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All the new cars are sold at a 50% discount, and the reputation of this independent brand is collapsing and facing the crisis of delisting.

2024-09-19 Update From: AutoBeta autobeta NAV: AutoBeta > Industry Report >

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AutoBeta(AutoBeta.net)07/29 Report--

Nazhijie 6 new car guide price 149800 yuan, now 72000 each; Nazhijie big 7 only 46% discount-fracture quotation from Nazhijie sales circle of friends. To make matters worse, even if the market sold new cars at half price, Na Zhijie still could not escape the fate of dismal sales.

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"there are basically no 4s stores in this car, and it all depends on the resources of the second network," an industry insider told us. According to the dealer information provided by Dongfeng Yulong's official website, some media called more than 100 Dongfeng Yulong dealers across the country and found that nearly half of the dealers had withdrawn from the network, and most of them had terminated sales, leaving only the after-sales service function. Among them, nearly 20 dealers are in a state of unanswered calls or unpaid downtime.

Another Dongfeng Yulong dealer, who has withdrawn from the network and transformed into a service provider, said that the supply of many accessories from the factory has been stopped, car owners can not find a place to repair their cars, and even second-hand car dealers are not willing to take our cars.

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Nazhijie's sales fell to just 7056 in 2018, down 61 per cent from 2017. The downward trend accelerated significantly in 2019. In the first five months, Na Zhijie's cumulative sales were only 571 vehicles, down 88.4% from the same period last year. With such sales performance, it is difficult to support the operation of the entire enterprise, so Dongfeng Yulong, the parent company of Nazhijie in the mainland market, has recently been widely rumored to have plans to delist.

It is reported that it is widely rumored that Dongfeng Yulong will be shut down within 1-2 years. Both Dongfeng and Na Zhijie denied the news. Dongfeng Company responded to the media that Dongfeng Yulong, like the Chinese auto market, is undergoing a test, and both shareholders are working hard for change. Na Zhijie responded that at present, the company's production and sales are normal, and the launch of the new car is also under preparation.

Dongfeng Yulong Automobile Co., Ltd., established in December 2010, is a joint venture between Dongfeng Motor Company and Taiwan Yulong Group, each holding 50% of the company. it is the first automobile manufacturing enterprise on both sides of the Taiwan Strait to be positioned as a Greater China independent brand and integrates vehicle research and development, production, sales and after-sales service. The company is located in Xiaoshan, Hangzhou. After its establishment, Dongfeng Yulong mainly produces and sells "Na Zhijie" brand cars.

In the early years, Nazhijie also reached its peak of development, reaching a peak of 60,000 units in 2015. Due to the stagnant level of research and development, product strategy problems, the collapse of user reputation, Na Zhijie's sales then plummeted, until now almost forgotten by consumers.

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Due to sales volume, performance, management internal friction and other problems, Dongfeng Company made the decision of "withdrawing people not divestment" in 2017, fully withdrew from the operation and management of Dongfeng Yulong, and did not participate in internal management decisions. Yulong Group, on the other hand, fully took over and increased investment. Some media reports also pointed out that at present, the Dongfeng Yulong factory in Xiaoshan, Hangzhou has almost come to a standstill, with a monthly production of about 100 vehicles and a significant reduction in personnel, from 3000 at its peak to about 1000 today.

At present, Na Zhijie has a total of 5 models on sale, namely, Big 7 MPV, you 6 SUV, U5 SUV, Na 3 and Rui 3. In view of the weak brand, poor reputation and low preservation rate, sales have been depressed. According to the official news of Nazhijie, the manufacturers have not given up their plans to launch new cars, and a seven-seat SUV called "Nazhijie URX" will be launched in the third quarter of this year, boosting brand sales.

Na Zhijie can be said to be a brand living in jokes. Netizens often make up all kinds of teasing comments on the topic of Na Zhijie, and now jokes related to Na Zhijie are still circulating on the Internet, especially in terms of fuel consumption.

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It can be seen that the biggest difficulty of Na Zhijie is the crisis of word-of-mouth.

Dongfeng Yulong is also aware of its situation and issued an official statement last year to boycott it. Some self-media held memorial services for Na Zhijie brand vehicles, as well as the use of e-waste, Na Zhijie cars, industrial waste and other behaviors and language, Dongfeng Yulong thought that it violated the legitimate rights and interests of the company, caused great harm to Na Zhijie and car owners, and asked video publishers to make a public apology and eliminate adverse effects.

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In fact, China's automobile industry has developed from a high speed to a continuous decline, the current stock competition has led to a series of chain reactions, independent car brands have also entered the reshuffle period, Dongfeng Yulong Na Zhijie's current situation is sad, facing the delisting crisis. Na Zhijie is a brand that is overwhelmed by both quality and word-of-mouth, the reputation of users is broken, it is difficult for fuel vehicles to turn around, and Dongfeng Yulong's new energy may have more hope for survival.

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