Car prices can be independent innovation to break the monopoly profits of the core parts

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Why are the prices of auto brands such as Geely and Chery much cheaper than those of joint-brand vehicles of the same grade? Some people think that this is an independent brand, the brand is weak, and the pricing is low; others also think that this is a frequent use price of self-owned brands in order to grab market share. Caused by war means. In fact, a very important reason is that Geely and other independent brand manufacturers have more and more core patent technologies with independent intellectual property rights on some core components. In this way, compared with joint venture manufacturers, Geely, Chery, etc. do not need to be controlled by the price of the core component parts, and do not have to pay high patent license fees or technology transfer fees to the outside party, which can save a lot of costs.

The reporter recently researched in Zhejiang Geely Group. Geely’s independently developed engine plastic intake manifold attracted the attention of reporters. With this plastic intake manifold, the weight of the engine can be greatly reduced and energy efficiency can be improved. An Geinhui, vice president of Geely Holding Group and general manager of Zhejiang Geely Automobile Co., Ltd., told reporters that in some joint venture automobile manufacturers, the core technology and pricing power of this plastic intake manifold are under the control of foreign parties, and the unit price is around 1300 yuan. , And Geely's own R & D and production of plastic intake manifold is priced at less than 200 yuan. "We can only achieve cost control and procurement control by mastering our own core technology." An Zhihui said.

The reporter learned that the sweetness of Geely’s possession of independent core technologies is far more than these. At the just-concluded Shanghai International Auto Show, Geely displayed nine models of engines, embodying new technologies such as exhaust gas turbocharging, direct injection in the cylinder, and common rail, and integrated use of CVVT (intake intelligent continuous variable valve timing system). ), DCVVT ​​(intake / exhaust dual intelligent continuously variable valve timing system), aluminum cylinder and cylinder head, plastic intake manifold and other technologies. Geely's independently developed VVT all-aluminum cylinder engine JL4G18 has broken through the bottleneck of China's engine science and technology R&D. Its maximum power is 103KW, its power is 57.2 kilowatts, and its power and maximum power are far higher than the 2.0-liter engine widely used by public joint venture manufacturers in China. .

When it comes to the technical shortcomings of domestic automobile manufacturers - automatic transmissions, An Zhihui said that the profit of an automatic transmission is equivalent to the profit of a complete vehicle. Geely's breakthrough in the core technology of automatic transmission has laid a good foundation for vehicle cost control.

At the Shanghai Auto Show, China's first self-developed dual-clutch automatic transmission debuted at the Geely booth. The 7DCT gearbox is a dual-clutch transmission with seven forward gears. Geely also exhibited two other self-developed gearboxes. In addition, Geely recently acquired DSI, the world's second largest automotive transmission plant. DSI can produce a variety of transmissions that can produce not only small torque but also high torque. According to Geely's plan, Geely will launch a large-displacement engine and launch a rear-drive model. DSI can solve the shortcoming of the automatic transmission for Geely and strengthen the research and production capabilities of Geely's full range of automatic transmissions. After DSI, under the control of Geely, supplies to the domestic market, the price monopoly of automatic transmissions by foreign parties is expected to be affected.

Previously, the reporter learned from the relevant personages of the CIRC that, at present, the selling price of new cars is getting lower and lower, and the important profit sources of 4S stores are auto insurance business, after-sales maintenance and repair. The long-term cause of the joint venture brand auto parts is the main reason for foreigners to master the core components of technology and pricing discourse. In the industry, it has long been found that the money to dismantle the vehicle to sell parts is higher than the value of the new car. In the long run, not only will the rights and interests of consumers be reasonably protected, but the foreign party will continue to earn a large amount of profits from the Chinese auto aftermarket.

It is worth noting that currently, joint ventures have launched their own brands as a trend. The reporter believes that from the perspective of benefiting China in mastering core technologies, this is a good thing and should be supported. However, how does the joint venture's self-owned brands have mastered the core technology of parts and components? How does the discourse power of the core parts and components purchase channel and pricing power merit our attention? On the surface, the joint venture’s own brand is owned by the joint venture, with Chinese and foreign companies each occupying 50%. However, if the core component technology, procurement channels, and pricing power are dominated by the foreign party, then the “joint venture independent brand” pursues the greatest interest. The original intention.

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