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China's car sales have declined for two years in a row, more and more automakers have fallen into loss-making operations, and the industry has accelerated its reshuffle. As a result, the problem of automobile overcapacity is becoming more and more serious. According to the latest statistics of the China Federation of passengers, the utilization rate of passenger car capacity in China has dropped from 66.55% in 2017 to 53.74% in 2019, and nearly half of the factory capacity is wasted. There are only 8 car companies whose market demand is greater than their factory capacity. Data show that China's passenger car sales reached 21.4444 million in 2019, down 9.6% from the same period last year. At the same time, there are 128 car companies that have the qualification of passenger car production of the Ministry of Industry and Information Technology.
During the two sessions of the National people's Congress this year, Wang Fengying, deputy to the National people's Congress and president of Great Wall Motor, put forward a proposal on improving the capacity utilization rate of China's automobile industry. Wang Fengying suggested that we should promote the automobile industry to gather in areas with full capacity utilization and sound supporting systems, cultivate a number of world advanced manufacturing clusters, encourage qualified advantageous enterprises to merge and reorganize enterprises with low capacity utilization or special publicity; strictly control the new vehicle capacity, curb blind investment, avoid inefficient repeated construction, and establish an exit mechanism. Data show that Chinese automobile manufacturers sold a total of 21.456 million passenger cars in 2021, compared with the same period last year.
"overcapacity" has always been a topic of concern in the automobile industry. Since 2018, China's automobile industry has faced greater pressure, suffering from the first decline in market sales, with annual sales of only 28.08 million vehicles, down 2.8% from the same period last year. In the same period, the capacity utilization rate of the automobile industry is also less than 70%. In addition, judging from the current economic indicators, the overall growth rate of the market slows down, the car market remains depressed and does not pick up, it is difficult for the market to return to the original growth level in the short term, and the problem of overcapacity will continue to intensify. Dongfeng Motor was founded in 1969 and is now one of the three major automobile enterprise groups in China, with a number of cooperative brands. Of course.
In the first half of this year, Dongfeng car sales totaled 1.6981 million units, down 11% from the same period last year, and declined again in the first half of this year after a year-on-year decline in 2018. In recent years, Dongfeng Motor has been supported by Nissan brands, the sales of independent brands and Korean and French joint ventures have fallen off a cliff, and its capacity utilization has also fallen to a freezing point. The continuous decline of China's automobile market has caused great pressure on many automobile enterprises, and the sales volume of many automobile enterprises has shown negative growth. At the same time, the output of most automobile enterprises accounts for only a small part of their production capacity. Dealing with excess spare capacity has become one of the urgent problems for automobile companies. Face it.
Overcapacity is a difficult problem facing China's automobile industry at present. Since China's car market entered a golden period of rapid development in 2013, car companies that saw the potential of China's car market began to continue to expand their production capacity. however, the rapid growth of the car market did not last long. In 2018, the consumer demand for cars suddenly came to a sudden stop, suffering the first decline in sales in the market, making the capacity utilization rate of the automobile manufacturing industry less than 70% in that year. As of June this year, China's car market, which has been declining for 12 months, has not improved, and the pressure on overcapacity has further expanded. So in the face of the continuous decline in the car market, how to digest the excess capacity? Production.
In the face of declining sales and serious overcapacity, Hyundai previously said it was considering closing its No. 1 factory in China to enhance its competitiveness and profitability. Hyundai Motor has decided to close its No. 1 plant in China, Bloomberg reported. Beijing Hyundai, Hyundai's joint venture with BAIC in China, has five vehicle production plants, with the first three in Shunyi in Beijing, one in Cangzhou, Hebei and one in Chongqing, with a total annual capacity of 1.65 million vehicles. The closure of the oldest No. 1 factory in Beijing means that there are only four factories left in Beijing Hyundai, which will ease the problem of spare capacity and production pressure. The shutdown of a factory is also taken into account.
Sales decline overcapacity, although many measures have been taken, but Citroen Motor has not yet achieved a "bottom rebound", the first loss in the first half of the year. Peugeot-Citroen will offer factory leases to other automakers to solve capacity problems. According to a statement issued by Dongfeng Group, Shenlong Automobile and Shenlong Automobile sales Co., Ltd. consolidated results in the first half of 2019, with revenue of about 921 million euros, a decrease of about 59.7 percent over the same period last year, and a loss of 325 million euros (about 2.489 billion yuan). A profit of 25 million euros in the same period last year. Sales of DPCA were 10128 units in June, down 54% from a year earlier.
After the incident of "layoffs" was exposed two months ago, Beijing Hyundai has begun to solve the problems of employee compensation and the first factory. Hyundai Motor said it was considering suspending production plans at the first Hyundai plant in Beijing, one of Hyundai's earliest manufacturing plants in China, according to the latest Reuters report. As for the shutdown of a plant, Hyundai said it was due to severe overcapacity due to a sharp drop in sales in the world's largest car market. Hyundai Motor also said in a statement that the company is evaluating production, which includes the suspension of production at the Hyundai No. 1 plant in Beijing and a non-permanent closure to enhance competitiveness and profitability. The modern era is not yet.
In order to deal with the influence of COVID-19, many enterprises have donated money and contributed their efforts, and even in order to strengthen the prevention and control of the epidemic, a number of car companies have postponed and postponed the plan to resume production, which shows how serious the epidemic is. Cao Dewang, known as the "glass king", mentioned in an interview with the media a few days ago that China's manufacturing industry already has overcapacity, so there is no need to worry too much about the impact of the epidemic, and the top priority should be to eliminate the epidemic first.
Speaking of Korean brands, there is still a place in the market. It has been favored by many consumers by virtue of mainstream appearance design and high performance-to-price ratio. However, with the rise of domestic cars in recent years has been a relatively serious impact, sales performance is not particularly good. And as the market goes down, problems that have been masked by fast-growing numbers have erupted. After 2017, the Korean brand market turned sharply and began a long period of transition and decline. However, Kia's performance in the first half of this year was somewhat unexpected. According to June data show, Dongfeng Yueda Kia car terminal sales of 30563,.
After the global automobile market was hit by the novel coronavirus epidemic, it was almost completely disrupted, so that many car companies fell into a state of sluggish sales. In response to this situation, Toyota said a few days ago that it would suspend some factories and production lines in order to achieve the problem of overproduction.
Production at the Hyundai Chongqing plant in Beijing may have been suspended, according to China Finance and Economics, citing people familiar with the matter. A source familiar with the situation in Beijing Hyundai told the media, "there is no production at the Beijing Hyundai Chongqing factory. Most of the workers are on holiday and have stopped production since December last year." In response to the above reports, Beijing Hyundai responded that it had not received any internal documents about the suspension of production. Data show that South Korea's Hyundai Motor Group entered the Chinese market in 2002 and successively set up three vehicle manufacturing enterprises, namely, Beijing Hyundai, Dongfeng Yueda Kia and Hyundai commercial vehicles, which fell short of the annual output of one million in only five years. Take a ride.
As the pneumonia epidemic infected by novel coronavirus spread in Europe, a number of European car companies have announced the suspension of production. Among them, Italy is a region with a serious epidemic, and several factories in Ferrari, Lamborghini and Fiat have suspended production. A few days ago, it was reported that Ferrari Chinese users have been notified of a delay in the delivery of new cars, and the 488 Pista Spider will not be delivered on schedule due to the suspension of production at the factory due to the epidemic. In response to the news, Sun Jie, Ferrari's director of public relations for Greater China, refuted the rumor on his personal Weibo. "who is so immoral to make up such false news?" She further said that it was big.
The novel coronavirus epidemic, which began in January this year, has seriously affected the global automobile industry. as China is the main epidemic area, the domestic market suffered an unprecedented impact in February this year, and sales fell to 2006. To this end, Toyota will reduce production capacity due to the impact of the current epidemic. According to Japanese media reports, Toyota Motor Company has decided to reduce the production capacity of its premium car brand Lexus from March 16, including the production lines of Toyota's two factories in Japan. It is estimated that its production will be reduced by about 1600 vehicles, accounting for about 6% of its total production capacity. According to.
Hyundai CEO Li Yuanxi mentioned solving the problem of overcapacity at old factories in China and reducing the number of Chinese employees at a meeting with analysts and investors, according to Hyundai insiders. An official spokesman for Hyundai also said that it is evaluating optimization plans to increase production capacity and is beginning to apply for voluntary retirement for Chinese employees. According to statistics, Hyundai Motor has not achieved its annual sales target since 2014, and the cumulative global sales volume reached 7.4 million in 2018. Although it achieved positive growth, it still failed to achieve the annual sales target of 7.55 million. Among them, as the most important market of modern automobile-China, its.
With the rise of independent brands and the upsurge of new energy, the survival space of GAC Honda, Dongfeng Honda, Dongfeng Nissan and other Japanese joint venture brands has been squeezed, while Korean joint venture brands are even more serious. Beijing Hyundai, which once sold millions of dollars a year, is also struggling. In order to understand the sales situation of Hyundai in Beijing, the media visit is located in Beijing.
Baoneng, which has been repeatedly reported for unpaid wages, layoffs and shop closures in the past year, finally made a new move in 2022. On January 22nd, Baoneng unveiled two new cars at the new car product appraisal conference, one is the GX5 (code name GX16) from the new luxury smart new energy vehicle brand "BAO", and the other is the Guanzhi 6 (code C21) from Qoros. In February 2021, Baoneng executives said in an internal email that the new high-end car brand would be launched within this year, and the first all-electric model of its counterpart Tesla and Weilai would also be released and sold in 2021. June 2021.
According to Tianyanchao data, a number of industrial and commercial changes have taken place in Jiangling Holdings Co., Ltd. Aichi Automobile Co., Ltd. which has reached a cooperation agreement has been added as a shareholder of Jiangling Holdings, and Aichi Motor has become the largest shareholder of Jiangling Holdings, with a shareholding ratio of 50%. The registered capital of Jiangling Holdings has also increased from 1 billion yuan to 2 billion yuan, and its business scope has added "R & D, production and sales of new energy vehicles". At the same time, Xu Jun, co-president of Aichi Automobile, will succeed Zhang Baolin, president of Changan Automobile Co., Ltd., as the legal representative of Jiangling Holdings. In addition, a number of Aichi executives settled in Jiangling Holdings. Fu Qiang, co-founder of Aichi Automobile, was added as.
With the rapid development of new energy automobile industry, a number of new car-building forces are also in a quagmire. It is difficult to rely solely on "burning money". A number of new energy car companies sold 0 last year. Among them, Boxun, Zhi Dou, time and space, leading the way and other new car-building forces in 2020 sales are 0. At present, only Weilai, ideal and Xiaopeng have achieved mass production and listed financing. And other new car-building new forces such as Sailin, Boxun, the Yangtze River and the future have also been exposed one after another to fall into the plight of stopping production, arrears of wages, bankruptcy and so on. It is understood that the predecessor of the leading car is Hebei Yujie Automobile Industry, which was founded in 2009, started with low-speed electric cars, Great Wall Motor took a stake in 2017, in 2.
Recently, Tan Xu, CEO of Weichai Power, said at the annual results conference of Weichai Power 2021: self-driving is bluffing. Don't listen to them. L1 is all right, L2 is just so-so, and L3 is impossible. In addition, for the new energy vehicle industry, it said: the new energy industry is relatively lively in recent years, and then everyone competes disorderly, and the whole vehicle of new energy, especially the passenger car, will have a catastrophic overcapacity. At the same time, Tan Xuguang also said: the arrival of new energy has brought the driving force of scientific and technological progress to traditional energy, reducing fuel consumption and improving efficiency is the realization of traditional fossil energy.
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China's car sales continue to decline and the trend of car consumption is gradually declining. in such an environment, the National Development and Reform Commission is expected to guide further liberalization of the purchase restriction policy and comprehensively encourage automobile consumption. According to the online documents, the National Development and Reform Commission issued the implementation Plan for promoting the Renewal of consumption of Automobile, Home Appliances and Consumer Electronics to promote the Development of Circular economy (2019-2020), which plans to further expand the consumer market such as automobiles, promote the development of circular economy, and deepen supply-side structural reform. The document also describes in detail the specific implementation plan, and there are nine supporting regulations in the automotive field. The most important of these is the purchase restriction city.
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