Chapter 63: Wolf Smoke Spreads

Kaiyue is finally here, and SAIC-GM officially launched an entry-level new car specially built for Chinese people in the Chinese market.

Buick, a second-rate brand in the United States, has become a representative of the first-line joint venture brand in China after the marketing of General Motors and the early entry into the Chinese market. The Buick New Century, which was originally compared with the GAC Accord, made the concept of Buick's high-end car widely spread in China.

After Sail was known as the "Little Buick", the Kaiyue also hung the Buick logo and called it the "Middle Buick".

1.6L manual deluxe version, 149,800 yuan, 1.8L automatic deluxe version, 179,800 yuan.

With its outstanding appearance and large space, coupled with the addition of the Buick logo, Kaiyue has been sought after by consumers as soon as it is listed, and its sales volume exceeded 7,000 units in the first month, and it has immediately become a force to be reckoned with in the domestic sedan market.

Because Kaiyue aims at the 150,000 car market, the squeeze effect on the Chinese "Qin" is not obvious. Because the "Qin" of the 4AT automatic transmission is only 128,800 yuan, it is 50,000 yuan cheaper than Kaiyue.

However, for the Hyundai Elantra, the 151,800 and 162,800 priced models were directly competing with Kaiyue, and sales fell by 3,000 units that month. Because Korean cars are still lower than American cars in the impression of Chinese people, although they are also derived from Korean models, Kaiyue has been integrated by GM's global resources, which is obviously more pleasing to the Chinese people.

Against this backdrop, Hyundai immediately announced the official launch of the 1.6-liter Elantra, which will be priced at CNY 126,800, CNY 135,800, and CNY 149,800 for the manual standard, manual, and automatic luxury, respectively.

The launch of the Elantra 1.6L model finally brought sales pressure to the Zhonghua "Qin", and the price range of the two began to coincide, and many consumers gritted their teeth and added 10,000 yuan after comparison, and bought a joint venture brand car like the Elantra.

Under the pressure of the joint venture brand, the Zhonghua "Qin" can be sold due to word of mouth, and the sales volume fluctuates at about 1,000 vehicles, which has little impact on the whole.

On the contrary, Chery Automobile's new "Cowin" sedan, although it claims to use an imported engine, but because of the similar appearance to the "Fengyun", the price of 112,800 yuan to buy a manual transmission model, sales were quickly knocked down.

The joint venture brand is pressed down, the domestic brand is going up, and the firefight between the two sides is inevitable.

Seeing the Chinese "Qin", the 128,800 4AT automatic transmission model sold well, and Chery boss Zhan Xiaqiu was also determined to launch the automatic transmission model.

In order to promote the Cowin, Chery shouted the slogan of BMW Power, announcing that the Cowin uses the engine of the BMW MINI.

Therefore, Chery plans to use the same powertrain as the MINI to order ZF's CVT transmission.

ZF is best known for its automatic transmissions, but in 1999 it acquired the CVT business of the Dutch DAF Group in order to gain technical reserves. At that time, BMW had not yet divorced Rover, so it commissioned ZF to match the automatic transmission for the merged Rover car. After some comparison, low-cost CVTs came into the eyes of ZF, and they spent a large sum of money to acquire the business of the Dutch DAF Group, which invented the CVT transmission for automobiles.

At present, ZF's CVTs are produced on a small scale and supplied to the MINI and Rover brands. Judging from the current situation, European, American and Korean car series all use AT transmissions, and only Japanese brands use CVT transmissions, so ZF's CVT products cannot find suitable buyers and are in a marginal position.

After digesting DAF's CVT technology, ZF found that CVT was superior to AT, so it no longer put effort into investing in CVT.

I don't know what tricks Chery used, so I ordered a small batch of CVT transmissions from ZF through a third-party channel and used them in Cowin cars.

As a result, Cowin's desire to use BMW's MINI powertrain has finally become a reality, and the response to the launch of the CVT-equipped model has been very good. The CVT Cowin priced at 126,800 yuan has many consumers willing to pay for it.

After this analysis, Chery CEO Zhan Xiaqiu believes that automatic transmission is the key to restricting the upgrade of domestic cars, so he made the decision to start developing automatic transmissions.

Chery has just invested heavily in the joint development of engines with AVL, and now it has announced its entry into the field of automatic transmissions, and they have also chosen CVTs for breakthroughs.

The first is that Cowin is equipped with a CVT transmission and performs well, and the second is that the CVT technology is slightly less difficult than the AT.

Behind the pioneer of Zhonghua Group, Chery has been catching up as a latecomer.

Brilliance Group has been very depressed recently, because their second sedan has just been launched, and it has encountered strong sniping from the joint venture brand.

At the beginning, Brilliance Sedan became popular with the concept of "the body appearance of a C-class car, the driving experience of a B-class car, and the price of a standard car of an A-class car", and almost gained a firm foothold in the range of 15-200,000 yuan. Unexpectedly, it was later affected by the engine breakdown quality gate, and sales plummeted.

In order to recover the impact and continue to invigorate the car, Brilliance Group commissioned Giugiaro Studio to design a new M2 project, aiming at the 100,000-level family car market. In addition, the original M1 project was upgraded, an M3 sedan was rebuilt, and the first-generation M1 Brilliance sedan that had been abandoned by the market was abandoned.

The new M2 car was named Brilliance Junjie, and the M3 was renamed Brilliance Zunchi.

Now the M2 Junjie is the first to be on the market, and with the Italian design and Mitsubishi powertrain, Junjie is still a good sedan.

In order to reduce costs, Junjie uses 1.6-liter and 1.8-liter engines from the Toan Mitsubishi joint venture plant, and the 1.8-liter is also equipped with a 4-speed automatic transmission.

Junjie's body is half a model larger than that of "Qin", and it is more expensive in cost, so Junjie's price is between 108,800 and 142,800. In particular, the price of the 1.8L luxury 4AT is 142,800 yuan, and the vehicle price is 15,000 yuan more expensive than the "Qin".

The newly listed Junjie has played the slogan of "5 years and 100,000 kilometers warranty", hoping to save the image of Brilliance Sedan's poor quality. Domestic automobile manufacturers are now basically the "2-year 40,000 km warranty" standard, and Brilliance is the first to extend it to double, striving to create a worry-free image of Brilliance sedan.

It can be said that the M1 Brilliance sedan has made a very bad start, which has chilled many consumers who support domestic products, so the launch of the M2 Junjie has not achieved the same hot situation as the M1.

In the first month of its launch, sales barely exceeded the 3,000 mark, followed by the launch of the Kaiyue and the 1.6L Elantra.

Junjie's brand was not enough to support its direct competition with the joint venture brand, and its sales fell all the way to around 1,500 units in the second month.

Regarding Junjie's sales volume, Brilliance's internal forecast is optimistic and sets an annual sales target of 40,000 units. Su Xiaoqiang, president of Brilliance, personally made the listing price, because after calculation, the cost of Junjie's vehicle is very high, and if it is listed at a low price, it will not be able to earn back the cost.

Originally, the same type of car of the joint venture brand was priced in the range of 15-200,000 yuan, and Su Xiaoqiang planned to stick to Junjie at 11-140,000 yuan and stagger to compete with the joint venture car. Unexpectedly, the market changed too quickly, and Elantra entered the market at a low price of 1.6L, which was firmly pressed on Junjie's head.

As a result, in the third month of listing, Junjie dealers have given preferential measures to reduce prices by 10,000 yuan, striving to stagger the price of joint venture brands.

The fledgling was taken by Jin Yangyong to cultivate him, thinking that he was very capable, until Su Xiao**, who was in charge alone, revealed various weaknesses, and his strategic vision was very poor, and he could not be compared with a hero like Jin Yangyong.

Brilliance Group, which was pinned on by the Liaoyang Provincial Government, had two cars in a row, and the original expectation of entering the Central Plains with cars turned into a utopia.

As a result, Liaoyang Province's patience with Su Xiaoqiang disappeared little by little, and the idea of changing the commander arose. It has been two years since Jin Yangyong left Brilliance, and now Liaoyang Province's control of Brilliance Group is in his hands.

At the beginning, in order to stabilize the situation of Jin Yangyong's sudden departure, Liaoyang Province promised to give Jin Yangyong's old department headed by Su Xiaoqiang more than 100 million shares. But now Brilliance Car has not been able to develop, Jinbei Bus is facing fierce competition, the entire Brilliance Group is getting worse, and the option of more than 100 million yuan has become out of reach.

The State-owned Assets Supervision and Administration Commission of Liaoyang Province began to parachute cadres, gradually elevating Su Xiaoqiang and others and their henchmen, and all the circumstances indicated that Su Xiaoqiang's days in Brilliance were numbered.

Hong Kong-listed Brilliance Auto suddenly sold off a large number of shares, and the stock price immediately fell, which made the Liaoyang provincial government very nervous. The decline in the stock means that the market value of Brilliance Auto has decreased. After investigation, it was found that Su Xiaoqiang and others began to sell a large number of stocks obtained in the Jin Yangyong era and cashed out more than 200 million.

"It's really a wild wolf that can't be raised, and it doesn't think about the political and social impact at all, and it stares at the money. In my opinion, Brilliance Group cannot be handed over to these people, and cadres with strong political quality and economic understanding should be sent to take over Brilliance and bring Brilliance to the predicament it is in. ”

The governor of Liaoyang made up his mind to change people and officially brought Brilliance Group into the control of the province. Chery Automobile started later than Brilliance, and the foundation is so poor that it can develop rapidly, and the root problem of Brilliance lies in the leadership. Su Xiaoqiang was soon dismissed, and the subordinates who followed him also left one after another, and Jin Yangyong's mark on Brilliance disappeared one by one.

When he unexpectedly gained control of a big stage like Brilliance, Su Xiaoqiang was full of ambition to make a big move in the automotive industry to prove his ability.

Unexpectedly, two years have passed, and Brilliance has been in the wind and bottom in his hands, and the two excellent cars have not succeeded, resulting in him being swept away.

Su Xiaoqiang was annoyed, and had to regretfully withdraw from the vigorous Chinese automobile industry and become a rapidly shining and bleak meteor.

Of course, he is also a winner in life of a certain significance, relying on Jin Yangyong's generous gift of shares back then, there is no problem in cashing out a lot of money and becoming a rich man.

"It's okay for Su Xiaoqiang to be a good person, but to let him lead such a big Brilliance Group, it's really elevating him. At the beginning, I asked him to manage the Jinbei Factory to achieve results, and the main direction was still controlled by me, and he was only the specific executor. It's not that I'm boasting, after Hua Chen leaves me, I can't change anyone!"

Knowing the personnel changes in Brilliance, Kim Yangyong, who has always been concerned about Brilliance Auto, said at home overseas.