European heavy truck giants gradually become clearer in China


Nordic Sweden suddenly warms up

On April 18, the internationally renowned Swedish Scania Commercial Vehicle Co., Ltd., to welcome the first-time Chinese reporter team, raised a five-star red flag in front of the headquarters building in Stockholm's Sodertalje, and will develop and produce All relevant departments such as sales, service, etc. are fully open to Chinese reporters.

Coincidentally, these Chinese reporters had just returned to Beijing in late April. Another group of Chinese reporters are preparing to leave for Gothenburg, Sweden, and visit another famous commercial vehicle manufacturer, Volvo. For a time, Sweden, located in northern Europe, quickly warmed up in the Chinese automobile media. What does this coincidence mean behind the scene?

China's heavy-duty truck market began to rebound strongly after its bottoming in 2006. In the first quarter of this year, most of the heavy-duty truck companies showed a substantial growth trend, and the market situation was very good. Experts predict that the heavy truck market in China will leap to a new historic level in the next two years.

In the face of broad market prospects, the international truck manufacturing giant has also prepared for this. If, in 2003, Chinese reporters visited Volvo for the first time to communicate with high-level officials, they found that their understanding of China's heavy-duty truck market was not very adequate. Well, not only Volvo, but international heavy truck giants including Scania, knew about the Chinese market. It has risen to a new level. They are ready to start a new round of competition in China.

Every China's Strategy

The international heavy truck giants are not the first round in China. A few years ago, their strategic focus in China was to find a joint venture of Chinese backbone enterprises and build factories to expand into the Chinese market. However, the combination of Volvo and China National Heavy Duty Truck is not satisfactory, and Dongfeng Nissan Diesel is also difficult to become a climate. Adjusting the strategy and starting a new round of competition is an inevitable choice for international heavy truck giants.

It is understood that some cross-border heavy truck manufacturers are still pursuing joint ventures such as Mercedes-Benz, Volvo, Renault, Iveco and others, but the pace has slowed down significantly, and the conditions for cooperation are no longer harsh.

Hercilia Siscia, vice president of Scania, said that the company’s China strategy is “to provide a good brand image through providing users with high-quality products and services, so as to lay a solid foundation for long-term access to the Chinese market.” Scania In the short-term, it is not in a hurry to build a factory in China. Instead, it gradually expands its market share by providing partners with the chassis for cards and buses. Such as providing high-grade bus chassis to Xiamen Golden Brigade and Suzhou Golden Dragon, providing pump chassis to Anhui Xingma.

Insiders pointed out that the German strategy of the German company Mann and Scania also have similarities. In short, transnational giants are trying their best to compete in the competition through their respective strategies.

Cost control becomes a competitive weapon

A recognized intention of multinational giants to build factories in China is to use China’s relatively low labor costs, reduce vehicle production costs, and increase competitiveness. However, this measure does not seem to apply to Scania. According to Cisilia, labor costs account for only 15% of Scannia's total production costs, and it is not too far away from the labor costs of developing countries. Scania can maintain 60 years without losses, and successfully controlling costs is an important factor. And how to control costs, Scania has its own secret.

In a concise conference room in the Scania headquarters building, He Mochi, general manager of the company's China district, told this reporter that this is where he reported to the company's president and other senior leaders on China's strategy. It is here that Mr. Hans, a spokesperson for Scania News, told the Chinese reporters who entered this conference room for the first time that they had the secret of controlling costs—modular production.

Hans said that the so-called modular production means that a number of established assemblies or components constitute the main product frame, and then be flexibly matched with other parts. This can provide users with tailor-made products without greatly increasing the total number of parts. Not only save time, increase productivity, but also effectively reduce costs.

Sell ​​products to provide services

In modern truck marketing, the proportion of service products is increasing. Both Scania and Volvo emphasize that they provide a total solution while selling products to users. For example, according to the user's driving route, what kind of cargo and the characteristics of road conditions and other specific circumstances, to provide users with applicable products.

In addition, Chisilia said Scania's maintenance, spare parts supply, and leasing, installment payments and other financial services products are also developing rapidly. In Europe, the average time from user to call to troubleshooting is 6 hours. In China, although Scania's sales are not large, it can also provide users with tailor-made products and ensure that they provide timely and reliable services.




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