Rebirth 99 to become a car giant

Nanshan Yangcheng Commercial Vehicle Co., Ltd. is a 50:50 joint venture between Nanshan Group and Yangcheng Motors.

In this company, it mainly produces two types of products.

One is heavy-duty trucks, all of which are products with an engine displacement of more than 10L, or even more than 12L.

The other one is buses and buses.

Buses and buses were born in conjunction with the introduction and birth of the new energy vehicle policy at the end of 2008.

These models are aimed at electric vehicles.

In other words, the buses and buses produced by Nangoat City Commercial Vehicles are all electric buses and electric buses.

In the middle of this year, the Trumpchi S launched by Yangcheng Trumpchi detonated the electric taxi and electric black car market, giving Nanshan battery production capacity a sufficient platform to exert itself.

Following closely, Nangoat City Commercial Vehicles also began to launch electric buses and electric buses.

As a key enterprise supported by Lingnan Province and Yangcheng City, Nanyangcheng Commercial Vehicle’s electric buses naturally do not need to worry about lack of market.

In order to allow these models to run on more bus lines as soon as possible, Yangcheng City has specially approved a budget.

On the BRT (Bus Rapid Transit System) corridor newly built this year, all new vehicles will use electric buses.

As a result, more than 500 new orders for commercial vehicles were immediately brought to Nangoat City.

This is just the first batch of orders.

Yangcheng is the third largest city in mainland China in terms of economic size, with a population of more than 16 million.

As urban traffic becomes increasingly busy, Zhongshan Avenue is one of the most congested roads in Yangcheng, with many commercial and residential buildings.

Although Metro Line 3 is built, ground road traffic is still very congested. In order to effectively improve the urban traffic environment and implement the bus priority policy, the construction of BRT began a few years ago.

The original plan was to officially open the bus in February 2010, but in order to cooperate with the development of commercial electric buses in Nangoat City, the opening time of the BRT was advanced to November 2009.

As a result, the electric buses prepared by Nangoat City Commercial Vehicles for BRT began to be delivered in September. By December, all the first batch of 500 buses had been delivered.

With electric buses, when these buses on the road start up, there is no longer the loud noise of the engine and the black smoke coming out of the exhaust pipe.

Not to mention people in the automobile industry, even ordinary people are full of praise for electric buses.

After all, no one wants to sit in a noisy bus.

No private car owner is willing to follow a traditional bus that is constantly emitting black smoke.

A total of 500 electric buses were invested in BRT at one time. Although this news did not spread very quickly in China, it lasted for a relatively long time.

Even as time progressed, this news continued to be transmitted overseas.

Especially during the Canton Fair, the number of merchants in Yangcheng is very large.

As for the BRT that had just opened at that time, naturally many people tried it and tried to ride it.

Even during the Canton Fair, merchants were everywhere asking if there were any companies producing electric buses in the exhibition area.

Against this background, Nangoat City Commercial Vehicle Company finally received its first large order from overseas today.

Japan's Keihan Bus Company placed a one-time order for 100 electric buses from Nangoat City Commercial Vehicle Company.

"Mr. Cao, our B5 series electric bus is the most commonly used model on BRT. It has a low-floor configuration, dimensions of 10500mm x 2500mm x 3360mm, and a maximum passenger capacity of 81 people."

"This time, a Japanese company came to me to order B5 series products, and we also made some customized designs based on their requirements."

"According to our RMB price tag, a B5 will cost 2.48 million. This order is worth 250 million, which is considered the largest single bus order in China."

Xu Perui reported to Cao Yang a little excitedly on the results of Nangoat City's commercial vehicles.

She followed Mi Ying to interview Cao Yang's secretary, but ultimately failed.

Fortunately, although she did not become a secretary, she was attracted by Zeng Tingting and was assigned to work in the sales department.

Xu Peirui, who has always had outstanding performance, was appointed as the deputy general manager in charge of sales when Nanshan Goat City Commercial Vehicle was established, exercising power in the joint venture on behalf of Nanshan Group.

In the past few years, Xu Perry has been working hard.

It doesn't even matter if my personal issues are delayed.

Now these efforts can be considered as beginning to reap the fruits of victory.

Once the news of this order spreads, it will definitely have a huge impact on the domestic commercial vehicle industry.

Don’t look at orders of just 100 vehicles, but look at who these orders are sold to, at what price, and what products are sold.

Japan is a country with a very developed automobile industry. Not to mention the familiar Toyota, Honda, and Nissan, there are actually a series of other automobile brands such as Subaru, Mitsubishi, Mazda, Suzuki, Isuzu, and Hino.

Whether it is passenger cars, trucks, or buses, they have a very mature industrial chain and products.

Now the electric buses of Nangoat City Commercial Vehicles can snatch the fat from the mouths of Japanese buses and eat it. This meaning is absolutely extraordinary.

"Nanyangcheng commercial vehicles have not yet fully opened up in the country, but they have made breakthroughs in overseas markets. You have done a good job."

To put it bluntly, Cao Yang really felt that Xu Perui did a very good job.

He is more aware than others of the importance of this achievement to Nangoat City Commercial Vehicles.

Although it is already 2009, many people in China often think that foreign products are better than domestic ones.

Nowadays, B5 series buses can be quickly exported to the automobile powerhouse Japan, and 100 units are exported at one time. This meaning is definitely different.

This time's export will become a reference case for more other countries' exports.

At the same time, domestic automobile cities can also have a lot less hesitation when they are wondering whether to buy electric buses from Nangoat City Commercial Vehicles.

After all, even overseas markets value this product, which also proves the excellent performance of this product.

Under ideal circumstances, the battery life reaches 300 kilometers, and in actual use it can exceed 200 kilometers, which is definitely enough for electric buses.

The most important thing is that the concept of energy conservation and environmental protection is still very popular at this time.

Although the price is a bit higher, bus companies in China often have local subsidies.

Nowadays, the development of new energy is in line with major policies. Many places should be willing to provide partial subsidy policies to encourage buses in their jurisdictions to upgrade to electric buses.

Even if there is no way to replace all the buses on the route, there must be no pressure to order some in small batches, right?

That’s why I say that this export has a very different meaning to Nangoat City Commercial Vehicles.

“This is mainly because our products are excellent enough. The lithium iron phosphate batteries produced by Nanshan Battery are the best products in the industry. Together with other three-electric products produced by Nanshan Auto Parts, our electric buses and electric buses have become the world’s leading products. The most advanced existence.”

Xu Perui's compliment was really not a boast.

Nanshan Group has invested a lot in the research and development of various new technologies in Nanshan batteries in recent years.

The advanced and safe Nanshan power battery has withstood extreme tests such as "fire, short circuit, needle puncture, impact, high temperature, extrusion, and overcharging" during its development, ensuring the safety of the battery to the greatest extent.

Paired with the all-in-one controller independently developed by Nanshan Group, its waterproof level reaches IP68 and has multiple safety protection measures such as leakage detection, overcurrent protection, high-voltage interlocking, active and passive discharge, and relay sintering detection.

Moreover, Nanshan Battery has also designed a professional environmental control system for the battery to help the battery operate safely and smoothly.

With such a combination of punches, other electric vehicle companies that are still in their infancy will have no competitiveness at all.

"This is a good opportunity. When the time comes, you should also communicate with Autohome and ask them to make a special report."

"For a long time, ordinary consumers have not paid attention to electric buses and are not fully aware of our technological advancement in this field."

"Then we will help everyone get a better understanding, and we can even invite reporters from China Channel to come over and do an exclusive interview with Nangoat City Commercial Vehicles."

For others, it is definitely not that easy to invite reporters from China Channel.

But for Nanshan Group, it is not a big problem.

Not talking about Xia Qingqing's relationship, nor Fang Sisi's relationship, Nanshan Group can easily complete the task just by relying on its own strength.

Xu Perry is naturally very clear about this.

So after hearing what Cao Yang said, she was quite excited.

This means that Nangoat City Commercial Vehicle Company will also become famous in China.

As a car company, the more famous it is, the better.

In this way, even advertising costs can be saved a lot in the future.

The Nanyangcheng Commercial Vehicle Company has made such a big news. At the Yangcheng Automobile Group, Zhang Jiaqi also actively made an appointment with Cao Yang to discuss the next development of the joint venture.

For Yangcheng Motor, when they took out their commercial vehicle production qualifications to enter into a joint venture, they really didn't expect that it would do so well in the future.

For example, although the sales of heavy-duty trucks are not particularly high, they are leaders in the high-end field.

Whether it is Spring City's Jiefang brand or Xifeng Motors and SINOTRUK, they are not inferior to Nanyangcheng Commercial Vehicles in terms of high-end trucks.

Now they are starting to make efforts again in passenger cars and buses.

This is the time to explode.

"Mr. Cao, I think with this momentum, our electric buses can be directly promoted in major cities such as Modu, Imperial Capital, Chang'an, and Shenzhen."

"This year's output is estimated to exceed 1,000 vehicles, and we will strive to exceed 1,000 vehicles every month next year."

"Coupled with our achievements in the heavy-duty truck field, Nanyangcheng Commercial Vehicle's turnover is expected to exceed 30 billion next year, making it a pivotal commercial vehicle company in China."

Zhang Jiaqi is in a very good mood now.

It is a great thing that a commercial vehicle that was not taken seriously before has now achieved such outstanding results.

Even Japanese people have turned to Nanyangcheng Commercial Vehicle to buy electric buses. So is it still a problem to expand exports to other markets?

In the field of passenger cars, Yutong and King Long have always been far ahead. Now Nangoat City Commercial Vehicles is expected to catch up quickly in terms of turnover, and it is not surprising that they will even surpass them in the future.

For Yangcheng Automobile Group, it is definitely an unexpected surprise.

"It is indeed necessary to speed up action. The BRT here in Yangcheng can also invite some brother units from other provinces and cities to come and visit, so that everyone can see what the BRT system brings to urban transportation after using electric buses. Change."

"Modu and Imperial City are the facade cities in China, and they should be more active in promoting green energy electric buses."

"At that time, let the Nangoat City Commercial Vehicle team contact the other party as soon as possible to see if they can get some orders quickly."

Cao Yang is not worried about the lack of face from the Demon City and the Imperial City.

Especially in Shanghai, even though its automobile industry is very developed, there are no good products to compete in electric vehicles.

The Nanshan Group has a large amount of investment in the Magic City, and the other party will not fail to consider these impacts.

"Our Yangcheng Motor Group will also purchase 100 electric buses from the joint venture company to serve as transportation vehicles for employees."

"By then our electric buses will be able to maintain sufficient exposure on the road."

Zhang Jiaqi also expressed his sincerity in a timely manner.

Yangcheng Automobile Group has three automobile companies, Yangcheng Honda, Yangcheng Toyota and Yangcheng Trumpchi. These companies all have their own employee shuttle buses.

There is no pressure at all to replace these vehicles with electric buses.

Zhang Jiaqi is even preparing to further promote and ask Yangcheng City to convert some reception vehicles into electric buses.

At the same time, it is natural to take advantage of Yangcheng Automobile Group's advantages as a state-owned enterprise affiliated to Yangcheng City and find other state-owned enterprises to recommend the electric buses of Nanyangcheng Commercial Vehicles.

After such a deal, at least another few hundred units will be sold.

And since Zhang Jiaqi said so, Cao Yang naturally couldn't be stingy.

"This is a good idea. Our group has a strong demand for employee transportation vehicles. We can initially purchase 200 vehicles, and then gradually phase out the existing fuel buses and replace them all with electric buses."

Cao Yang has no intention of handing over all of Nanshan Goat City's commercial vehicle production capacity to the Nanshan Group for internal digestion.

This kind of publicity effect is definitely not the best.

However, the scale of Nanshan Group is much larger than that of Yangcheng Automobile Group, and the other party has bought a hundred vehicles. It will definitely not work if he does not express anything.

So I first bought 200 shuttle buses for employees to commute to and from get off work.

In fact, there is a large market for shuttle buses for employees of various companies to and from get off work.

Almost all state-owned enterprises have this benefit.

If done well, Nangoat City's monthly commercial vehicle output will be able to exceed 1,000 units as soon as possible.

"This time a Japanese company purchased electric vehicles from our company, which made me realize that it is not necessarily that difficult to develop foreign markets."

"Our products are excellent enough, and the concept of energy conservation and environmental protection is very consistent with the current environment."

"In this case, do I think it is necessary for the company to set up a special international business department to focus on expanding overseas markets?"

"If we do well, maybe the number of passenger cars and buses we export will exceed the number of domestic sales in the future."

I have to say that Zhang Jiaqi's suggestion is still very reasonable.

The price of electric buses is relatively expensive, not to mention the B5 series buses sold to Japan cost 2.48 million.

Even the smallest B2 series bus currently developed by the company has a price of more than 1 million.

At this price, there is definitely no advantage compared to fuel vehicles.

It is impossible to consider some fifth- and sixth-tier cities because their fiscal revenue simply cannot support it.

And if we rely solely on first- and second-tier cities, the market will eventually become saturated.

So we need to find some markets with more purchasing power.

Obviously, the market potential in Europe, North America and other overseas markets is worth looking forward to.

The layout of electric buses and electric buses in those places has not yet caught up with the commercial vehicles in Nangoat City.

Coupled with Nanshan Group's overseas influence, it is worth looking forward to making the company's passenger car products popular.

"No problem, we can indeed set up an international business department to promote our electric buses overseas."

"And we can develop certain incentives to make everyone more motivated to promote the company's products."

"At the same time, we can also participate in some overseas bus shows to let more people know about our excellent products."

"When the situation opens up, some orders will start to come to us on their own initiative."

Cao Yang naturally has no objections to expanding the international market.

Although such expensive electric buses and electric buses can be promoted domestically by relying on policies, they are ultimately a waste of favors and resources.

If we can rely on the hot sales in overseas markets to put the development of commercial vehicles in Nangoat City on the right track, thereby attracting domestic companies to take the initiative to purchase electric buses, this will naturally be a better solution.

As if to verify the conversation between Cao Yang and Zhang Jiaqi, after Japan ordered 100 electric buses from Nangoat City Commercial Vehicles, several orders came in from Europe, and the total number exceeded 100.

This time, the news reports became even more lively.

Whether it is Autohome or other professional automotive media such as NetEase Auto, they have actively reported this phenomenon.

This situation naturally aroused reactions from concerned people.

"Mr. He, Nanyangcheng Commercial Vehicles has started to enter the electric passenger car and electric bus market this year. It has already received orders for hundreds of buses from Yangcheng and other places and hundreds of export orders from Japan, Europe and other places."

"Their products are basically all electric vehicles priced above RMB 1 million. Their entry point is very special and they completely avoid our competition."

"I think the next step for the company is to launch more competitive electric vehicles as soon as possible."

As the sales director of Yutong, the largest bus company in China, Xie Hui's personal abilities are still very strong and his business sense is also very keen.

He is also indispensable for Yutong's success in reaching today's scale.

However, during this time, he vaguely felt the threat that Nangoat City's commercial vehicles posed to the company.

Electric buses are a market that has received policy support. Demonstration projects being carried out in various places are basically aimed at electric buses.

However, the electric bus products of other companies are not at the same level as the commercial vehicles of Nangoat City.

Xie Hui is also very clear about this.

Otherwise he wouldn't feel anxious.

"I have also seen news reports. This situation is indeed surprising."

"I originally thought that the electric buses in various places were just a small effort. We have produced dozens of prototypes, and basically have no intention of continuing to expand."

"The cost of producing an electric car is several million, and there is no market at all."

"If it weren't for certain policy subsidies, our dozens of electric vehicles would have cost the company a lot of money."

The electric buses of Nangoat City Commercial Vehicles, which have begun to be put into mass production, cost more than 2 million yuan each. For other companies with small volumes, the production costs are even higher.

After all, whether it is batteries or motors and other parts, if there is no quantity support, the equipment depreciation costs and mold amortization costs alone can make your costs very scary.

After all, the investment in molds, fixtures, and inspection tools for a single battery pack shell alone amounts to tens of millions of yuan.

If there are only a few dozen cars to be amortized, the simple amortization expenses will be hundreds of thousands, or even millions.

This is a very scary number.

But if you have tens of thousands of cars to amortize, the pressure can be reduced a lot.

This is why the automobile industry attaches great importance to economies of scale.

Without reaching a certain scale, it is basically difficult to make money.

Of course, for a high-end model like Ferrari, if people don’t go for quantity, that’s a different story.

"Judging from the situation of most other business partners, this is indeed the case."

"But Nanshan Goat City Commercial Vehicles is a little different. They are backed by Nanshan Group. The batteries are directly supplied by Nanshan Battery. The core electronic control and other parts are supplied by Nanshan Auto Parts. The cost advantages in all aspects are obvious."

"Although I don't know if they can make money selling electric vehicles now, but they certainly won't suffer large-scale losses."

“Being able to do this is already very impressive.”

Xie Hui saw it clearly.

It’s not that easy to make money from electric buses.

But you have to do it, otherwise others will have it but you won’t.

Invisibly, it will make everyone think that your company is not good.

"Find a way to contact the other party and see if we can visit and communicate."

"I'm a little curious about how the other party did it."

He Yusheng thought for a moment and felt that it was necessary to see the situation of commercial vehicles in Nangoat City with his own eyes in order to determine the company's next development direction.

Otherwise, you will regret it when you finally make a decision.