Heavy truck "heart" becomes stale


Heavy trucks are the most critical part of commercial vehicles in China, and they are also the vane of the scale and level of commercial vehicles in China. From the perspective of supporting and guaranteeing the development of heavy-duty trucks, domestic heavy-duty diesel engine manufacturers will do their best to solve the problem, in order to achieve sustainable growth while boosting the development of the heavy-duty truck industry by producing products that meet national policies and regulations and market demand. Based on historical reasons and its own relentless pursuit of innovation, Weichai has become the biggest benefit of the development of the heavy-duty truck market. While constantly meeting the demand for heavy-duty trucks, it has also objectively accelerated the pace of progress toward the scale of 100 billion yuan. However, under the new environment in which the heavy truck manufacturing companies pay more and more attention to the interests within the group, the competitive landscape of heavy truck “heart” enterprises is undergoing significant and profound changes. The unique pattern of Weichai was challenged by diesel engines from heavy trucks such as FAW, Dongfeng, and CNHTC. The maintenance and improvement of the share became the focus of the struggle.

With inherent advantages, Weichai once after the establishment of the representative of heavy-duty engine market <br> <br> new China, the automotive industry to solve serious "shortage of heavy" (more than 8 tons load of heavy vehicles) problems, our country organized a Reproduction of heavy-duty trucks. In 1960, CNHTC Jinan Automobile Factory used foreign aid to produce China's first "Yellow River" brand JN150 8-ton truck, which achieved a breakthrough in China's heavy-duty auto industry and opened the prelude to the development of China's heavy-duty auto industry. In 1984, Weichai was recognized by the then National Development Planning Commission and the National Economic Commission as one of the fixed-point plants for the development and production of the Steyr WD615 series diesel engines. In the same year, the National Economic Council issued a reply to the agreement on changing the affiliation of the Weifang Diesel Engine Plant. The letter confirms that it is one of the fixed-point plants for diesel engines for heavy-duty vehicles. In October 1989, the Weichai production line successfully passed the acceptance check of the national organization, and the WD615 series diesel engine for heavy-duty vehicles began production. At this time, the domestic diesel engine production enterprises mainly stay in the production of medium and small horsepower engines. Although FAW and Dongfeng have stated on various occasions that they should speed up the listing of heavy machines, there is still a long way to go from research and development to acceptance by the market. However, in this sense, Weichai has already won at the starting line.

In order to maintain its leading edge, Weichai launched the Lanqing series of engines WP10 and WD12 that met Euro III emission standards in March 2005, and concluded an international strategy with Foton Motor, Bosch Germany, and AVL Austria. The alliance, the satisfaction of Shaanxi Heavy Duty Truck, Chongqing Hongyan, Beiben Heavy Duty Truck, Anhui Hualing and other loading needs, but also with FAW to establish a partnership, according to the agreement reached between the two sides, FAW Jiefang Truck 340 hp or more power of heavy vehicles All will use WD and WP series engines from Weichai. The strategic alliance with FAW Liberation and other companies has enabled Weichai's customers to include almost all manufacturers of heavy-duty vehicles other than CNHTC that produce more than 15 tons of heavy-duty vehicles, and this market is the fastest growing in the automotive market, so by 2009 In May, the cumulative sales volume of Weichai Lanqing High-Pressure Common Rail III diesel engine has exceeded 120,000 units. When the end of the year, the diesel engine has reached 2 million units in the market, becoming the "king of power" for irreplaceable high-power engines at home and abroad.

The year 2010 is the highest point of China's heavy trucks, and the scale of production and sales of over a million provides extremely rare market opportunities for heavy truck “heart” enterprises, and also enables Weichai to achieve leapfrog development. This year, Weichai sold a total of 414,000 heavy-duty engines, an increase of 83% year-on-year, and a market share of 40.7%, an increase of 5.1 percentage points year-on-year.

With a good brand, excellent technology and excellent service, Weichai's engine "aircraft carrier" has been the country's number one bulldozer and loader nationwide for many years in heavy truck and construction machinery industries. In response to the achievements made in 2013, Feng Gang, vice president of Weichai Power, once said with pride that “Wei Chai has not only maintained its market share, but also has continued to increase its market share compared to 2012, like heavy trucks. While keeping the market first, the diesel engine’s share has increased by 3 percentage points over the same period of 2012.”

Share changes and fluctuations, heavy truck "heart" heavy-duty engine market prices snatching cake <br> <br> affected by various factors, after the heavy truck market experienced a market peak in 2010, 2011 and 2012 appear "two losing streak." Although the number of heavy-duty trucks sold was 77.4 million in 3013, a year-on-year increase of 21.7%, it did not shake the judgment of industry experts that the development of the domestic heavy-duty truck market gradually became rational.

In the change from rapid growth to rational growth in the heavy-duty truck market, the overcapacity caused by the large-scale expansion of domestic heavy-duty engine companies during the “Eleventh Five-Year Plan” has become more prominent, posing new challenges for the development of these heavy truck “heart” enterprises. At the same time, what must be seen is that, with the gradual fullness of the engines of the Heavy Truck Group, reducing outsourcing has become inevitable, implying that Weichai traditional users must change their channels and reduce the demand for Weichai products. In order to better meet the needs of the Group and realize the maximization of the Group's interests, CNHTC has deployed Shandong and Zhejiang to supply the two major bases of Jinan Power and Hangzhou Engine Company. In 2010, the company produced 110,000 engines. . While FAW boosted the output of Xichai, it accelerated the production capacity of Daew C. Deutz. In 2013, Deutz FAW (Dalian) Diesel Engine Co., Ltd. produced a total of 108,000 engines and sold 107,000 engines, generating sales of 2.608 billion yuan. The sales growth rate reached 21.2%. On the one hand, Dongfeng strengthened its cooperation with Dongfeng Cummins and Yuchai, on the one hand, it accelerated the output of its own diesel engine plant, and Renault dCi11 engine continuously produced new highs. Even Weichai's Shaanxi Zhongqi also cooperated with Cummins to launch Xi'an Cummins and equipped it with its products. In addition, high-horsepower engines such as Shangchai Hino and Iveco Hongyan Power also achieved rapid development. Newly-launched Valin Hanma Powered engines also achieved 2,158 sales in 2013.

It can be said that the process of forming and becoming effective sales of these capabilities is, in a sense, a process of reducing the demand for Weichai engines. Although Wei Chai’s overall position cannot be shaken, it has been difficult to control more than 40% of its previous share. The same is true. Weichai sold 318,400 heavy truck engines in 2011, a 23.9% decrease compared to the same period of last year. The market share was 36.16%. In 2012, it sold 207,000 heavy-duty trucks, a decrease of 34.8% year-on-year, a market share of 32.6%, and a heavy truck engine in 2013. Although the market share exceeded 35%, it still failed to reach the 40.7% share in 2010. Correspondingly, the share of engines of FAW, CNHTC and its subsidiaries increased in different degrees compared with the same period in 2012.

Under the new structure, heavy-duty diesel vehicle companies find breakthrough Eight Immortals <br> <br> Although the current situation, other heavy-duty engine business and Weichai temporarily difficult match, but with the power of the group is located, to accelerate the pace of technological upgrading and scale output These enterprises have not only become a positive force that constrains Weichai's ability to attack cities, but also quickly replace them in the light of a slight loss of firewood. At the same time, if these companies have problems in strategy, product quality, after-sales services, product upgrades, etc., they may also create new opportunities for Weichai's product share improvement. In this kind of stalemate that no one dared to take lightly, all heavy truck “heart” companies, including Weichai, are seriously studying the development of the market and doing everything possible to innovate in an effort to follow the direction of heavy truck development and achieve new breakthroughs in their share.

Weichai has all-round power. The first was the introduction of new WP10 and WP12 gas engines in trucks, successfully mastered the development of the National IV processing technology and system matching system, and secondly, actively implemented the transition from cross-border mergers and acquisitions to an integrated business model, and continuously improved the post-market business model. It is a full-service, focusing on the introduction of 51 new technologies such as the application of new technologies such as PBS, post-processing technology, self-developed electronic control technology, and hybrid bulldozers. The company has made full use of its products to improve product performance and reduce the after-sales failure rate. The service management assistant system, the implementation of labor cost incentives, and the improvement of the assessment management mechanism have successfully managed to increase the 24-hour closing rate to 71%, truly bringing about services and products.

FAW Xichai positioned high-end. With the brand vision of "national brand high-end power", Xichai provides customers with a full range of high-end power products. Actively benchmarking represents the world's most advanced level of VOLVO engines, looking for the appearance quality of their own products, parts costs, etc. The existing gaps have been targeted for improvement. While keeping a close eye on the quality of the purchased parts market, the joint suppliers have carried out analysis and improvement from the four dimensions of design, manufacturing, service, and use, and have endeavored to promote the procurement of resources from resources. Type-oriented quality assurance. Thanks to the positioning of high-end products, in 2013, sales of Xichai Diesel Engines increased by 9% year-on-year, main business revenue increased by more than 15% year-on-year, and profit increased by 96% year-on-year. Total asset turnover and liquidity turnover reflected the operating capabilities of the company. Indicators, indicators such as per capita output value and per capita sales revenue that reflect production efficiency ranked first in the industry, among which, the main product “Aowei” 11 liters accounted for 47% of the domestic 11-liter market share.

Yuchai strengthens marketing services. On January 18, Yuchai held a high-profile marketing service conference in 2014. At the meeting, in 2013, Yuchai’s external cooperation and internal management upgrades achieved new breakthroughs. The overall service satisfaction was 88.13 points and continued to operate at a high level. In 2014, Yuchai will promote lean operations in the context of organizational restructuring, continuously improve product quality, cost, R&D, delivery, and service, and comprehensively increase the power of merchandise, manufacturing, marketing, and system, and build innovation for all employees. Create a system to promote business transformation and conduct in-depth “second venture”, not only introduced in detail the key technologies and products in 2014, but also put forward Yuchai’s plan to start a second business and strive to achieve annual sales of 1 million units in 2018 The goal.

Hanma Power relies on internal gearing to boost output. From the appearance of the product to the formation of a batch size, Hanma Power had a large tree of Anhui Hualing heavy truck, achieving rapid development at an extraordinary speed. Valin Xingma Chairman Liu Hanru believes that in the next two years, Valin Motors will have great development and at the same time it will also drive the rapid growth of Hanma's power output. Liu Hanru said that in 2014 it had planned to sell more than 5,000 units and strive to achieve 7,000-8,000 units. Compared with the number of 2,158 units in 2013, the number of sales in 2014 is expected to quadruple. If the engine can sell more than 7,000 engines in 2014, it is expected to exceed 20,000 units in 2015.

Shangchai teamed up with Hongyan for a breakthrough. In the construction machinery engine market has done a good job on the firewood, trying to get a share in the heavy truck market. On November 15, 2013, SAIC Iveco Hongyan Commercial Vehicle Co., Ltd. jointly held product promotion activities of "Hongyan Vehicles, Shanghai Diesel Engine Core - Concentricity, Peer, and Win-Win", and released the upgraded version of 2014 new King Kong dump trucks. The sales policy of the Shangchai E-series heavy-duty commercial vehicle engine hopes to achieve a high degree of efficiency and high returns for customers through the perfect match between the diesel engine and the new King Kong, and at the same time continuously increase the matching ratio of its own engine in the heavy truck market.



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