The car giant started by marrying the daughter of the king

Chapter 274 Half of the Country, Chaoyang Factory's Road to Dominance in Motorcycles
"Director Jiang, you are a great benefactor to our Fifth Machinery Department. With the cooperation with your motorcycles, several of our military factories have turned around their poor management situation. Now, despite the lack of funds, they are doing very well."

As the deputy minister of the Fifth Ministry of Machine Building, this was not the first time that Sun Xiangfeng had met Jiang Hui.

This time, after he learned the news from the First Ministry of Machine Building, he immediately arranged for someone to visit the Chaoyang Motorcycle Manufacturing Factory.

Although we are not from the same system, we have cooperated many times.

He also wanted to go to the scene to see why the Chaoyang Motorcycle Manufacturing Factory could always create miracles.

"The Americans are willing to pay for our BMW X and other products. The most important thing is that our brother factories of the Fifth Machine Department can provide weapons and equipment to the Afghan opposition."

"Otherwise, we won't be able to use those motorcycles to fight polar bears."

It is natural to be humble at this time.

Anyway, the biggest benefits have been taken by Chaoyang Motorcycle Manufacturing Plant.

This time, the BMW X was paired with military products such as mortars, and the price of each set reached US$3500.

Of course, how Smith and others report prices to the country has nothing to do with Jiang Hui.

Of the $3500, Chaoyang Motorcycle Manufacturing Plant took $2500, leaving only $1000 for the related factories of the Fifth Ministry of Machine Building.

Even this $1000 is enough to attract factories to grab orders.

Because at this price, the mortars and other products they produce still have very lucrative profits.

Not to mention the special contribution of export earnings.

Not to mention $1000, even if it was $500, there would be people rushing to cooperate with Chaoyang Motorcycle Manufacturing Factory.

"I heard that we were collaborating with the United States, with them providing the funds and us producing the products, to jointly support the Afghan opposition. Was it you who first proposed this plan?"

A person of Sun Xiangfeng's level naturally knows a lot of information.

Especially since these contents are related to the Fifth Ministry of Machine Building, it is easier for him to understand them.

"This idea was actually first mentioned by my teacher, Professor Zhu Jiansheng of Capital University of Technology, on a certain occasion, and then I put it into practice."

"Finally, it was implemented under the joint planning of the leaders of various ministries including the Ministry of First Machinery Industry."

Jiang Hui took Sun Xiangfeng to visit the production of BMW motorcycles in the workshop.

The BMW 70 and BMW X are now products produced in cooperation with the United States to aid Afghanistan.

BMW S has now also opened up the Southeast Asian market and started to export and earn foreign exchange as a normal civilian product.

This is very rare.

A large number of military factories under the Fifth Ministry of Machine Building are now promoting military-to-civilian conversion projects, and there are also factories that want to produce motorcycles and other products.

Sun Xiangfeng's visit this time can be regarded as a kind of research.

"Anyway, your Chaoyang Motorcycle Factory has made a great contribution to our export earnings and has also driven the development of our sister factories. If there were more factories like yours in China, the situation would be completely different."

Overall, the factories under the Fifth Ministry of Machine Building are still under great pressure.

However, thanks to the aid to Afghanistan and the gradual opening up of some arms trade with Baghdad and Persia, the current situation is much better than the same period in history.

This change is not simply a matter of improving the operating conditions of a few factories, but a question of the direction and intensity of the entire reform.

Since the reform, the entire Chinese economy has achieved rapid development, which has further strengthened the determination of relevant departments to increase and accelerate the reform.

This situation is a little different from the same period in history.

"Leader, in fact, many products produced by our domestic military factories can be found in some application scenarios all over the world."

"Although overall, our product technology level is still a little behind the international advanced level, our prices are cheap."

"Not all countries can afford advanced and expensive weapons. We can find better export opportunities for our various guns, ammunition, artillery, tanks and other products in countries such as the Middle East and Africa."

Since Sun Xiangfeng came to inspect, Jiang Hui didn't mind helping to give some suggestions to the factories under the Fifth Ministry of Machine Building.

The development of the entire military industry has become smoother, and the resistance to reform will naturally be much smaller.

This is also a good thing for Jiang Hui.

After all, many of the things he has to do are still related to the overall environment.

If only the Chaoyang Motorcycle Manufacturing Plant develops well, while a large number of other factories go bankrupt or are poorly managed during the reform process, then many different voices will inevitably emerge, which is a situation that Jiang Hui does not want to see.

On the other hand, the situation is completely different.

"Your suggestion is very good. Some of our colleagues used to be too rigid in their thinking. They didn't know how to actively sell products to customers and just waited for others to come to them."

"They should learn from your factory in this regard."

Sun Xiangfeng is also a leader who was promoted step by step from the grassroots level and has a relatively good understanding of the conditions of many factories.

Because the production tasks of various military factories were previously arranged by the superior departments, and the various products produced were also directly coordinated and arranged. For the factory personnel, it didn't matter whether the production was high or low, and everyone had never thought about actively selling their products to overseas users.

Now that the situation has changed, the operating conditions of many factories have immediately deteriorated.

It would be best if this situation could be further improved significantly.

"Thank you for your praise, leader. We just haven't thought it through before. Once we figure it out, many things will be easier to handle."

Jiang Hui and Sun Xiangfeng were having a pleasant conversation.

However, for other motorcycle manufacturers, the mood is not happy at all.

"Director, our factory used to produce military products, but now we've switched from military to civilian use and started producing motorcycles. Logically speaking, we're the most suitable choice for cooperating with the United States to aid Afghanistan."

"But in the past two years, Chaoyang Motorcycle Manufacturing Factory has been the first to take the lead. Their BMW X unexpectedly received an order for 3 units, making it a major export earner this year and receiving praise from many departments."

"I think we can also report this to the ministry and ask them to include our Jialing Honda 70 in the cooperation with America?"

Yuan Zhiwei is feeling very unhappy now.

They are obviously the legitimate military factory, so why can't they get a piece of the pie?

Especially products such as guns, cannons and bullets are what Jialing Factory is best at.

In the 1960s, they also pioneered the bullet production technology of "using steel instead of copper", which greatly reduced the cost of bullet production.

These things are definitely what the Afghan opposition urgently needs.

"In the past few years, a large number of military factories were built in the first, second and third lines, and there are a lot of factories in the ministry that need support."

"If we rashly come to your door, nothing will come of it."

"It would be better to have a good discussion with Chaoyang Motorcycle Factory to see how we can work together to develop, so as to avoid vicious competition that will hurt both sides in the end."

I have to say that Yin Zhiguo's idea is very insightful.

Currently, the Jialing Honda 70 motorcycles produced by their factory are direct competitors to the BMW 70 motorcycles in the market.

The performance of the two is very similar, and the price is also very close.

Now the market is in a situation of supply exceeding demand, so everything is peaceful for the time being.

However, as the production capacity of Jialing Factory and Chaoyang Factory expands, and other motorcycle factories continue to launch new products, the market structure will definitely change greatly by then.

In particular, Yin Zhiguo knew that in Shuangqing City alone, some collective enterprises were planning to benchmark the Jialing Honda 70 and produce their own motorcycles.

The motorcycles produced by these factories will most likely cost less.

At that time, in order to develop, they will definitely continue to increase sales by lowering prices, which is not a good thing for Jialing Factory and Chaoyang Factory.

"This method is feasible, but I don't know what the attitude of Chaoyang Motorcycle Factory will be."

Yuan Zhiwei was a little unsure about the situation at the Chaoyang Factory and was worried that he would be turned away.

"Aren't they building a new phase of factories? It is said that after these factories are completed, they will have an annual production capacity of 30 motorcycles, and in the future it may be expanded to 50."

"The combined production of all other motorcycle manufacturers in China was only 50,000 to 60,000 units last year, and at most 80,000 to 90,000 units this year."

"But the Chaoyang plant's output this year is likely to reach more than 10 units, which is equivalent to half of China's motorcycle market, which is occupied by them."

"If this development trend continues, Chaoyang Factory will become the leader in China's motorcycle industry."

"In this case, regardless of whether we cooperate or not, we need to go over and inspect and learn."

Yin Zhiguo didn't mean to boost other people's morale and destroy his own prestige.

The development momentum of Chaoyang Motorcycle Manufacturing Plant is really too rapid.

BMW 70, BMW S, BMW X, each product is a classic and has good sales.

The Jialing Factory is still consuming foreign exchange, but others are major export earners.

Especially during this period, the BMW X, which Yin Zhiguo did not think highly of, unexpectedly became popular. A large export order of 3 units was signed in one go, which brought a huge impact to China's motorcycle industry.

It turns out that earning foreign exchange through exports is not that difficult.

It turns out that there is a lot of potential in producing motorcycles.

It turns out that the simple "three-wheeled vehicle" is also very popular abroad.

All of a sudden, various motorcycle manufacturers accelerated the speed of launching their products.

Some factories that were originally struggling over whether to launch motorcycle projects have also accelerated the implementation of their motorcycle projects.

The entire Chinese motorcycle industry has entered a period of rapid development.

(End of this chapter)