Weichai, which was once on the verge of bankruptcy and could not find a buyer to sell itself, now has a revenue of more than 300 billion yuan one year.

Weichai was once on the verge of bankruptcy, but now has a revenue of more than 300 billion yuan one year (1)

Speaking of the engine technology which is strong, many people will flash over two countries, one is a rigorous and known mechanical manufacturing strong Germany, the other is the spirit of craftsmen and like to do anything to ultimate Japan. German engines are excellent and have good comprehensive performance, while Japanese engines are fuel-efficient and durable. These two labels have been deeply engraved in the minds of people of the world.

Weichai was once on the verge of bankruptcy, but now has a revenue of more than 300 billion yuan one year (2)

In fact, the evaluation of engines in Germany and Japan is correct, and the engine of these two countries started very early, of which Germany is one of the birthplaces of the second industrial revolution, a few internal combustion engine major reforms occur in Germany. Because of the support of the United States after World War II., the domestic manufacturing penetration, the United States brought much advanced technology to Japan. So the engine technology in Germany and Japan is very advanced, which is not a context.

Weichai was once on the verge of bankruptcy, but now has a revenue of more than 300 billion yuan one year (3)

China’s internal combustion engine manufacturing is very late, and there was no exchange with international advanced engine manufacturers in the middle of the world. After 1950, China’s engine ushered in new opportunities, can exchange cooperation with foreign technology companies, so China’s engine technology has flown. However, it is still not as good as foreign engines at the same price then.

Weichai was once on the verge of bankruptcy, but now has a revenue of more than 300 billion yuan one year (4)

Engines are divided into internal combustion engines and external combustion engines. External combustion engines are represented by Stirling engines, which only need to ignite and burn outside. They use the principles of air expansion and contraction and atmospheric pressure to achieve a power cycle. There are mainly several kinds of internal combustion engines, one is the diesel engine, another is the gasoline engine, and the last one is relatively rare, that is, the gas turbine. The fuel utilization efficiency of the gas turbine is the highest in diesel engines. The diesel engine uses the embustrance method. The fire point of diesel itself is very low, but the gasoline is still low, but because the quality of diesel is not easy, it is not suitable for fire.

In terms of internal combustion engines, China’s technology is relatively backward but mainly concentrated in gasoline engines, while diesel engines can keep up with international standards. There are three major diesel engine companies in China. Weichai, Yuchai, and Changchai . Changchai is often used in foreign agricultural machinery, while Weichai and Yuchai are mainly used in light trucks and heavy trucks.

Weichai was once on the verge of bankruptcy, but now has a revenue of more than 300 billion yuan one year (5)

Today, let’s say Weichai. Weichai has on the verge of bankruptcy in the 1990s, where to be, there is no need to find the buyer, and later, because the reform is reform, it will slowly return to life.

Weichai’s turning point is to acquire Xiang Torch Company. Now many people have never heard of the property, after being listed in Hong Kong in 2005,  Weichai got the fund to acquire it, and it has a significant significance for Weichai. Mainly, it has heavy truck production qualifications, as well as gearbox production technology and Handorbridge production line, Weichai acquiring Xiang Torch is equivalent to acquiring complete equipment and technology of a complete heavy truck production line, and this is very important for the later development of Weichai.

Weichai was once on the verge of bankruptcy, but now has a revenue of more than 300 billion yuan one year (6)

In 2005, China’s heavy transport machinery sales did have not many sales, but the growth is rapid, the reason is that China’s real estate begins to rise, there are many in the countryside, people cover the building, and there are later villages. This is a light truck and heavy truck to Weichai, which provides a broad market reason. It is very simple. It is necessary to transport materials. If you want to transport materials, you have to truck, there is a truck, there is Weichai.

Weichai was once on the verge of bankruptcy, but now has a revenue of more than 300 billion yuan one year (7)

Weichai is always acquiring other companies to improve their own, and continuously acquire some companies in recent years, such as the acquisition of German forklift leading enterprises, the advanced hydraulic technology, and acquired Dematic, this is a family automated logistics company, Weichai acquisition of this company has mastered advanced logistics technology, and Weichai established its own intelligent logistics system, which increased efficiency by 31%.

Weichai was once on the verge of bankruptcy, but now has a revenue of more than 300 billion yuan one year (8)

Through the continuous acquisition, then the technical digestion, Weichai is constantly developing, which is more than those of the real estate tycoon to buy something and to engage in cross-domain investment. Every acquisition of Weichai has entered the development of leapfrogging, and on this basis, it has launched a diesel engine in accordance with China’s six-stage Emission standards this year. Weichai has entered a huge in R & D. in the first half of this year, 36 billion yuan R & D funds were investigated.

Weichai was once on the verge of bankruptcy, but now has a revenue of more than 300 billion yuan one year (9)

The high investment brings high returns. In the Chinese top 100 list of industrial machinery released this year, Weichai ranked first with a revenue of 304.8 billion yuan in 2020. Weichai’s development and growth caught up with China’s development. For example, the era of becoming and Real Estate Age requires a lot of heavy transportation machinery, caught up with this opportunity to enter the 4G era, online shopping, there have been a lot of logistics companies and flourish development have received a lot of orders for Weichai, which will push the peak for the firewood.

Weichai was once on the verge of bankruptcy, but now has a revenue of more than 300 billion yuan one year (10)