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The impact of the international financial crisis on China’s economy is increasingly evident. The market demand has shrunk, and production companies have started underemployed. Demand for bulk raw materials such as coal, iron powder, and sand and gravel materials has dropped significantly, which has directly led to a decline in freight traffic. A large number of transport vehicles stopped, causing users who originally planned to buy cars to run transportation to make money. They tighten their pockets, look closely at the purse strings, and prepare to shoot at the most favorable time.
Compared with the National II emission standard heavy truck, the EGR heavy truck price has increased by more than 10,000 yuan, and the high pressure common rail heavy truck has exceeded 25,000 yuan. EGR heavy trucks have a clear competitive advantage due to their low prices. Heavy truck companies such as China National Heavy Duty Truck Co., Ltd. equipped with EGR engines quickly expanded the market share of the State III heavy truck. Heavy-duty truck companies that use high-pressure common-rail engines are forced to compete with low-price EGR and sales have fallen sharply. Users report that high pressure common rail heavy trucks are good, that is, high prices. If they can narrow the gap between EGR and heavy trucks, they are still willing to consider high-pressure common rail heavy trucks.
In order to eliminate user wait-and-see psychology, indecisive owners have decided to purchase cars, and truck manufacturers equipped with electronically controlled high-pressure common-rail engines have lowered product prices, hoping to attract owners to purchase cars through this promotion.
High-pressure common rail heavy trucks significantly lower prices show advantages
High pressure common rail heavy trucks have recently cut prices significantly. Weichai first announced the price reduction of 16,000 yuan for high-pressure common-rail engines, reversing the disadvantages of high-pressure common rail and EGR heavy truck competition in the market. The price of high-pressure common rails and EGR heavy trucks is not much different. The price of individual models is quite similar, even Approaching the State II car level. Due to the impact of the international financial crisis, the production and sales of heavy-duty trucks were sluggish. At the same time Weichai announced price cuts for its engines, some heavy-duty truck companies were also cutting prices. High-pressure common-rail heavy trucks saw a double price cut for engines and vehicle prices.
Wang Changliang, general manager of Weichai Power Customer Service Center, told reporters: “According to the implementation of State III emission standards and the impact of domestic and international economic conditions, heavy truck market sales have fallen by a large margin. At present, companies that produce EGR and high pressure common rail heavy trucks are actively engaged in Promotion of activities, high pressure common rail heavy truck price reduction efforts are relatively large, only than the national II heavy truck more than 4,000 yuan, basically do not make money, this is a helpless move.A high pressure common rail engine price more than 10,000 yuan, is obviously a loss to sell, who Do not want to, but can not lose sight of the market."
Liu Keqiang, Marketing Manager of Shaanxi Automobile Sales Company, told reporters: “We have been promoting the product of the National III Heavy Truck for nearly six months. The users’ understanding of the National III Vehicle is getting deeper and deeper. They believe that the performance of the high pressure common rail heavy truck is stable. After-sales service is guaranteed."
Liu Keqiang said: "Now high-pressure common rail heavy truck price reduction is temporary, I hope more users can understand its superiority. We are still very confident in the market, users will rationally choose cost-effective heavy truck based on market conditions. "He said that after the price reduction, the low price advantage of EGR products is no longer the advantage of high-pressure common rail products. First, product technology is advanced, and the structure is reasonable. Second, the stability of the State III emission standard is achieved. Third, the high pressure common rail heavy truck adopts the electronic control method, and it is easier to upgrade the emission standard.
According to Liu Keqiang, Shaanxi Automobile launched the second-generation national III heavy truck in September this year, which is based on the high-pressure common rail installed multi-state fuel-saving switch. The computer chip on the vehicle controls the fuel saving status according to the different loading capacity, and it can directly save 1.6%. This function is widely welcomed by users.
How to choose the market user to say
Xichai, Weichai, and Yuchai have all prepared to launch EGR engines and will determine marketing strategies based on market conditions. Wang Changliang believes that EGR heavy-duty trucks and high pressure common rail heavy trucks still need time and market inspections, and there may be two cases: First, users become more aware of the products of State III, and see which products are more cost-effective. Products are truly environmentally friendly. Second, companies and users still pursue EGR products. This will lead to more truck companies producing EGR heavy trucks and waste of resources. He told reporters: "Market users will identify which products are more suitable. Concerned about heavy truck operating costs, environmentally-conscious transport companies will choose high-pressure common rail heavy trucks, while only low-to-medium price owners may continue to choose EGR products."
The relevant personages of the China Internal Combustion Engine Industry Association believe that EGR has made a breakthrough in breaking the high price of high pressure common rail products by foreign companies and changed the pattern of monopoly of foreign parts enterprises. Products that meet the requirements of the national emission standards are good products. In respect of parts and components, we have long been subject to spare parts suppliers in developed countries and have been drawing high profits. In the course of this emission upgrade, China National Heavy Duty Truck launched EGR products, forcing foreign companies to cut prices and safeguarding the interests of consumers. As for how the heavy truck market will develop in the future, it also needs market testing and consumer choice.
Another person in the industry told reporters that the Chinese market needs diversified products. This is not a simple technical line. As long as it can meet the national III standard, we should all welcome it. Only by forming a diversified product competition pattern can we break the monopoly monopoly and truly benefit the development of the Chinese auto industry. We need to encourage domestic companies to develop EGR products and use their own advantages to force high-pressure common rail core technology to lower prices, which is beneficial to domestic truck companies and consumers. The next step is how to develop the EGR heavy truck and high pressure common rail heavy truck. What kind of game pattern will emerge? We will continue to pay attention.