The car giant started by marrying the daughter of the king

Chapter 236: All Forced
The BMW 70 became popular at the beginning of the exhibition.

Throughout the morning, there was a steady stream of people wanting to test drive the car.

Jiang Hui had to quickly arrange for people to ride five more sample bikes over, barely satisfying everyone's curiosity to test ride the bikes.

Even people from Jialing Factory and Capital Motorcycle Manufacturing Factory took the opportunity to test ride the bikes.

However, after the test ride, their mood became very heavy.

"Director, the BMW 70 produced by Chaoyang Motorcycle Factory is many times better than the motorcycle we developed last year."

"So many people have been testing it this morning, and I haven't seen any problems with it."

“The key is that their sales price is lower than our cost.”

Yuan Zhiwei feels a lot of pressure now.

When he came to the capital last year, he brought the first motorcycle produced by Jialing Factory, which was also the first civilian motorcycle in China, to the square as a gift for National Day.

At that time, I received all kinds of applause.

But this time when I came to the capital to attend the exhibition again, I felt that the whole world had changed.

It's been less than half a year.

"Our previous products were completely hand-made imitations of some other products, so it is normal that the performance in all aspects needs to be improved."

"But last week we signed a cooperation agreement with Honda. The next step is to assemble the Jialing Honda 70 using parts imported from Japan. Its performance will definitely not be lower than that of the BMW 70."

"I even think that the BMW 70 was developed based on the Honda 70."

Yin Zhiqiang is still very confident about the products that Jialing Factory will produce next.

Honda 70 chose to cooperate with the other party only after they fully considered various situations.

If we fall behind before mass production, it will definitely be a big problem.

Yin Zhiqiang also doesn't think this problem will arise.

"But if we import parts from Japan to assemble it, it will be difficult to sell it at 2998 yuan, right?"

Yin Zhiqiang has a different opinion on Yuan Zhiwei's statement.

"The current official exchange rate is that one U.S. dollar can only be exchanged for about one and a half yuan."

"The parts we imported cost just over a thousand dollars, which is about 2000 yuan according to the official price."

"In this case, even if we take into account our assembly and transportation costs, we can still set the price at the same level as the BMW 70."

Yin Zhiqiang didn't even think about setting a price lower than that of the BMW 70.

After all, their motorcycles are assembled after all the parts are imported, and they are international brands. Normally, they should be much more expensive than the BMW 70.

The price now set is already quite shocking.

Of course, their use of official prices to calculate costs is actually very deceptive.

If we go by the black market price, the cost of imported parts alone would be around 7,000 to 8,000 RMB.

However, if the price is set in this way, a rather funny thing will definitely happen. That is, after localization, the cost will not only not decrease, but may increase instead.

Of course, these are things to consider later.

For Jialing Factory, the most urgent task is to make its own motorcycles famous and not let Chaoyang Motorcycle Manufacturing Factory steal the limelight.

"Okay, then when we introduce it to everyone this afternoon, we'll tell you that our Jialing Honda 70 is also priced at 2998 yuan and will be available for sale in the second half of this year."

After agreeing on the follow-up plan with Yin Zhiqiang, Yuan Zhiwei couldn't wait to publicize the news.

Otherwise, everyone will buy BMW 70 by then.

After all the trouble at Jialing Factory, the relevant information naturally spread to Chaoyang Motorcycle Manufacturing Plant very quickly.

"Director, Jialing Factory is doing that on purpose to go against us."

"All the parts were imported from Honda in Japan, but the price of the assembled motorcycle was exactly the same as our BMW 70."

"This is a completely unreasonable situation. I think we should complain to the Fifth Ministry of Machine Building."

Chen Chenxing came to Jiang Hui very unhappy and explained what he had heard.

This morning, the BMW 70 stole the show, and even in the afternoon there were still many people going for a test drive.

Suddenly, such a thing happened, which is naturally disgusting.

"The motorcycle market is huge, so Jialing Factory will import all parts from Japan this year, and then assemble them for sale."

"When sales pick up next year, the relevant departments simply won't have that much foreign exchange to support them."

"The parts for a motorcycle, including various expenses, are estimated to cost more than $1000 in the end."

"If we produce 1000 vehicles, it would cost million U.S. dollars in foreign exchange. If we produce tens of thousands of vehicles, it would cost tens of millions of dollars."

"If this really happens, the other factories in the Fifth Ministry of Machine Building will probably be in a state of panic."

Jiang Hui knew that the Fifth Ministry of Machine Building was under more pressure than the First Ministry of Machine Building. The direction of military-to-civilian conversion had been determined, and each factory needed to introduce some new equipment if it wanted to produce new products.

Most of these equipment need to be imported from abroad.

Importing requires foreign exchange, but the entire China's foreign exchange reserves are very small.

Even though we work hard to export and earn foreign exchange every year, foreign exchange is still very tight.

Under such circumstances, how could it be possible for Jialing Factory to consume a large amount of foreign exchange there?

"That's true, but once the other party's reputation is established, even if the parts are gradually changed to domestically produced ones, it is estimated that it will still have an impact on our sales."

Chen Chenxing said a little entangledly.

"Based on the quality of the motorcycles produced by Jialing Factory last year, it is estimated that the quality level will definitely decline and the fuel consumption will increase after their Jialing Honda 70 is produced domestically."

"As long as we guide them a little bit, they won't pose much threat to us."

"Besides, the growth of the motorcycle market in the future will exceed your imagination. Our factory will not be able to monopolize this market. Even if we can take up 30% or 40% of the market share, it will be very exaggerated."

"So you don't have to worry about it now. Just make our own products as soon as possible."

"If the situation really becomes unfavorable, we can also lower the price."

After hearing what Jiang Hui said, Chen Chenxing felt a little relieved.

Everything is under the control of my master, so it will be easy.

……

"Director Chen, I didn't expect that Jiang Hui would cause such a big commotion after he went to the Chaoyang Motorcycle Factory."

"A BMW 70 has attracted the attention of many leaders in the ministry. Should we also consider launching a new project?"

As deputy director of the R&D center of Capital Automobile Manufacturing Plant, Lu Jianqiang is now feeling the pressure.

The most important thing is that he felt the benefits that a new product brought to the relevant personnel.

If he could develop a brand new product and make it famous throughout the country, then he would have a chance to become the chief engineer, and it is even possible that he would succeed Chen Qi as the factory director in the future.

"It is indeed necessary to consider developing a new product. The First Ministry of Machine Building has a clear attitude towards sedans."

"In order to support the development of the car industry in the future, SAIC and FAW are in contact with international auto giants, hoping to adopt joint ventures or technology introduction to produce cars, so that the level of our domestic car industry can also be greatly improved."

“This is an opportunity for us as well.”

I have to say that Chen Qi has a good vision.

Especially after the last time I went to General Motors in the United States with Jiang Hui for an inspection for half a month, I gained a lot.

In this case, he certainly hopes to achieve some results during his tenure.

He also wanted to become a leader of the First Ministry of Machine Building or other departments in the future like Zheng Haiming.

But this requires some outstanding achievements. Otherwise, if your superiors don't appreciate you, it will be difficult to get promoted.

"I think so too. Based on the BJ212, we can find an imported car for reference and then develop a car."

"By then we will have off-road vehicles and sedans, and the development of the factory will be more secure if we can take both routes at the same time."

Lu Jianqiang tentatively put forward his own ideas.

Today he visited the booths of Chaoyang Motorcycle Manufacturing Plant and Jialing Factory and gained a certain understanding of the motorcycle exhibits of both sides.

Based on the information he learned, he felt that the BMW 70 was most likely inspired by the Honda 70, or the Honda 70 was inspired by the BMW 70. In any case, the two have many similarities in appearance.

Since others can do this, why can't Capital Automobile Works do it?

Jiang Hui was previously responsible for the exterior design of BJ212. Now that he has left, the possibility of asking him to continue designing it is very low.

Since no one in the R&D center has the ability to design the exterior of a car, the best solution is to copy an imported car.

The three most important parts of a car model are the engine and gearbox, which can definitely be fully shared with the BJ212. By making some adjustments to the chassis, the difficulty of development can be greatly reduced.

If it is paired with a good appearance, then this sedan may really become popular.

Thinking of this, Lu Jianqiang became even more motivated.

"Your idea makes sense. Go back and prepare a detailed report. I will discuss it with everyone at the factory committee meeting and try to get the project approved as soon as possible."

Chen Qi was also quite familiar with the situation of the R&D center and knew that the plan proposed by Lu Jianqiang was more in line with the actual situation.

If you try to come up with a difficult plan by yourself, you will fail in the end.

"With the new project, everyone has more confidence in the future of the factory. Some technical talents will not easily want to transfer to other factories to work. This is also beneficial to the long-term development of our factory."

Now that his plan was approved, Lu Jianqiang's mood became much better.

The people from Chaoyang Motorcycle Manufacturing Factory, who were the most prominent group at today's exhibition, were about to receive an unexpected surprise.

(End of this chapter)