February 19, 2016, Yuchai and German MTU company after two years of joint venture negotiations finally settled, the two sides held a joint signing ceremony in Yulin hotel, a joint venture between MTU Yuchai Power Co., Ltd., to create a powerful combination the world's leading high-technology, high-speed high-power engine, expand domestic and foreign shipping electric power market. This marks the internationalization process Yuchai has a major step forward.
China Internal Combustion Engine Industry Association executive vice president and secretary general Xing Min, Chinese internal combustion power generation equipment industry Association Zhang Hongzhong, Deputy Secretary-General Yang new levy, as well as the mayor of Yulin Su Haitang, Deputy Mayor Qiu Dekui, Yuchai Yan Ping, chairman of Shares Dr. MTU CEO Dole (Dr.DOHLE) attended the signing ceremony.
MTU is the Rolls - Royce Power Systems, a subsidiary, is the world's leading engine manufacturers. This time, Yuchai joint venture with MTU, established in Yulin Yuchai MTU Power Co., the company's exclusive introduction of MTU S4000-03 Series engine development technology and manufacturing technology, and gradually realize the localization series engine parts, in a competitive price to the market in line with China T3 emissions regulations, the engine power output in the 1400-3490 kilowatts. The joint venture will be officially put into operation in 2017, with an annual output of the engine 1500.
Construction joint venture will advance in two phases. The first phase, the joint venture will invest in new production lines, procurement-related parts and components produced from MTU, and China Yuchai tripartite suppliers, products will be marketed in China Yuchai shares by the company and MTU, while in China the overseas market MTU will be the exclusive sales, the target market for high-powered generators, power and oil and gas drilling market areas. The second phase, the joint venture plans to expand according to market demand and market product spectrum of applications, and consider establishing a sales and service network in the joint venture to sell directly to end customers.
Speech by Dr. Dr. Dole Dole said, MTU company chose China because China is the largest emerging market, MTU's S4000 diesel just to meet the needs of the Chinese market. MTU chose Yuchai, because China Yuchai is the largest independent manufacturer of diesel engines, Yuchai in non-road especially oil and gas fields and electric power boat market have ambitious strategy, and Yuchai has a strong R & D, manufacturing and marketing strength. MTU company hopes to cooperate with Yuchai, reduce production costs through the engine made in China and the expansion of sales channels in China, to achieve incremental market.
Yan Ping believes that the "new normal", the greatest difficulty facing Yuchai mainly from the external market environment, competitive environment and changing policies and regulations, Yuchai need to "pass through the transition." The partnership is expected to promote the realization of three Yuchai transition, namely "market transformation", "management restructuring" and "brand transformation." In recent years, Chinese enterprises to strengthen each engine-power high-speed diesel engine development and upgrading, Yuchai high-powered electric boat sector also increased investment in research and market development, market influence gradually enhanced. Yuchai joint venture and MTU company's long-term strategic planning in line with Yuchai to develop the strategic direction of the ship electric power business segment, can broaden the product chain, enhance competitiveness, the industry leader. The next five years, Yuchai will continue to build partnerships with the new partnership, the full development of the international advanced level of product platform to enhance the competitiveness and international level Yuchai.
According to industry experts, the future, China will continue to maintain a strong development potential, which will bring both new opportunities of cooperation in a number of markets: power generation, such as high-end high-speed rail, airports, data centers, intelligent manufacturing and other infrastructure, China demand for natural gas, oil drilling, etc., so that the cooperation will have a more broad prospects for development.
During the signing ceremony, Yuchai also signed the first batch of 50 firm orders and MTU engine company, with the signing of the first OEM customer sales orders.
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