Volvo: the layout of China is intended for Asia
Guide: on March 29, 2004, the Volvo Group China headquarters office building was completed in Beijing. Mr. Ralph Johansson, President and CEO of Volvo Group, led a 16 member Volvo Group high-level delegation to China to participate in the delivery ceremony of this modern office building. Volvo Group headquarters and its offices
on March 29, 2004, Volvo Group China headquarters office building was completed in Beijing. Mr. Ralph Johansson, President and CEO of Volvo Group, led a 16 member Volvo Group high-level delegation to China to participate in the delivery ceremony of this modern office building. Volvo Group headquarters and its five subsidiaries will work here. For Volvo Group, this milestone marks a new stage of its development in China. On the same day, the signing ceremony of the cooperation framework agreement between FAW, heavy truck and Volvo engine was grandly held in diaoyutaistateguesthouse in Beijing
Volvo's journey to China
Volvo Group is a world-class multinational group company with products in more than 130 countries around the world. Its production is mainly medium and heavy trucks with world-class standards. Volvo Group has long been committed to developing friendly relations between China and Switzerland. Since the establishment of diplomatic relations between Sweden and China 54 years ago, Volvo Group has played a decisive role in the exchanges between China and Switzerland in the industrial, commercial, political, cultural and sports circles
entering the 21st century, Volvo Group's business in China has developed more rapidly and achieved remarkable results: in 1994, Volvo bus company and Xi'an Aircraft Industry Group Co., Ltd. jointly established Xi'an Xiwo Bus Co., Ltd; In 1997, Wuxi DAHAO Power Co., Ltd. was jointly established with FAW Wuxi Diesel Engine Factory; In 2000, Shanghai Shenwo Bus Co., Ltd. was jointly established with Shanghai Automotive Industry Corporation; In 2001, Volvo Panda (China) Consulting China's current building energy conservation goal is to "strive to achieve that the summer room temperature of urban buildings is lower than 30 ℃; in 2001, Volvo Shanghai Parts Co., Ltd. was established to provide spare parts for Volvo's companies in China; in 2002, Volvo Construction Machinery (China) The main products of the company are articulated trucks, wheel loaders, excavators, etc. In Shanghai, Volvo Construction equipment company was approved to establish its wholly-owned construction machinery production and manufacturing base in Pudong Jinqiao Development Zone. In April, 2003, the factory was officially completed and put into production. In June, 2003, with the approval of the Ministry of Commerce, Volvo (China) Investment Co., Ltd. signed a contract with China Heavy Duty Vehicle Group Corporation to establish Jinan huawo truck Co., Ltd. its main products are Volvo heavy duty trucks and various chassis fl/fm/fh series. On March 31 this year, the first batch of Volvo joint venture heavy trucks went offline in Jinan huawo truck Co., Ltd., causing a cross century impact on the domestic heavy truck market
high end engine "made in China"
on June 9, 2003, the diaoyutaistateguesthouse signed a signing ceremony for a heavy truck joint venture with the largest investment in China at present, and thus "Jinan huawo truck Co., Ltd." was born, which is a joint venture between Wowo truck company with a total investment of 1.6 billion yuan and China Heavy Truck Group Co., Ltd. Within less than a year, Volvo trucks were on the stage again. On March 29 this year, the signing ceremony of the cooperation framework agreement between FAW, heavy truck and Volvo engine was grandly held in diaoyutaistateguesthouse in Beijing. At the same time, China first can customize various experimental data processing software and experimental AIDS according to domestic and international standards provided by users. Zhu Yanfeng, general manager of automobile group, Ma Chunji, chairman of China Heavy Duty Automobile Group Co., Ltd., Ralph Johansson, President of Volvo Group in Sweden, and Lars Glenn Moberg, President of Volvo dynamics signed the agreement. Experts believe that three heavyweights in the automotive industry gathered in Beijing to jointly produce the world's most advanced high-power heavy truck diesel engine for the high-end market, which was recently developed by Volvo Group, and introduced world-class high-end engine technology to China for the first time, which is of epoch-making significance to the domestic high-end high-power engine market
the three parties' cooperative production of engines with emission up to Euro IV standard and Euro V potential is the latest engine series developed and launched by Volvo Group with an investment of 8billion Swedish Krona. Representing the cutting-edge level of today's heavy-duty diesel engine, Volvo Group transplanted the newly developed products to China's local joint venture production (and imported them to overseas production bases for the first time), and assembled them in the newly launched FM series main new models representing the most advanced technology in Europe, which shows Volvo Group's extraordinary confidence and foresight in the Chinese market
relevant experts believe that it is the first time to fully introduce world-class high-end engine technology into China. It will certainly promote the rapid improvement of the overall level of upstream and downstream diesel engine manufacturing industry in China. The advent of this engine will not only fill the gap in the manufacturing of ultra high power engines in China's automotive industry, but also play a positive role in reversing the long-term dependence on imports of high-end automotive engine products
the layout of China is intended for Asia
why does Volvo frequently move into the Chinese market in the short term? Experts believe that: first of all, China's stable political environment, rapid economic growth, huge infrastructure construction and other aspects can be said to be "outstanding" in the world. In particular, business opportunities such as the western development and the transformation of the old industrial base in Northeast China have attracted the attention of world giants. Moreover, emerging China ranks first in Asia in terms of market capacity and potential in the world's high-end truck market. Secondly, the rapid development of China's mechanical and electrical product manufacturing technology, low-cost and high-quality professional labor, the support of local governments in tax, land and other aspects, and the improvement of the soft environment are also frequently attractive. Thirdly, recently, the global heavy truck giants are preparing to enter the Chinese market: the cooperation between Renault and Dongfeng is in full swing; Mercedes Benz is also exploring partners, and the competition in the domestic truck market is intensifying. Who can own the future market mainly depends on the depth of cooperation with which Chinese partner has the most strength, the speed of product promotion in the market, brand penetration and many other factors. It is based on this consideration that Volvo continues to accelerate the promotion of projects in China. From Shenwo city bus base, Xiwo high-speed bus base to huawo heavy truck base and Jinan engine base, it is obvious that Volvo has preempted the commanding height of Chinese market competition. For China, it has not only introduced foreign capital and promoted employment, but also raised the competitive benchmark of joint ventures to a world-class level, driving the technology and products of China's commercial vehicle industry to keep pace with the world
according to a senior manager of Volvo Group headquarters, Volvo Group has taken the Asian market as the third fulcrum in the global development plan, except Europe and North America. In 2003, Volvo Group's global sales of 19.5 billion Euros can also be seen that automotive products accounted for 13 billion euros, and the proportion of Automotive business increased to 2/3. According to the prediction of Volvo truck company, from now to 2012, China will become the second largest heavy truck market after the United States. According to the software control system of Volvo Group's four ball friction and wear testing machine, it is divided into different functional plans. By 2008, the joint venture engine production enterprise is expected to achieve an annual output of 50000 units, which can meet the production demand of China's booming heavy truck market, support domestic complete vehicles, and also support a large number of exports for exported complete vehicles (including parts and components for engines), so as to meet the needs of the international market
insiders believe that the official delivery of Volvo Group's China headquarters building and the signing of the engine project indicate that Volvo Group's strategic policy of "based on China and expanding Asia" has been implemented. Ralph Johansson's speech at the ceremony also proved the speculation in the industry: "the rapid development of Volvo Group in Asia is a concrete manifestation of the implementation of the strategic policy of 'based on China and expand Asia', which can quickly find the reasons for shortcomings and formulate correct and fair treatment plans for problems. The huge development potential and charm of the Chinese market are obvious to all."