Shaanxi Auto Zhou Yinchao: optimistic about the heavy truck market in the second half

In the first half of this year, tightened monetary policies, car-to-country, old-for-new incentives and other gradual withdrawals, tightening of policies such as rising oil prices, vehicle fuel consumption management policies, commercial vehicle access management policies, and production consistency management policies were tightened. With the gradual implementation of the impact of unregulated charging on the highway, the heavy truck market seems to have slowed down the pace of growth.

According to the data released by the China Association of Automobile Manufacturers, from January to May, the total sales volume of heavy-duty trucks (including non-integrated vehicles and semi-trailer tractors) was 479,500 units, down by 2.29% year-on-year. Compared with the growth rate of production and sales of about 60% in 2010, this year's heavy-duty truck market seems to be less “hot”. Some industry experts even use “severe” to describe the situation facing the development of China’s commercial vehicle industry in 2011.

However, on July 1st, the Shaanxi Automobile Group held a mid-summer marketing conference. Zhou Yinchao, the assistant to the general manager of Shaanxi Automobile Group and general manager of the sales company, expressed optimistic expectations for the heavy truck market in the second half of the year. He pointed out that the reason why the market is optimistic about the second half of the year is based on the following two reasons.

First, investment in fixed assets continues to grow. "In the second half of this year, the growth rate of investment in fixed assets across the country is expected to reach 30%, and the construction of affordable housing and water conservancy will become the main project for future fixed investment. At the same time, the country is expected to invest 300 billion yuan in water conservancy construction this year, which is to some extent supported. With the sales volume of construction vehicles in the second half of the year, at the same time, the government shantytowns transformation and the rigid demand for urban housing will not significantly reduce the amount of real estate investment in the second half of the year, supporting the city's demand for landfill vehicles.” Zhou Yinchao analyzed.

As we all know, as an important production tool, heavy trucks are largely affected by economic restructuring and investment in fixed assets. Some experts predict that in 2011, China's GDP growth rate will remain at about 9%, the national total social investment growth will remain at about 25%, and the government's total investment in the "Twelfth Five-year Plan" is about 700 billion. The implementation of Yuan’s 10-year plan for Western Development has made this year’s heavy-duty truck market less “severe”.

Second, the introduction of eight logistics companies in the country reduced the tax burden on logistics companies, reduced the cost of crossings and bridges, and reduced the cost of highway logistics operations. This is expected to increase the market demand for tractors in the second half of the year. At the beginning of last month, the State Council Standing Conference studied and deployed 8 supporting measures to promote the development of the logistics industry. This measure starts with taxation, land policy, reduction of overpass fees and increased investment in the logistics industry. It regulates arbitrary charges, penalties, and irregularities in the logistics process to further promote the healthy development of the logistics industry. The industry has been hailed as the logistics industry. The "State of the Eight".

Correspondingly, on June 15, five ministries, including the Ministry of Industry and Information Technology, the Ministry of Transport, and the National Development and Reform Commission, issued a notice a few days ago and will implement toll road irregularities and unreasonable charges from June 20 to May 31 next year. Special clean-up, during which it is prohibited to add ordinary commercial highways. Trying to pass a year or so to fully clear the road overdue fees, toll fees and other high and non-reasonable charges, resolutely cancel the charging period expires, cancel the toll booths that do not meet the requirements, and correct various illegal charging activities.

In addition to these external factors, Zhou Yinchao’s confidence also stems from the gradual withdrawal of incentive policies such as tightened monetary policy, automobile going to the countryside, trade-in, and so on in the first half of this year, rising oil prices, vehicle fuel consumption management policies, commercial vehicle access management policies, and production consistency. With the tightening and gradual implementation of many policies such as sex management policies and the impact of unregulated charging on highways, the heavy truck market seems to have slowed down the pace of growth.

According to the data released by the China Association of Automobile Manufacturers, from January to May, the total sales volume of heavy trucks (including non-integrated vehicles and semi-trailer tractors) was 479,500, a year-on-year decrease of 2.29%. Compared with the growth rate of production and sales of about 60% in 2010, this year's heavy-duty truck market seems to be less “hot”. Some industry experts even use “severe” to describe the situation facing the development of China’s commercial vehicle industry in 2011.

However, on July 1st, the Shaanxi Automobile Group held a mid-summer marketing conference. Zhou Yinchao, the assistant to the general manager of Shaanxi Automobile Group and general manager of the sales company, expressed optimistic expectations for the heavy truck market in the second half of the year. He pointed out that the reason why the market is optimistic about the second half of the year is based on the following two reasons.

First, investment in fixed assets continues to grow. "In the second half of this year, the growth rate of investment in fixed assets across the country is expected to reach 30%, and the construction of affordable housing and water conservancy will become the main project for future fixed investment. At the same time, the country is expected to invest 300 billion yuan in water conservancy construction this year, which is to some extent supported. With the sales volume of construction vehicles in the second half of the year, at the same time, the government shantytowns transformation and the rigid demand for urban housing will not significantly reduce the amount of real estate investment in the second half of the year, supporting the city's demand for landfill vehicles.” Zhou Yinchao analyzed.

As we all know, as an important production tool, heavy trucks are largely affected by economic restructuring and investment in fixed assets. Some experts predict that in 2011, China's GDP growth rate will remain at about 9%, the national total social investment growth will remain at about 25%, and the government's total investment in the "Twelfth Five-year Plan" is about 700 billion. The implementation of Yuan’s 10-year plan for Western Development has made this year’s heavy-duty truck market less “severe”.

Second, the introduction of eight logistics companies in the country reduced the tax burden on logistics companies, reduced the cost of crossings and bridges, and reduced the cost of highway logistics operations. This is expected to increase the market demand for tractors in the second half of the year. At the beginning of last month, the State Council Standing Conference studied and deployed 8 supporting measures to promote the development of the logistics industry. This measure starts with taxation, land policy, reduction of overpass fees and increased investment in the logistics industry. It regulates arbitrary charges, penalties, and irregularities in the logistics process to further promote the healthy development of the logistics industry. The industry has been hailed as the logistics industry. The "State of the Eight".

Correspondingly, on June 15, five ministries, including the Ministry of Industry and Information Technology, the Ministry of Transport, and the National Development and Reform Commission, issued a notice a few days ago and will implement toll road irregularities and unreasonable charges from June 20 to May 31 next year. Special clean-up, during which it is prohibited to add ordinary commercial highways. Trying to pass a year or so to fully clear the road overdue fees, toll fees and other high and non-reasonable charges, resolutely cancel the charging period expires, cancel the toll booths that do not meet the requirements, and correct various illegal charging activities.

In addition to these external factors, Zhou Yinchao’s confidence also originated in the Shaanqi Group: In the first half of this year, Shaanxi Automobile achieved a total order of 70,000 units and achieved 54% of its annual target (130,000 units). The overall sales volume rose against the trend and the market share steadily increased. Within the Group: In the first half of this year, Shaanxi Automobile achieved a total order of 70,000 vehicles and achieved 54% of its annual target (130,000 units). The overall sales volume rose against the trend and the market share steadily increased.