"Without independent innovation, there is no Chery, not even Chery's future." In an interview with reporters, Yin Tongyao, chairman of Chery Automobile Co., expressed the decisive role of independent innovation in the growth and development of Chery.
This sentence also applies to Geely Automobile. As the first private auto company in China's auto industry, Geely attributed its development path to the “three-self roadâ€, namely independent innovation, self-development, and owning core intellectual property rights.
When Chery and Geely started, the competitive landscape of the international auto industry had stabilized after several inter-national restructurings, and the scale of production enterprises was developing in the direction of “giantâ€. People at that time had believed that the car industry had been delineated. With very high technical and financial barriers, it's no longer possible to start a story from scratch in the auto industry.
In 2001, Chery's first product was listed on the market and sold 28,000 vehicles that year, becoming the largest dark horse in the car industry. This year, Geely's production and sales exceeded 20,000 for the first time. By 2005, Chery’s sales volume has reached 185,000 units, an increase of 118%, which is five times the industry’s average increase. Geely has become the first Chinese automaker to participate in the five international auto shows. Its annual sales volume is expected to reach 140,000, an increase of more than 40%.
It seems that although the appearance of Chery and Geely is unexpected, the soil for independent innovation in China’s cars is already available. After more than 40 years of development, especially the rapid development of joint ventures over more than a decade, China's auto spare parts system has gradually become complete, and self-developed companies can integrate domestic resources at a lower cost. From the perspective of the international environment, independent development companies have unprecedented access to technology and have reduced costs. From the talent point of view, domestic large automotive groups and joint ventures have trained a large number of technical and managerial talents, and a considerable number of overseas students are eager to return home to start businesses, which gives Chery and Geely an opportunity to “purchase global talentâ€. At the same time, China’s car market has soared from 500,000 in 1998 to 2.31 million in 2004, and private car purchase has gradually become the mainstream of car consumption since 2001. At this stage, not only strong consumer demand, but also There is considerable profit. Therefore, the emergence of independent brands is a matter of course.
Although the external environment is important, the decisive factor for success can only come from within the company. That is, independent innovation and independent development with unprecedented courage and efficiency. Geely Chairman Li Shufu said that with his own research and development capabilities, Geely will have a knife, you can cut the cake in the world car market. Technology R&D has always been the core business of these two companies. Geely and Chery’s annual R&D investment has reached 10% of sales. The tremendous magnetism of independent innovation has attracted domestic and foreign automotive talents, making Geely and Chery's two small auto industries a sudden gathering place for automotive talent. In Chery, technicians account for 1/3 of all employees. Geely currently has 4 members of the Chinese Academy of Sciences and the Chinese Academy of Engineering, including 38 doctoral and postdoctoral fellows, and 292 professors and senior engineers.
Although the automotive industry has entered the era of global purchasing, core technologies cannot be purchased. After years of hard work, Chery and Geely finally delivered a wonderful answer. The first engine brand that belongs to China was born in Chery, marking the Chinese have achieved a breakthrough in the field of a new generation of high-performance automotive engines. In June last year, the Chery Automobile Engineering Research Institute officially became the National Ministry of Science and Technology “National Energy Conservation and Environmental Protection Automobile Engineeringâ€. "Technology Research Center" is the first automotive engineering technology research center under the jurisdiction of the Ministry of Science and Technology; Chery also undertakes the research and development of key technologies and components for hybrid cars, and the research and development of ISG engines for hybrid cars. plan. In the past eight years, Geely has produced 7 invention patents, 30 utility model patents and 37 appearance patents, applied 53 new technologies, and obtained 13 scientific and technological achievements, of which the self-developed automatic transmission became the first in China. Automatic transmission with independent intellectual property rights.
Independent innovation not only enabled Chery and Geely to gain a firm foothold in the domestic market, but also gave them a weapon to open up the international market. Chery and Geely are not only the mainstays of China's auto exports, but also export their own brands and technologies to foreign countries, re-interpreting the foreign joint ventures we are accustomed to use, and effectively changing people’s traditional impressions of “Made in Chinaâ€.
At present, Chery has the capacity to produce 350,000 cars and 400,000 engines annually. Geely's annual production capacity has reached 200,000 complete vehicles, 200,000 engines and 150,000 transmissions, both of which have entered the Chinese car industry. Of the mainstream companies. And independent innovation will still be the direction in which they strive to persist. Li Shufu, chairman of Geely Group, told reporters with full confidence: “We want Geely to travel all over the world and not let cars from all over the world run through China.â€
Our reporter Jiang Fan
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