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Recently, Dongfeng Motor Co., Ltd. had 1 million light commercial vehicles and 5 million commercial vehicles off the assembly line. Dong Dongcheng, general manager of Dongfeng Commercial Vehicle Co., Ltd., said that in the next three years, Dongfeng Commercial Vehicles will implement the "863 Revitalization Plan": in 2012 The production and sales of automobiles were 274,000, of which trucks exceeded 200,000, and their scale and share increased significantly. For the trend of commercial vehicle market this year, Tong Dongcheng’s judgment will be the trend of low and high.
NBD: Did Dongfeng consider cooperation with related foreign auto companies? How about the development of Dongfeng Commercial Vehicles in overseas markets?
Zhu Fushou: From January to August of this year, the entire automotive industry's exports fell by 64%. The east wind has basically kept pace with the industry, and this year's overseas market has fallen significantly. From the entire Dongfeng Motor Company, last year, exports completed 15,500 vehicles, and so far this year, exports have completed less than 6,000 vehicles.
Tong Dongcheng: I would like to make an explanation on the situation of Dongfeng Commercial Vehicles. In the past five years, the Dongfeng midsize car has been the first in the country, and the heavy vehicle is the second, while the medium and heavy vehicles are the first. From the perspective of overseas markets, we are seeking overseas markets with commercial vehicle production capacity at a 60% utilization rate. Dongfeng currently has a large number of vehicle exports. Since last year, Dongfeng light commercial vehicles have achieved the export of KD (bulk components), and Dongfeng medium and heavy commercial vehicles have also achieved KD exports this year. In the future, we must realize the export of technology and capital. One of the basic objectives of our medium-term plan is to allow Dongfeng Commercial Vehicle sales in the overseas market to account for 10% to 15% of Dongfeng commercial vehicle sales.
NBD: Affected by the financial crisis, the sales of domestic commercial vehicles have been sluggish. What is the situation of Dongfeng Commercial Vehicle this year?
Tong Dongcheng: Last year, the changes in domestic heavy-duty commercial vehicles were performed in two aspects: First, the implementation of the National III standard on July 1st resulted in an unexpected increase in the nationwide commercial vehicle market in the first half of last year, which caused the market in the second half of the year. The steep drop; Second, due to the financial crisis, we are in a completely paralyzed state in terms of overseas markets and logistics and transportation. Our judgment on the trend of commercial vehicles this year is low and high, which is exactly the opposite of last year. This is mainly based on two points. First, the depressed state in the second half of last year has inertia affecting sales in the first half of this year. Second, the introduction of a series of policies by the central government will gradually show results. Facts have proved that since June of this year, Dongfeng commercial vehicles have increased by an average of 46% compared with the first half of this year and the second half of last year.
Zhu Fushou: Affected by the financial crisis, the overall estimation of the industry, especially commercial vehicles, is too pessimistic. Many people make a prediction that commercial vehicles will decline by more than 20% this year. Therefore, many companies are conservative when setting their 2009 targets. At that time I made a point on many occasions that the winter of the financial crisis was coming, but I believe that spring will surely come soon. At the time, I also said that once the crisis period has passed, our situation will change. Based on this judgment, we have a 8% increase in the budget for this year. According to the current situation, our light trucks should have a 25% growth this year.