The export of commercial vehicles faces three challenges

In the first quarter of the commercial vehicle market, there was a wall of blooming flowers. From January to March, domestic sales of commercial vehicles fell by 20%; exports increased, with cumulative exports of 60,600 units in January-February, an increase of 8.89% year-on-year.

Although it is a good year, but the outlook for the whole year, commercial vehicle exports are not optimistic. Jiang Caihuai, deputy general manager of Jianghuai Automobile and general manager of Jianghuai International Co., Ltd. recently stated that the road for Chinese auto companies to go overseas is still not smooth. Devaluation of key currencies, tariff increases, and emission upgrades will be the “three big mountains” that Chinese auto companies need to overcome. .

　　

Jiang Caihuai, deputy general manager of Jianghuai Automobile and general manager of Jianghuai International Co., Ltd. introduced the export situation

Commercial Vehicle Export Faces Three Challenges in 2015

The automobile exports in recent years can be described as twists and turns. As the global economy improved compared to the previous year, China’s auto exports fell by 0.08% year-on-year to 94.473 million units in 2014, representing an acceleration of 6.51 percentage points over the previous year (in 2013, China exported 948,100 units of auto vehicles, a year-on-year decrease of 6.6%). . Of these, commercial vehicles have been negatively converted. Last year, exports totaled 440,200 units, a cumulative increase of 11.4% year-on-year.

In 2015, China's commercial vehicle exports can still rise steadily and continue to grow?

On the day of the Jianghuai automobile brand held on April 12th, Yan Cairong analyzed that in the international market in 2015, favorable and negative factors coexist. The first-big advantage is the devaluation of the currencies of China’s major exporting countries. Since the second half of 2014, the U.S. dollar has continued to increase, the global oil price has dropped, and mineral resources have fallen. As a result, many South American resource giants have continued to depreciate their local currency. “For example, the Brazilian Real (Brazilian Real), from Jianghuai in 2009 to partnering with Brazilian partners so far, The local currency has depreciated twice. In 2009, the exchange rate of the U.S. dollar against the U.S. dollar was 1:1.6, and it is now close to 1:3.2. There are also Chile, Peru, and other countries, and the currency is also depreciating." Yu Cairong said. (Venezuela even announced on February 10 this year that it will partially allow its currency to adopt a freely-floating exchange rate and actively promote currency devaluation. Note from the author) From the perspective of international trade, currency devaluation is conducive to the export of domestic products and is not conducive to domestic This is obviously not a good thing for Chinese cars to go overseas.

Followed by the continuous increase of tariff barriers. As China's auto exports are mainly concentrated in Asia, Africa, Latin America and other countries and regions, and these areas have been greatly affected by the global economic downturn in recent years, therefore, many countries invariably resorted to the tariff "big stick." The reasons for these countries’ substantial increase in tariffs on vehicles are partly due to the imbalance in foreign trade of the country, which restricts imports through tariffs and reverses the trade deficit. On the other hand, most of the tariff increases are accompanied by the requirements for the localization of imported cars. To better attract foreign investment and develop the domestic auto industry.

The third unfavorable factor is emission upgrades. “As more and more countries pay more attention to environmental changes, they are now fully upgrading their emissions all over the world, and they are very fast. Some countries have increased their emissions (emissions) by more than a year.” Yu Cairong told reporters For example, Colombia has now upgraded to Euro IV, Peru has upgraded to Euro III, Brazil has upgraded to L6, equivalent to Euro 5, and Singapore and Turkey have Euro 5 emission standards. "Moreover, the technology certification system for emission upgrades is very mature, and these countries that will follow-up will not need to redevelop. It only needs to 'apply' EU ECE regulations."

JAC light commercial vehicle has always been the main force of JAC export

Good factors still exist, but overall not optimistic

Judging from the favorable factors, China's commercial vehicle export regions also have a lot of warmer markets, especially the two regions are Iran and Southeast Asia. Some people even believe that the export of commercial vehicles from the decline in the first half of last year to increase, the key lies in the sharp increase in demand in these two regions.

It is understood that since the relaxation of Iran’s sanctions environment in early 2014 by Western countries, economic development has clearly improved, and demand for commercial vehicles has also begun to rise rapidly. Some Chinese commercial vehicle products (such as Dongfeng) sold in Iran even last year. Soared several times.

In Southeast Asia, the newly appointed Minister of Transport of Vietnam had strict control over the overloading of domestic trucks. This led to the task that the original truck could complete. Now it takes 2-3 vehicles to complete. “The ultra-superiority policy is immediate. This is why the demand for commercial vehicle imports in Vietnam has been increasing substantially since September last year. Some Chinese commercial vehicle companies have even increased their exports to Vietnam by 250%.” The person in charge of the export said. In addition, the recent intense development of mineral resources in the Philippines and other countries has increased the demand for commercial vehicles in China.

"So, China's automobile exports are also favorable for the air. If different brands have different export areas, the performance of exports will be very different." Yan Cairong concluded, "But overall, the Chinese automobile exports in 2015 The situation is not optimistic. The fundamental reason is the strengthening of the US dollar and the increase of tariff barriers in many key exporting countries and regions."

　　

Shuailing high-end light truck has become the main product of Jianghuai exports

Jianghuai’s increase in exports will strive for more than 20% this year. The reporter learned that although the overall export situation is not optimistic, JAC has set itself a more aggressive annual target.

According to Yan Cairong, the export growth of Jianghuai Automobile in 2015 should reach at least 20%. “Our performance in the first quarter of this year was still very good. Export sales increased by more than 20% year-on-year, and export revenue increased by more than 40%. This has a lot to do with the adjustment and optimization of JAC's export structure.”

The reporter was informed that in 2014, Jianghuai Automobile had a total of 54317 vehicles exported, a year-on-year drop of 7%. This means that, in 2015, Jianghuai Automobile's export sales will reach 65,180 units (and will still be mainly commercial vehicles), and its growth rate will exceed 20%.

In fact, due to the earlier layout overseas and the strategic planning is more disciplined and systematic, JAC has consistently ranked first in the export performance of the Chinese auto industry, especially its light truck products, which have been exporting for 14 consecutive years. one. In terms of transforming export growth methods and foreign investment, Jianghuai Automobile has also made achievements. The company currently has 15 production bases worldwide, mainly technical output type KD factories, covering a full range of JAC's product line of commercial vehicles and passenger vehicles. . Among them, JAC's plant in Venezuela is dominated by commercial vehicles; the assembly plant in Mexico mainly produces JAC light trucks that can cover both North America and Central and South America regions; in Southeast Asia, JAC has a joint venture factory in Vietnam to produce left rudder trucks in Malaysia. Two factories producing right rudder trucks have been established; in Iran, JAC also has an assembly plant; the joint venture plant in Brazil will be put into production in 2015; in Algeria and Turkey, the Jianghuai plant construction plan will also be put on the agenda.

In the commercial vehicle export market in 2015, who is the main loser? What is certain is that no matter how intense the competition is, a solid foundation of JAC will continue to be an important player on this stage.

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