Heavy-duty truck companies compete in the light truck market


Last year, China’s light trucks accumulated sales of nearly 2 million vehicles. The broad market prospects for light trucks have led many heavy truck companies to enter the light card market.

I believe that to go to the national car city to buy light truck friends have this feeling, the past light trucks only Dongfeng, Jianghuai, Futian, and several other production, a few years, how suddenly there are so many new brands, and some brands or domestic well-known heavy truck production of. These light trucks look very beautiful, but the performance is exactly how, did not try hard to say, in the end what kind of car to choose, it will really make consumers very tangled. In recent years, many heavy-duty truck companies have begun to set foot in the field of light trucks. For example, Sinotruk purchased Chengdu Trump last year and extended its product line to light trucks; Shaanxi Automobile Huashan Automobile Factory not only produces medium-duty trucks, but also light trucks; FAW Jiefang and Dongfeng Liuqi also manufacture vehicles. Light trucks participate in market competition.

The heavy truck industry is highly competitive and profits are getting lower and lower. Many heavy truck companies want to expand into new areas and look for new profit growth points. Heavy truck companies have unique advantages in the development of light trucks. First, compared to heavy trucks, the technical threshold for light trucks is relatively low, which makes it easy for heavy truck companies to get on the road. Second, local governments generally encourage local auto companies to grow bigger and give corresponding preferential policies, including land. The support of funds, funds, etc., this factor more stimulated the heavy truck companies to do large-scale. The more important purpose of heavy truck companies to develop light trucks is to improve the industrial layout and compete for the title of the oldest domestic commercial vehicle company. Many "senior" heavy truck companies are also very interested in the top spot of commercial vehicles. Therefore, it is normal for them to vigorously develop the light truck business and expand their scale.

Interlaced, such as every mountain, heavy truck companies to develop light trucks is not easy, heavy trucks and light trucks are not the same consumer groups, which requires heavy truck companies in the development of light trucks need to re-establish sales channels, in addition to different heavy truck companies original brand value and cash flow also It will affect the development of its light trucks. If a heavy truck company has a good brand image and has sufficient cash flow, it is likely to take the high-end route in the light truck market and the selected parts and components supporting companies will be relatively good. If funds are not strong enough, they can only take the low-end route. The production of high-end light trucks has large profits and there is ample room for development. The production of low-end light trucks can only increase the overall production and sales volume for heavy truck companies.

At present, there are many heavy truck companies entering the light truck market through mergers and acquisitions. This approach allows heavy truck companies to enter the light truck market more smoothly. Compared with the production history of major domestic light truck companies, heavy truck companies are still too young.

Establishing a good light truck brand image and gaining user acceptance requires a process. This will also make it difficult for heavy truck companies to enter the light truck industry in the early stages.

In summary, heavy-duty truck companies still need to make preparations for entering the light-duty truck industry. Wide-ranging support for policies, mergers among enterprises, and original corporate resources are not enough. Heavy truck companies have a long way to go in light trucks.

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