies want to maximize value for their existing suppliers.

For all the negative news, Dongfeng Yulong's response is that "there is no such situation. Dongfeng Yulong, like the Chinese car market, is undergoing a test, and both shareholders are working for change." Dongfeng Yulong also began to realize its disadvantages in the market, according to the company's development trend, will make some achievements in the development of new energy, but this is an uncertain future, we also look forward to it together!

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