Rebirth 99 to become a car giant

The topic of lithium iron phosphate batteries is very hot, but so far only BMW and Mercedes-Benz have taken the initiative to cooperate with Nanshan Battery.

Cao Yang was naturally dissatisfied with this result.

There are good things but no one uses them. What does that mean?

"Mr. Lin, the purchasers of independent brands and joint venture car companies have not contacted you about lithium iron phosphate batteries?"

Cao Yang turned the signature pen in his right hand and thought quickly in his mind about how to force various OEMs to accept lithium iron phosphate batteries.

The battery industry is very promising. Nanshan Battery has already consumed so much manpower and material resources. Naturally, it must become bigger and stronger as soon as possible.

But now only BMW and Mercedes-Benz have responded positively, so what?

Don't look at the reputation of BMW and Mercedes-Benz.

But in terms of the number of units sold, they are really not good enough.

Volkswagen, General Motors, Ford, Toyota, Honda...

Which one doesn't have a lot more sales than them?

For Nanshan Battery, it is obviously hoped that everyone will switch to lithium iron phosphate batteries.

Even if these manufacturers do not buy batteries from Nanshan, it is still better than continuing to use lead-acid batteries.

"Mr. Cao, when we communicated with Autohome before, we gave an overview of the cost of lithium iron phosphate batteries."

"Although there are some differences depending on the car model, the cheapest one will not be less than 700 yuan, and the expensive one can be more than 1,000 yuan."

"As for lead-acid batteries, purely from the perspective of purchase cost, the cheap ones only cost less than 200 yuan, and even in large quantities, you can buy them for more than 100 yuan."

"Even if it's expensive, it only costs less than 500 yuan."

"In this case, if the battery is replaced, the cost of the battery itself will increase by several hundred yuan. For many car companies, they will definitely not replace it if they can."

"After all, most competitors in the market have not changed yet. Even if consumers have objections, they will not give up buying cars because of this problem."

Lin Cheng can be regarded as having a good grasp of the mentality of those OEMs.

For example, for a large automobile group that sells seven to eight million vehicles a year, if the cost of each vehicle increases by a few hundred yuan, it will cost billions in additional expenditures over the course of the year.

Who is willing to give it up?

And, this is just a one-time loss.

There is another loss that is also very huge, and that is the loss of sales of after-sales parts.

People who own cars basically have a feeling that when they go to a 4S shop to repair a car or replace parts, why is it so expensive?

In fact, this feeling is not wrong, it is so expensive!

For example, for a lead-acid battery, the OEM spends 150 yuan to buy it from the supplier.

Then when it is sold to a 4S store, it may cost 250 yuan.

When the 4S store sells it to consumers, it will cost 350 yuan or even 450 yuan.

The final price the consumer bears may differ several times from the cost of the part.

The most expensive ones are the profits of OEMs and 4S stores.

Even if the battery is only replaced three times in the life cycle of a car, it is still a very considerable income.

If the lead-acid battery is replaced with a lithium iron phosphate battery and there is no need to replace it for life, then won’t this income be lost?

Based on this calculation, the OEM must be even more reluctant to replace it.

"Since those OEMs are not motivated to take the initiative to replace them, we have to find a way to force them from behind."

"Otherwise, who will the products be sold to when we are planning to build a dedicated lithium iron phosphate battery factory?"

"If they don't use it, force them to use it!"

Cao Yang is not a good man or a believer in women. He must find a way to popularize such a good thing.

It is not simply for the sake of consumers, but for the further expansion of Nanshan Battery's production capacity.

The more batteries you produce, the more experience you accumulate, and the better it is for the development of new technologies.

Otherwise, without a certain amount of product accumulation, the effect of relying solely on laboratory research will be compromised.

Nanshan Battery is a trillion-dollar enterprise in the future, and I cannot take it too seriously.

After listening to Cao Yang's words, Lin Cheng was looking forward to the group's next step in forcing OEMs to use lithium iron phosphate batteries.

...、

Cao Yang kept his word and started taking action after calling Lin Cheng.

He first called Zhu Zhengfeng.

After all, Nanshan Hongqi is a joint venture between Spring City Automobile Group and Nanshan Group. Cao Yang chose it as the first breakthrough and as a target to stimulate other car companies. He must communicate with Zhu Zhengfeng first.

"Mr. Zhu, Nanshan Hongqi has entered a fast development path this year, but compared with independent brands such as Chery, Geely, and BYD, there is still a relatively large gap."

"We need to seize every opportunity to increase everyone's recognition of the Nanshan Red Flag and increase its popularity."

When Cao Yang said this, there was naturally no problem.

But Zhu Zhengfeng felt a little confused after hearing this.

What does it mean?

Is this what you suddenly called yourself to say?

"It's true. Although we currently have two models that are selling well, the price is not as advantageous as other independent brands and is even more expensive, so the sales volume cannot be said to be exceptional."

"If more people can recognize the Hongqi brand, then there will be no problem in becoming a car company with an annual output of more than 300,000 vehicles or even more than 500,000 vehicles."

Although he didn't understand what Cao Yang wanted to say to him, Zhu Zhengfeng still followed Cao Yang's words.

Anyway, if Cao Yang had any purpose, he would definitely tell it.

Sure enough, Cao Yang, who had precious time, did not go around in circles and went straight to the topic.

"During this period, Mr. Zhu must have heard about lithium iron phosphate batteries on the Internet, right?"

"Currently, Xingchen Motors, Jaguar Land Rover, Mercedes-Benz and BMW are all preparing to use lithium iron phosphate batteries to replace lead-acid batteries."

"This may be a very monumental thing for the automotive industry."

"From now on, cars using lithium iron phosphate batteries will no longer have to worry about the battery having to be replaced when it reaches the end of its life, or the car won't start after being left at home for a month."

"I think Nanshan Hongqi can follow suit and use lithium iron phosphate batteries. This will definitely greatly improve consumers' favor, and we can even take this opportunity to do a good job in marketing."

When Cao Yang said this, Zhu Zhengfeng understood immediately.

Emotions are caused by marketing.

However, Zhu Zhengfeng could understand Cao Yang's thoughts.

The superiority of lithium iron phosphate batteries is beyond doubt.

Otherwise, Mercedes-Benz and BMW would not have followed suit so quickly.

However, lithium iron phosphate batteries are more expensive and much more expensive. Nanshan Hongqi’s profits are not very high to begin with. If the cost increases by several hundred yuan, it will actually be a bit painful.

As if sensing Zhu Zhengfeng's inner thoughts, Cao Yang continued: "Of course, the cost of lithium iron phosphate batteries will be higher than that of lead-acid batteries. As one of the shareholders, I can make the decision to let Nanshan Battery sell the batteries to Nanshan at cost price. red flag."

Cao Yang said it was the cost price, but what is the cost price? Isn’t this just what Nanshan Battery says it is?

Anyway, just make sure that the lithium iron phosphate batteries purchased by other OEMs from Nanshan Battery are more expensive than Nanshan Hongqi.

In this way, Zhu Zhengfeng will never be able to refute his "cost price" statement.

After listening to Cao Yang's words, Zhu Zhengfeng thought quickly and agreed to the plan.

"No problem. I also agree with the use of lithium iron phosphate batteries in Nanshan Hongqi's new cars, so that consumers can see our sincerity."

"But for related publicity, we need Mr. Cao's help to say hello to Weibo and Autohome."

Zhu Zhengfeng said this, which can be regarded as a small condition.

However, this condition is good for Nanshan Hongqi. Nanshan Group itself is also one of the shareholders, so Cao Yang naturally has no objection.

After all, even if Zhu Zhengfeng didn't say anything about this matter, he still wanted to say hello to Weibo and Autohome, and try his best to publicize the fact that Nanshan Hongqi started using lithium iron phosphate batteries. Otherwise, how could he give it to everyone? What about other manufacturers bringing excitement?

Without stimulating everyone, how could more OEMs start planning to use lithium iron phosphate batteries as their future battery products?

"Mr. Zhu, this is my responsibility, just watch it."

“Nanshan Hongqi is definitely worth spending this money!”

After Cao Yang said this, he began to arrange this matter.

After Nanshan Hongqi's official WeChat account officially announced that it will use lithium iron phosphate batteries to replace the current lead-acid batteries next year, Autohome immediately started to make efforts.

"In order to make more money, don't you use good products?"

"Mercedes-Benz, BMW and Hongqi are already taking action. What about other manufacturers?"

"Lithium iron phosphate battery, good news for consumers!"

"A brief analysis of the reasons why OEMs are reluctant to use lithium iron phosphate batteries!"

"Who is really thinking about consumers? What's the answer from the auto giants?"

…

A lot of articles have appeared one after another on Autohome, and in some forums, related posts are also analyzing lithium iron phosphate batteries.

There are even some "radical netizens" who are crusading on the forum against Volkswagen, General Motors, Toyota, Honda, etc. who have not officially announced that they will use lithium iron phosphate batteries.

In just two days, public opinion on the Internet has completely changed.

"Tariq, has Volkswagen not come to a conclusion yet?"

"I think even if the Volkswagen brand does not use it for the time being, at least the Audi brand cannot use lithium iron phosphate batteries. Otherwise, we will not have any advantage when facing competition from Mercedes-Benz and BMW."

Nanshan Hongqi has officially announced the use of lithium iron phosphate batteries. As the general manager of Spring City Volkswagen, An Tiecheng naturally wants to persuade Volkswagen to adopt this new technology.

Like other joint ventures, Spring City Volkswagen’s technology is in the hands of Volkswagen, and Spring City Motor cannot make the final decision.

If Volkswagen does not agree, there is no way to change the battery plan for Spring City Volkswagen models.

A few days ago, An Tiecheng would have been fine.

Anyway, no one is using it. If Xingchen Automobile is the only one that is innovative, the impact will not be very big.

Even if Mercedes-Benz and BMW follow suit, things will still be under control.

But when Nanshan Red Flag began to be used, and so many public opinions began to ferment on the Internet, he became a little unable to sit still.

He can already feel that if there is no response from Spring City Volkswagen, then maybe the sales will start to decline month-on-month in the next week.

This is definitely unacceptable.

"I'm still urging the headquarters. Frankly speaking, the relationship between Volkswagen and Nanshan Group is not good."

"If it is possible not to adopt it, the headquarters will naturally not adopt it."

"But we have now reported the latest situation in China to the headquarters, and they should reconsider."

"However, it is very likely that even if we eventually switch to lithium iron phosphate batteries, it may not be so fast, and Nanshan battery solutions may not be used."

"I hope you can be prepared for this. Our company also needs to consider the next publicity plan based on the situation."

Tariq had a headache.

China's market conditions are much more complicated than he imagined.

It was difficult for him to live a relaxed life for a few days.

It's not like in Germany, where the situation is similar every month, so just work step by step.

"I understand what you said, but the public opinion is so intense now. If we don't respond in any way, it will definitely have a negative impact on the development of the company."

"Instead of eventually passively switching batteries, it is better to do it earlier so that it can be well publicized."

An Tiecheng has already gotten wind of the news, and some domestic companies are already preparing to officially announce that they will start using lithium iron phosphate batteries in new models next year.

Once you have a start, more people will follow.

By then, no one will pay attention to those who followed the trend very late.

"This is the truth, but now only Nanshan Battery can make lithium iron phosphate batteries. How much they sell for is entirely up to them."

"The relationship between Volkswagen and Nanshan Group has never been good. If it is very expensive to sell it to us, will we also buy it?"

When Tariq said this, An Tiecheng was a little confused.

Lithium iron phosphate batteries are good, but he definitely doesn't want to be hacked by Nanshan batteries.

However, after thinking for a while, he found a way and said: "Nanshan Hongqi has announced that they will use lithium iron phosphate batteries. Then I can go and inquire about the price of the batteries they purchase."

"Nanshan Hongqi is an investment company of Nanshan Group and will definitely not sell it at a high price."

"As long as the cost of the batteries we buy is not much more expensive than Nanshan Hongqi, I think it is acceptable."

"Besides, in the future, Nanshan Battery will definitely not be the only domestic manufacturer that can produce this kind of battery. Unless they want to do a one-time business, they probably won't go too far."

"Even if they go too far, the worst we can do is make the switch slowly after the official announcement, and then simultaneously look for other suppliers. In the end, the extra money spent will be very limited."

When An Tiecheng said this, it was hard for Tariq to refute.

What he can do is communicate with the headquarters as soon as possible to bring the matter to a formal conclusion.

Otherwise, many things will not be easy to do.

Just when Chuncheng Volkswagen began to struggle internally, Yangcheng Honda, also located in Yangcheng, also officially announced that it would use lithium iron phosphate batteries.

This seems to have kicked off a new beginning.

Soon, Changan Ford and GM also announced that they would use lithium iron phosphate batteries in the future.

Then Great Wall Motors, Chery Automobile, Geely Automobile and Changan Automobile also successively announced that they would consider using lithium iron phosphate battery technology in the future.

Although not every company has clearly announced its switching time, the attitude has already been expressed.

The remaining car companies that did not express their opinions naturally took various actions.

"Mr. Wang, even if we have battery samples from Nanshan Battery by then, it will take at least one or two years to successfully imitate them."

"By then, many competitors may have started selling new models equipped with lithium iron phosphate batteries on the market."

Lu Faxiang's words made Wang Fu's face suddenly turn ugly.

Naturally, he cannot accept BYD lagging behind the industry.

This is very bad news for BYD, which is developing upwards.

"If we announce now that new models after 2011 will use lithium iron phosphate batteries, are you sure?"

The most important thing at this stage is an attitude. As long as the attitude is there, it will basically not affect sales.

Therefore, Wang Fu is also preparing to draw a pie for consumers first, and then move on after the immediate difficulties are over.

"It should be possible, but the cost of our lithium iron phosphate batteries may not be lower than that of Nanshan batteries."

"The price of a car may increase by about 500 yuan by then. Even if the technology becomes more mature in a few years, the cost may still be two to three hundred yuan higher."

Lu Faxiang lowered his head in shame.

Even if your own technology lags behind the other party, the cost is still higher than others.

If it were a lot of bosses, they would probably just choose outsourcing.

But batteries are BYD's starting point, and Wang Fu himself is a battery expert, so it is naturally impossible for him to choose to buy batteries from outside suppliers.

Even if the relationship between Nanshan Group and BYD is relatively good, Wang Fu cannot accept the use of Nanshan battery products in BYD's cars.

This is like a Samsung mobile phone, but the chip inside is designed by Huawei HiSilicon. Is this possible?

"Then we will selectively use it on some models first. Low-end entry-level models such as F0 and F3 will remain unchanged for the time being."

"Wait until they are brand new and then consider whether to replace them."

Wang Fu soon adopted a more flexible plan.

Naturally, Lu Faxiang had no objection to this.

So soon, BYD's official Weibo also updated this information.

"Mr. Cao, so far most car companies have officially announced that they will use lithium iron phosphate battery technology in the future. Five of them have officially determined the time for on-site inspections, and the other six OEMs are also looking for us. Understand the relevant circumstances.”

"I think Nanshan Battery's dedicated battery factory can now start construction."

Lin Cheng is in a very good mood now.

Nanshan Battery’s battery orders will definitely be accepted by then.

And these orders are not only large in China, but also exported.

By then, relying solely on the battery business, the turnover is expected to exceed 10 billion.

For a battery company, this is definitely not a small amount.

The key is that storage batteries are only a small business of Nanshan Battery, and its main business of power batteries is now starting to gain momentum.

Starting this year, Nanshan Battery can confidently say that it is the world's largest automotive battery manufacturer.

And once this position is established, it will be very difficult for other manufacturers to surpass it.

After all, Nanshan Battery will not stand still and wait for other manufacturers to catch up.

"Let's start construction as soon as possible. We need to be bolder in our production capacity planning. As long as the first-phase factory has the ability to produce 2 million lithium iron phosphate batteries per year, the second-phase factory should ideally be able to double that. At that time, it will be determined based on the order acquisition situation. , consider the Phase III factory."

Cao Yang was in a good mood now, so if he pushed hard, it would be effective.

This time can be regarded as an attempt by Nanshan Group to control the direction of public opinion in the industry.

The results are obviously wonderful.

"By the way, BYD Automobile next door, I heard that they are also considering researching lithium iron phosphate batteries themselves, and they may become our competitors by then."

"In terms of lithium iron phosphate batteries, we have built a relatively high patent protection wall. It should be more difficult for them to circumvent our patents."

"I think it is necessary to warn them not to take risks easily."

Although Lin Cheng knew that BYD had a deep cooperative relationship with Nanshan Group, as the general manager of Nanshan Battery, he regarded BYD Battery as his biggest competitor.

Therefore, he also attached great importance to the news he received and felt it was necessary to warn the other party.

"If their lithium iron phosphate batteries are used for BYD cars, then we can turn a blind eye as long as they are not directly plagiarized."

"But if they are going to supply to other OEMs, whether it is BYD batteries or OEMs that use infringing products, we will make the other party pay the price!"

"This meaning can be conveyed in time!"

Cao Yang gave his judgment without any hesitation.

BYD Battery is not small in scale. It is obviously more difficult for them to buy batteries from Nanshan Battery than to force them to eat Xiang.

So Cao Yang can tolerate them developing their own products for use in their own cars.

But it won’t work if you use it to make money, or even grab orders from Nanshan Battery.

Unless they are willing to spend more time avoiding all the patents of Nanshan Batteries.

In that case, the cost will definitely be much higher than Nanshan battery!

Lithium iron phosphate batteries are inherently more expensive than lead-acid batteries. If a solution different from Nanshan batteries is adopted and the cost increases further, it is estimated that not many OEMs will be willing.

This can be regarded as forcing everyone to use Nanshan battery batteries from another dimension.