Chery hits the battlefield of commercial vehicles

Wuhu Tairui Investment Co., Ltd. (A Chery (parameter configuration) automobile affiliate), CIMC's CIMC Vehicles Co., Ltd. and Shenzhen Jiusi Investment Co., Ltd. signed an agreement in Shenzhen City to establish a joint stock of Jirui Trucks. Limited company. On the 12th, Chery Automobile officially launched the microcar brand "Kairui" in Beijing. The brand will produce miniature passengers and trucks to enter the township and rural markets. Within a month, the company continued to "strike hard" in the field of commercial vehicles, and a brand new Chery is forming.

Truck dreams come true

In fact, Chery has been dreaming trucks for a long time. In early 2006, Chery acquired FAW Yangzi across the street. The company has an annual capacity of 30,000 chassis and 2,000 passenger cars and is qualified to produce trucks. At that time, it was planned to achieve mass production two years later. In the same year, Chery also established a commercial vehicle that will achieve 300,000 vehicles by 2012.

One year later, Chery’s first commercial vehicle was listed on the market instead of the trucks and buses in Yangzi. Obviously, the Yangzi project is progressing slowly.

CIMC vehicles can obviously help Chery realize its dream of trucks. The company is a leading manufacturer of special-purpose vehicles in China but suffers from no chassis production capacity and has been buying chassis from domestic heavy truck companies. Chery Yangtze can supply the chassis of CIMC, and the manufacturing experience of CIMC's special vehicles is obviously helpful to the manufacture of trucks. In this condition, both parties hit it off.

In 2006, when Chery bought Yangzi, many people in the industry stated that this move showed that the possibility of the merger of Chery and JAC was greatly reduced. Chery apparently wanted to make a commercial vehicle by itself. Now, it faces Chery and CIMC vehicles. In cooperation, they have created new concerns: the concentration of the heavy-duty industry itself is very high, and Chery and CIMC do not own the manufacturing technology and technology of heavy-duty trucks. The fruits of their cooperation can hardly be expected.

Using microcars to enter the countryside

Compared to trucks, Chery is obviously prepared to enter the microcar. However, the favorable policies for minivans and trucks in the national automobile revitalization plan undoubtedly strengthened Chery's confidence.

Chery named its minicar “Kairui” and it will be a brand affiliated with “Chery”, covering such minibuses as ViewSonic, Youyou, and Elegance, as well as various minivans like Youjin and Youyi. Chery said that in 2009, the sales target of Chery Micro-vehicle Company was to “guarantee four fights for five”, that is, to guarantee the sales target of 40,000 for the annual assessment, and at the same time, to reach the target sales volume of 50,000 vehicles. Regarding this goal, Yin Tongyao, chairman of Chery Automobile, said: "The diversified development of the Chinese auto market has entered a new stage. The mini-vehicle market will become a vast blue ocean for more manufacturers to compete."

Although Chery has made sufficient preparations and produced a wealth of products, it does not guarantee that Kairui will be in front of him. Similar to the heavy truck market, the concentration of China's mini-vehicle market has been increasing in recent years. SAIC-GM-Wuling and Changan Automobile accounted for nearly 70% of this market. The micro-vehicle market will be further activated and expanded with the introduction of favorable policies. However, how newcomers can challenge the original "oligopoly" is still worth Chery's research.

Multi-line operations create new Chery

According to Chery’s plan, in addition to the “Switzerland” listed earlier and “Kairui”, Chery will also launch the “Wei Lin” brand of high-end commercial vehicles, eventually forming four brands including “Chery”. A brand new parallel Chery is ready.

Accordingly, Chery will launch 15 new models under these four brands this year. New cars will be available almost every month. After a few years of adjustment, Chery seems to have returned to the era of "more children fight."

At a special forum for Chery users, the reporter saw that the first netizen commented on Chery's development of a multi-brand strategy. “You still have to do a good car first,” some netizens said. “So many brands, not good. It's a mess." It is not difficult to see that it will obviously take time and appropriate promotion measures for everyone to accept so many new brands at once.

In the last few months of last year, BYD once exceeded Chery on the monthly automobile sales rankings. Originally, BYD and Chery were not opponents of one rank, but with the popularity of F3 (parameter configuration library) and F0 (parameter configuration gallery), BYD quickly emerged, and Chery's really good car still has only one QQ. Today, Chery has spread out its stand and opened up a trend to go forward with multiple lines in 2009. However, this time it is still unpredictable whether the strategic transformation can achieve more results, and whether Chery as a commercial vehicle can be accepted by traditional users. It is a primary issue.

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