By innovation Sinotruk is the leader with Standards shifted

The market for Sinotruk started ahead of expectation and in August Sinotruk production and sales volume could break through 10,000 units expectedly

The employees of Sinotruk who were on vocation received an emergency notice that they must go back to their working positions as soon as possible.  The reason was that orders increased rapidly, with an average of about 170 units last month rapidly increased to 450 units a day this month, and the most number of daily order in the middle of August reached 800 units.

“Market situation is out of our expectation” Li Pengxing, manager of Market Department of Sinotruk said, “since the shift of National-III Emission standards, due to the overdrawing of the market, heavy truck market slumped in July and some production units of our company began to arrange employees to rest in turn.  But we never imagined the market re-fuse again just in a month later.  Especially for our EGR products, due to its stable quality, low fuel consumption, convenient maintenance and low requirements of fuel, it is popular in market so as to start market earlier.  Now the orders mainly focus on trucks with EGR National-III engines.

The development of EGR engines started two years ago with 200 million yuan investment of Sinotruk for satisfying the shift of national emission standards.  Sinotruk has completely independent intellectual property rights on EGR engines, which makes Sinotruk win prior opportunities in the shift of emission standard.

In the first half of this year, Sinotruk had monthly production and sales volume of more than 15,000 units in three successive months, re-creating new record again.  Up to the end of July, Sinotruk had produced and sold 76,000 trucks in accumulation.  Overcoming the difficulties of price increase in energy, raw materials, and labor costs, Sinotruk realizes its main economic targets increasing more than 40% compared with the same period of last year.

“In the beginning we estimated that the domestic market will start in September and in order to face the possible market slump in the second half of the year, we put many international orders from the first half to the second half of the year, and these orders will be released in the coming months.  But in August, the market is out of our expectation:  first, the international ordering is rising; second, the domestic market starts ahead of time. Upon to August 15, orders of half a month are 6,292 units and it is in a rising orientation with daily orders surpassing 450 units after August 15.  At present, the Group has comprehensively started to face the big month of production and sales.” Li Pengxing said.

“Self-innovation is the strategic measurement that Sinotruk maintains market advantage. It is a series of products innovated that guarantees the competitive advantage of us.  The production and sales target of August is to ensure 8,000 units.  At present, the target of producing 125,000 trucks and exporting 20,000 trucks will be guaranteed” Cai Dong, president of Sinotruk said, “from the end of this year to the beginning of the next year, we will launch a series of products in succession that are able to shock the present market so as to enhance China’s heavy truck industry to a new technological platform.  On one hand, it can widen the gap with our domestic competitors to maintain the leading position of Sinotruk and at the same time it can narrow the gap with international advanced level.  We are convinced of catching up with international advanced level in several years, making Sinotruk be a real international multinational company.”

Correspondent:　Qu Yunlei