China's automotive diesel engine industry showed four major characteristics in 2011

The diesel engine production and sales data from January to November 2011 have been released. Through the 11 months of diesel engine production and sales data in 2011, it can be seen that the automotive diesel engine industry presents four major characteristics.

Initial formation of industrial concentration

From the perspective of production and sales data, although the prosperity of production and sales of small-sized enterprises in 2011 is obviously better than that of large companies, it cannot cover the industrial structure where production and sales are concentrated in a few large companies. Among the 23 diesel engine companies, the top 10 companies in production and sales volume are identical. Among them, the total output of the top 10 companies accounted for 81.31% of the total output of the industry, the total sales of the top ten companies accounted for 81.85% of the total sales of the industry. In other words, 43.5% of automotive diesel engine companies produce and sell about 81.5% of the products. This shows that although the vehicle diesel engine industry is still relatively low in concentration compared with micro- and light trucks, it has achieved a certain degree of industrial concentration and scale of operations.

Three camps surfaced

Among the top companies in production and sales volume, the production and sales volume among enterprises is also uneven, but it can obviously be divided into three orders of magnitude, namely the three camps. In the first camp, there was only one company, namely Guangxi Yuchai Machinery Group Co., Ltd., which achieved 525,379 units from January to November and sold 665,094 units. It was the only one of the 23 companies whose output exceeded 500,000 units, and the sales volume exceeded 600,000 units. Enterprises, production and sales are all about 130,000 units more than China FAW, which ranks second, and it can be said that they are the only players. The second camp includes three companies, namely China First Automobile Group Corporation, Weichai Holding Group Co., Ltd. and Anhui Quanchai Group Co., Ltd. Among them, China FAW's output of 397,068 units and sales of 421,639 units are indisputably stable in the second camp. The production and sales figures of Weichai and Quanchai are almost the same, with about 340,000 units. The third camp includes 8 companies, namely Dongfeng Motor Corporation, Yunnei Power, Jiangling Holdings, Dongfeng Chaochai, Shandong Huayuan Laidong, Beiqi Foton, Weichai Power Yangchai and China National Heavy Duty Truck. Among them, Dongfeng Motor Co., Ltd. ranked first in the third camp with both production and sales exceeding 200,000 units, followed by Yunnei Power, with production and sales of around 200,000 units. The remaining six companies have sales and sales in the range of 100,000 to 200,000.

Dragged by the entire vehicle market into a key factor

Although the annual automobile production and sales figures for 2011 have not yet been completed, according to Zhu Yiping, Assistant Secretary General of the China Association of Automobile Manufacturers, the annual production and sales of automobiles will increase slightly by 2% to 3% to approximately 19.5 million units. However, apart from passenger cars, commercial vehicles have seen declines in production and sales of other types of products. From January to November, truck sales decreased by 5.6% and 3.9% year-on-year; semitrailer tractors decreased by 31.7% and 27.7% year-on-year; non-completed passenger cars decreased by 3.2% and 0.6% year-on-year; non-integrated trucks decreased 19.9% ​​and 13.1% year-on-year. . As the production and sales volume of passenger cars are all around 360,000, which is far behind the production and sales volume of more than 3 million trucks, the decline in production and sales volume of commercial vehicles is a foregone conclusion.

Xing Min, executive vice chairman and secretary-general of the China Internal Combustion Engine Industry Association, believes that there are very few passenger cars equipped with diesel engines in China, and commercial vehicles are basically equipped with diesel engines. Therefore, the decline in production and sales volume of commercial vehicles in 2011 is a decline in the production and sales of automotive diesel engines. The decisive reason. In 2011, there was a slight increase in the production and sales of engines other than vehicle diesel engines. Only the decline in diesel engines was closely related to the overall environment of the entire automotive industry.

The target of production and sales of various companies has not been realized

In late 2010 and early 2011, the automotive engine companies all put forward ambitious production and sales targets and plans. For example, Chaochai proposed sales of 220,000 units and Yuchai to challenge 680,000 units. What echoes this is that many companies invest in new factories to expand production capacity. However, in the coming years, the commercial vehicle market will enter a steady state of development. It can be expected that in the next few years, the growth of the vehicle diesel engine production will greatly exceed the growth in sales, and a large part of the new production capacity will be dormant. The sequelae of repeated construction and blindly expanding production capacity will gradually emerge.