On February 21, 2011, a firecrackers and a colorful flag flew at a construction site in Sanshan Development Zone, Wuhu City, Anhui Province. The foundation laying ceremony of Penghu Pengxiang Axle Co., Ltd. was held here. Leading leaders of Wuhu City and Sanshan District, Liu Rongde, General Manager of Shandong Pengxiang Automobile Co., Ltd., and Tang Gang, Deputy General Manager of Jirui United Heavy Industry Co., Ltd. attended the foundation laying ceremony. So far, as an independent axle production company, Pengxiang Motors has taken the first step on the road to build a factory near the vehicle manufacturing company.

It is understood that Penghu Pengxiang Axle Co., Ltd. plans to invest 250 million yuan, covers an area of ​​115 acres, a building area of ​​40,000 square meters, and a production capacity of 100,000 drive axles. The first phase of the project is mainly for the assembly and painting production lines, and the second phase will be for the construction of machining production lines.

â–  Independent research and development show its ability

Pengxiang Automobile is located in Penglai City, Shandong Province, and was founded in 1968. During the subsequent development, Pengxiang Automobile was gradually in trouble. In August 1999, the leadership of Pengxiang Automobile headed by General Manager Liu Rongde took over the banner of reversing the company’s losses for many consecutive years. Being in the place where myths and eight Immortals crossed the sea, Pengxiang people actively think about how to exert their initiative and get out of the predicament. In 2000, Pengxiang Motors began a drastic reform of the three systems of personnel, employment, and distribution. At the same time, it closely followed the market and strengthened its independent research and development. It started with the bridge driven by welding and welding and established a firm foothold in the industry. At present, Pengxiang Automobile has owned four leading products: special vehicles, medium and heavy truck bridges, hydraulic components and truck frames. It has an annual output of 20,000 special vehicles, 200,000 drive axles, 50,000 steering axles and 50,000 sets of steering axles. Suspension, 20,000 sets of hydraulic systems and 30,000 sets of truck frames. It has 3 professional factories and more than 20 domestic advanced production lines, more than 850 key production equipment, and 24 patented technologies. High profitability.

At present, Pengxiang Automobile not only ranks in the top management level in the industry, but also has a strong advantage in the market. Pengxiang Automotive introduced the DA485 flush-bonded bridge introduced by German Mantech Technology, which is the single-stage deceleration bridge with the largest input torque in the country. It not only has strong bearing capacity, but also can meet the needs of users for energy saving; the development of heavy-duty mining vehicles is dedicated to the front, middle and rear. The bridge has a maximum load of 40 tons and a high carrying capacity.

In 2010, the sales revenue of Pengxiang Automobile reached 2.166 billion yuan, a year-on-year increase of 61% and a profit of 95 million yuan, a year-on-year increase of 86%.

â–  Multi-win-win situation

The construction of Penghu in Penghu is beneficial to Pengxiang Auto, Jirui United Heavy Industry and Sanshan District Government. In the current medium- and heavy-duty truck supporting industry, building plants near vehicle manufacturers has been accepted by more and more companies. As an independent manufacturer of axles, Pengxiang Automotive has set up a factory in Wuhu and supplies products nearby. It can understand the needs of users in a timely manner and will greatly help expand market share and improve product competitiveness. There are many heavy truck companies in Anhui Province. Setting up a factory in Wuhu can radiate the surrounding areas and reduce logistics costs.

Jirui’s joint efforts are a new force in the heavy truck industry. Choosing an accurate market orientation, a suitable marketing strategy, and marketable products are related to its success in this field. In the three major assemblies, Jirui Union Heavy Industry provides users with Yuchai or Cummins engines, Fast or ZF transmissions, and the axles only use Pengxiang axles. According to reports, there are quite a few domestic manufacturers of axles. Choosing Pengxiang axles on the one hand is because of its strong bearing capacity and low failure rate. It has a high reputation in the market; on the other hand, it is because of Pengxiang. The R&D capability of the car is very strong, and there are several decades of technology accumulation in the axle industry. For enterprises like Jirui Union Heavy Industries, to establish a foothold in the market, we must form our own advantages and pay attention to independent research and development. This is consistent with Pengxiang’s philosophy. Another well-known axle plant that cooperated with Ji Rui in the previous period has not yet used their products because they do not have the ability to produce drive axles. Choosing the Pengxiang Axle helps Jierui Heavy Industries open up the market and benefit from it as soon as possible.

The introduction of Pengxiang Automobile is also in line with the thinking of the government of Sanshan District of Wuhu City to develop the economy. Wuhu City is one of the central cities approved by the State Council for the “Regional Plan for Industrial Transfer of Lancang Metropolitan Region.” The industry chain of the automobile industry is long, and there is no pollution, which has great influence on the economy. Pengxiang Automobile has settled in Sanshan District and has played a major role in forming the collective truck gold industrial chain.

â– Cooperative development of joint truck special bridge

According to reports, the current ratio of Pengxiang axles to joint trucks has reached 100%. All axles have been jointly developed by both parties and are exclusively for joint trucks. Jirui Union Heavy Industry has already established a research and development project on the axle in 2011 with the Pengxiang Axle, especially the super single tire axle, which will be a key product. The Super Single-Axle Axle has a significant role in reducing fuel consumption and other aspects of the vehicle. Other companies do not have it as a key R&D project. Ji Rui Union Heavy Industries will increase research and development efforts on this product.

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