CNHTC achieves sustainable development

In the first quarter of 2009, although impacted by the international financial crisis, China National Heavy Duty Truck Group Corp (CNHTC) has still maintained a stable development momentum. At the 2009 Auto Shanghai opened on April 22nd, CNHTC made a show in a strong lineup.

At the auto expo, CNHTC launched the latest independently-developed HOWO-A7 series products, including 6?? and 6?? tractors and cement mixers. HOWO-A7 is the top product in the field of heavy truck across China and the fruition of CNHTC's deep digestion and absorption on international advanced technologies and the independent development for the entire assembly matching technology. The birth of HOWO-A7 has promoted the quality and standard of domestic heavy trucks greatly, making CHHTC a leader in the field of product research and development. Additionally, CNHTC also launched three unique refitted vehicles: front unloading cement mixers, cranes and mining auto-unloading vehicles. The products of CNHTC in the auto expo are more abundant with a higher technological standard.

In terms of the assembly products, CNHTC has brought its independently developed automated mechanical transmission (AMT). Presently, such a type has collocated into the entire vehicle products of heavy trucks, which has led China's transmissions for heavy trucks into a brand new field of automated mechanical transmission. The EuroIV engine, as a technological store of CNHTC, has also debuted in the auto expo.

Wang Wenyu, a senior commissioner of CNHTC, expressed that the significance of the auto expo this year was different from those in the past years. Due to the spread of the international financial crisis and the depression of the global economy, China's truck industry has also been influenced. Under such a background, CNHTC's participation in the auto expo is of a clear goal, that is, to demonstrate CNHTC's independently developed entire vehicle and assembly products in the past two years and send the insiders its confidence to withstand the crisis and insist the development.

In the first quarter of this year, the production and sales volume of heavy trucks across China has decreased by 39.16 percent year on year while the production and sales volume of CNHTC is basically equivalent to that in the same period of last year. What's more, in March, a historical record of 180,000-set monthly production and sales volume has been hit with the market share of over 30 percent, continuing to rank No.1 in China. In allusion to the current situation that the carry cargo market is at a low ebb and the logistics vehicle market has not been really initiated yet, CNHTC has seized closely the opportunity of the warming-up in auto-unloading vehicle market benefited from the government's RMB4 trillion yuan input and the initiation of local infrastructure projects, fully exerted the advantage of auto-unloading vehicles, taken active marketing measures and gained a better consequence. Among the products sold in the first quarter, more than 70 percent is engineering-used vehicles, far higher than around 60 percent before.

 The increasingly development of CNHTC is benefited from its persistence of the core cooperation concept, i.e. "scientific development, rational management, elaborate operation and seek for the best benefit". As early as the initial stage of new CNHTC reorganization in 2001, Ma Chunji, President of CNHTC, has proposed that, "To judge the development of an enterprise does not only depend on the economic index, what's more important is to depend on its core competitiveness improvement, mechanism reform and the anti-risk capability." During the eight years of reorganization, CNHTC has always been regarding an enterprise's independent innovative capability as the basis to promote the core competitiveness and firmly implementing the innovative innovation in order to develop the products meeting market demands. At present, it has had over 2,700 vehicle types with nine series, such as HOWO and Steyr. It has independently developed the brand new HOWO-A7 series products and become the sole heavy truck enterprise that produces batch automated transmissions in China. It has developed from nothing and grown from small to big in terms of engine production. In recent years, it has successively launched natural gas engines and electronically controlled EGR national III emission engines, which is totally based on the independent research and development and has filled the domestic blank. CNHTC has become the sole domestic heavy truck enterprise that possesses the intellectual property right on ECU control system. Currently, the declared patents have aggregated to 1,090, among which there are 940 authorized patents. In recent years, CNHTC has invested nearly RMB8 billion yuan on technical reform and technical equipment upgrade. Presently, it has had the capability to produce 150,000 entire vehicles and 200,000 engines annually. And part key production lines and techniques have achieved the advanced international standard basically.

Wang Wenyu believed that despite influenced by such unfavorable factors as international l financial crisis, China's domestic demand on heavy trucks didn't change fundamentally in the long run and the industry still had a promising future. For the moment, the sluggish market is just providing a good opportunity to expand leading advantages and realize development goals for enterprises. No matter how the industry develops, CNHTC shall try its best to seize the opportunity of its great improvement in market shares, firm the faith of keeping its leading position in the industry. CNHTC's goal of this year is to realize the heavy vehicle production and sales volume of 125,000 in the whole year, ensuring to increase than last year.

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