Betting on new energy Honda's China Adventure

Although the "Energy-saving and New Energy Vehicle Development Plan" that people are expected to wear in autumn has not yet been introduced, Honda has been able to throw its new energy plan in China - including Insight, CR-Z, Fit Civic hybrid new Civic (Civic) Five models, including hybrid models and the hybrid version of Acura, are expected to enter the Chinese market in the next year. A further plan is to realize that these models will be produced in China in another year.

Next year, four new energy vehicles will be added. In an interview this month, Honda China’s Minister Kurashiki Seishi said that on the basis of only one imported Civic hybrid model, four new energy models will be added next year. Among them, CR-Z and Fit Hybrid have been confirmed to be imported into the channel of Guangqi Honda, and Yao Yiming, head of Guangqi Honda China, said that this move will enable the company to “step into the era of new energy vehicles for the future”. The Fit Hybrid is equipped with a 1.3Li-VTEC engine and is equipped with a compact and lightweight IMA hybrid system, achieving excellent fuel economy of 30km/L. At the same time, it is equipped with an energy-saving driving assistance system that can effectively reduce the actual fuel consumption. Thanks to its outstanding environmental performance and convenience, FITHybrid has won the Japan Automobile Hall 2010-2011 Japanese Model Award. The CR-Z adopts a 1.5Li-VTEC engine, and with the IMA hybrid system, the fuel efficiency reaches 25km/L. Honda has been regarded as a model of the hybrid sports model of the new era. Its biggest selling point is that it not only achieves environmental protection, but also guarantees Power and control, taking into account driving pleasure and low fuel consumption.

As early as last year, Toyota announced plans to produce a new generation of hybrid Prius in China, which to a certain extent stimulated competitors Honda Motors to accelerate local production in China.

Kurashiki Seiji told reporters of Asahi Shimbun that Honda will soon realize local procurement of new energy vehicles and related parts and components in China in 2013. "Unless we produce batteries and engines in China, prices will not come down."

At present, Honda's new energy model in China is the Civic hybrid model that entered the Chinese market in 2007. The number of imported vehicles is only a few 200-300 vehicles that can be neglected each year. The industry believes that the reason or its price is more than traditional power at the same level. The car is 40% higher. After all, in the undeveloped Chinese auto market, the use of traditionally-powered models has been favored by most consumers. Kurashiki Seishi pointed out that it is hoped that while the new energy vehicles will be made domestically, all parts and components of these models, including the procurement of core components, can be completed in China.

Suppression of a Depression In fact, it is precisely its plummeting performance that has prompted Honda to accelerate its development in China. Last year, Honda sold 650,000 vehicles in China, with a market share of only 4.7%. This is Honda’s share of the lowest share in China in the past decade. This made the former Dongfeng Honda general manager Kurazawa Seishi, who only took over as Honda China's chief minister in April last year, greatly nervous.

Most cars including the Accord, Odyssey, and CR-V with the "Honda" logo were sought after in China, and they still occupy a pivotal position in the segment market for many years. Honda’s profits from its joint venture in China are far higher than those of companies in other parts of the world. From 2005 to 2009, the total profits and taxes of Guangqi Honda have gradually climbed from RMB 8.21 billion to RMB 10.32 billion, while that of Dongfeng Nissan has soared from RMB 3.23 billion. To 10.58 billion yuan.

However, with the continuous expansion of China’s auto market capacity and the presence of competitors, Honda has had no advantage in launching new products for many years, and has continued to pursue small-scale slow development to ensure investment equipment and production capacity. The idea of ​​maximizing use is out of date. As Honda's models are not considered to be rich, people in the industry believe that decentralization to partners may make up for this deficiencies. Taking Guangqi Honda's launch of its own brand “ideas” as an example is a useful attempt.

On the other hand, the solution to stretched production capacity has also become the top priority for Kurashiki Seiji. In May last year, Guangzhou Automobile Honda Motor Co., Ltd. started the Zengcheng plant expansion. After the completion of this year, the annual production capacity of the plant will be increased from the previous 120,000 to 240,000, and the total production capacity of Guangben will also be increased from 360,000 to 480,000 per year. Dongfeng Honda has not been idle. The construction of the second plant from last year is expected to be put into operation in the second half of next year, with a final production capacity of 240,000 vehicles/year. Therefore, by 2012, Honda's production capacity in China will accumulate close to one million vehicles (the capacity of Dongfeng Honda's first plant will be 240,000 vehicles). However, this is still a gap from the 8% target (Honda's share in China) envisaged by Kurashiki Seiji, which means that the sales volume should reach at least 1.5 million. Coincidentally, Ford Motor Company, headquartered in Dearborn, Michigan, also hopes that its brand's share in China will rise from the current 2% to 8% in 10 years.

Collective confusion The fact is that Toyota's global best-selling hybrid vehicle Prius is not satisfied with the serious soil and water in China. How much support will Honda's upcoming new energy model provide for this 8% target?

In the United States, the Prius, which has sold more than 100,000 vehicles a year, came to China and sold not more than 1,000 vehicles a year. The high prices and differences in consumer attitudes are still a stumbling block for the Prius in China. Therefore, Toyota announced that the third-generation Prius will be expected to enter China in domestic form.

In addition to the large-scale production of automotive manufacturers to reduce costs, the government's policy orientation is also very important. Industry sources pointed out that Honda's move to launch five new energy sources next year is to cater to the energy efficiency standards that China will soon implement. The upcoming "Energy-saving and New Energy Vehicle Development Plan" pointed out that in the next decade, the Chinese government will invest 100 billion yuan to support the development of the new energy automobile industry chain. By 2015, the number of new energy vehicles in China will reach 500,000 units. . Not only are Nissan, GM, and Volkswagen, and other multinational companies planning to produce electric vehicles in China, Chinese companies are also actively preparing for new policies. Zhang Fangyou, chairman of Guangzhou Automobile Group, stated that by 2015, the company will build a national electric vehicle engineering laboratory and realize the annual production and sales of energy-saving and new energy vehicles with 200,000 units, forming the three cores of motors, batteries and controllers—electric vehicles. Component manufacturing capabilities. SAIC plans to invest a total of 37 billion yuan in 2015 for its own R&D. New energy will focus on electric vehicles and Plug-in strong mixing technologies.

Although car companies scrambled to release the new energy declaration, the "planning" came late. Related people in the Ministry of Industry and Information only revealed: "The prospects for the introduction of the end of the year are very large. We have now established more than 50 new energy vehicles in countries and industries. Standards.” Industry experts believe that in the current “Energy Conservation and New Energy Industry Planning” has not yet been introduced, the industry and enterprises still have many disputes on the new energy roadmap, especially in the State Council Premier Wen Jiabao mentioned “energy saving and new energy After the details of the industrial planning are not clear, the technical route and business model of the new energy industry have led to more intense discussions. Under the policy that is not yet clear, industries and companies are all confused. It is difficult for Honda and other companies to bet on new energy to open up a bigger market.

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