Weichai Power: Focusing solely on its main business to create a beautiful business card for China's equipment manufacturing industry
Focusing closely on the development of engines as our main business, Weichai Power has devoted itself to creating an independent "Chinese heart". By giving engines legs, brains, and wings, Weichai Power has achieved rapid development.
Securities Times reporters learned from Weichai Power that currently, the company's sales of heavy-duty engines and transmissions are the world's top, industrial forklifts are leading globally, agricultural equipment sales are the top in China, and heavy-duty trucks are leading in China; We have Weichai Power Engine, Shaanxi Automobile Heavy Truck, Weichai Lovol Smart Agriculture, as well as well-known domestic and foreign brands such as German Kaiao, American Dematic, and French Baudouin.
At the same time, Weichai Power leverages the capital market, starting from the equipment manufacturing industry, continuously extends and integrates, and promotes strategic structural adjustment. On the one hand, accelerate the layout of fuel cells and establish a first mover advantage in the industry; On the other hand, achieving green production throughout the entire process and continuously reducing energy intensity; In addition, targeting top foreign companies, integrating top global resources, and strategically restructuring a group of European and American high-tech enterprises.
In this issue of "Shenzhen State owned Enterprise Power", we will enter Weichai Power and observe how this national brand enterprise focuses on its main business, strengthens its industry, strengthens its innovation and research and development capabilities, and integrates high-quality global resources, becoming an important business card for China's equipment manufacturing industry worldwide.
Devote all high-quality resources to the main business
Starting from a single engine business, then to a full range of engines in all fields, diversified powertrain systems, and finally to the entire industry chain of complete vehicles, to form a multi business sector covering power systems, commercial vehicles, agricultural equipment, and smart logistics, Weichai Power has drawn up a strategic blueprint of "powertrain as the core and complete vehicles as the leader", and a balanced product, business, and market structure has formed a strong ability to resist risks.
Any successful enterprise, in order to climb to the pinnacle of its career, must focus wholeheartedly on its main business. "According to the relevant person in charge of Weichai Power, the company has always been committed to strengthening its core advantages in its main business, insisting on not doing non main business, low value-added products, or repetitive scale expansion. It has invested all high-quality resources into its main business, allowing engines to grow legs, brains, and wings, achieving rapid development.
Under the original intention of "focusing solely on the main business", Weichai Power has delivered a brilliant and heavy performance report.
In 2022, Weichai Power ranked 156th among the top 500 Chinese enterprises, 73rd among the top 500 Chinese manufacturing companies, and 22nd among the top 100 Chinese multinational corporations, with a cross-border index of 48.57%. Its subsidiaries are located in Europe, North America, Asia, and other regions, and its products are exported to more than 150 countries and regions.
In response to advanced technology and future industries, Weichai Power is promoting extension and integration around its main business, accelerating strategic structural adjustment.
For example, in the field of fuel cell new energy technology, the company has invested over 4 billion yuan in the research and production of fuel cells; A research and manufacturing base for hydrogen fuel cell engines with an annual output of 20000 units has been established and put into operation; Accelerate the transformation and promotion of fuel cell achievements; The power density of fuel cell stacks exceeds 4kW/L and their lifespan reaches 30000 hours, leading the world; We have independently developed a full range of hydrogen fuel cell products ranging from 50-260kW, which are widely compatible with buses, trucks, and mining trucks.
We are undertaking the 'Hydrogen into Every Household' technology demonstration project jointly implemented by the Ministry of Science and Technology and Shandong Province, and the China National Heavy Duty Truck Group's' Yellow River 'snow wax vehicle equipped with Weichai hydrogen fuel cells will serve the Beijing Winter Olympics. In February 2023, we will release the world's first high-power metal supported solid oxide fuel cell SOFC commercial product, with a combined heat and power efficiency of up to 92.55%, setting a global record and providing a green and low-carbon solution for distributed energy and microgrids. ”The person in charge of Weichai Power told Securities Times reporters.
In terms of green production throughout the entire process, the company has become one of the first batch of "green factories" in China and Shandong Province, and has been selected as a demonstration enterprise for green supply chain management by the Ministry of Industry and Information Technology of China. It is reported that Weichai Power monitors the concentration of pollutants emitted during the production process in real-time, and the actual indicators are far below the national emission standards, meeting the environmental protection requirements of developed countries such as Europe and America, and at the international leading level.
Integrate top global resources
As a star enterprise in the equipment manufacturing industry, Weichai Power has become an important business card for China's equipment manufacturing industry globally through overseas restructuring and cooperation, calling itself the "Weichai brand". We insist on facing the global market, integrating the concept of international development into the entire process of reform, and driving the improvement of international competitiveness through reform, "said the person in charge of Weichai Power. Focusing on" national strategy, industrial shortcomings, and technological bottlenecks, "the company has strategically restructured high-tech enterprises in Europe and America such as France's Baudouin, Germany's Kaion Group, Germany's Linde Hydraulic, the United States' Dematic, the United States' PSI, the United Kingdom's Xilithi, Canada's Ballard, Germany's Odes, Austria's Weidis, Switzerland's Kuaishou, and has controlled key core technologies in many fields such as large bore high-speed engines, high-end hydraulics, smart logistics, and new energy. All M&A companies have successfully completed integration, earning the respect of overseas enterprises and local society.
In addition to integrating top global resources, Weichai Power's international development has also broken the monopoly of overseas technology and improved the layout of the entire industry chain.
For example, by acquiring Linde Hydraulics from Germany and Weidis from Austria, the company has conquered the core hydraulic technology and formed high-end hydraulic powertrain and CVT powertrain products, changing the long-term dependence on imports for high-end hydraulic and large CVT equipment in China's construction machinery and agricultural equipment industries; By acquiring Baudouin from France, the gap in high-speed and high-power engines has been filled.
In the field of high-end agricultural machinery and equipment, Weichai Power will strategically restructure Lovol Smart Agriculture in 2022. Relying on Weichai Power's advantages in powertrain, hydraulic, electronic control, new energy and other fields, as well as advanced manufacturing management system, Lovol Smart Agriculture continues to break through cutting-edge technologies in agricultural modernization development, creating a unique key core technology advantage in the entire industry chain of domestic agricultural machinery industry, and making contributions to the high-quality development of China's agricultural machinery industry.
In order to thoroughly implement the rural revitalization strategy, strengthen agricultural technology revitalization, accelerate the modernization of agricultural equipment and breakthroughs in key core technologies, the company actively promotes the spin off and listing of Lovol Smart Agriculture, leverages capital market policy support, comprehensively optimizes corporate governance, creates a leading global brand of smart agriculture, and promotes the transformation and upgrading of the agricultural machinery and equipment industry, "said the person in charge of Weichai Power.
Advancing towards world-class independent innovation capability
From 2020 to 2022, Weichai Power continuously released the world's first commercial diesel engine with thermal efficiency exceeding 50%, 51%, and 52%, breaking global records three times and significantly enhancing China's voice in the world diesel engine industry - behind this is the company's strong independent innovation capability.
Innovation is the soul of enterprise development and a key factor in maintaining its vitality. For Weichai Power, adhering to strong investment in technology and independent positive research and development not only creates industry-leading core competitive advantages, but also enables the company's independent innovation capabilities to move towards world-class.
According to the relevant person in charge of Weichai Power, the company has invested 11 billion yuan to build the Weichai Power Central Research Institute with "eight institutes and one center", forming a four in one scientific and technological innovation system of "independent innovation+open innovation+craftsman innovation+basic research innovation"; We have national innovation platforms such as the National Key Laboratory of Internal Combustion Engine and Power System, the National Fuel Cell Technology Innovation Center, the National Engineering Technology Research Center for Commercial Vehicle Power System Assembly, the National Industrial Design Center, the National Internal Combustion Engine Product Quality Inspection and Testing Center, the National Internal Combustion Engine Industry Metrology and Testing Center, and the National Certified Enterprise Technology Center. We also have research bases such as "Postdoctoral Workstation".
In terms of talent aggregation, the company has established ten cutting-edge innovation centers in multiple parts of the world and established a global collaborative research and development system. We have recruited talents and talents from around the world, and built an engine research and development team of over 6000 people, including more than 300 PhDs. The industry has taken the lead in implementing the "military order+unveiling and leading" mechanism, with nearly 100 million yuan awarded for scientific and technological achievements at each science and technology innovation conference, and the highest individual award reaching 10 million yuan.
"For the first time in the world, the company creatively proposed the powertrain system integration research and development model, which solved the weakness and bottleneck of China's multi field core technology. Weichai Power's" Key Technology and Application Project of Heavy Commercial Vehicle Powertrain "won the first prize of the 2018 National Science and Technology Progress Award, which is the first national science and technology progress award in China's internal combustion engine industry." Weichai Power's relevant person in charge said that at the same time, the company expanded this model to core technologies such as engineering machinery hydraulic power assembly, agricultural equipment large CVT power assembly, and achieved industrialization, realizing the global layout of multiple power assemblies, and complementing the key technology weakness for China's high-end equipment manufacturing industry. Continuous technological breakthroughs have been carried out to improve the thermal efficiency of diesel engines, overcoming a series of world-class challenges such as efficient combustion, low heat transfer, high explosion pressure, high reliability, low emissions of pollutants, and intelligent control.
Information source: Securities Times/Reporter Chen Yukang
