[Tencent Automobile Special Issue March 22] Seeing the rapid development of the Chinese auto market, what birds want to fly in and eat a bite. However, in some markets, foreign birds may not be able to do so.
Recently, I was touched by a piece of news.
Russia’s Kamaz Automobile Company stated that it is negotiating with a number of potential Chinese partners and is expected to form a joint venture company in China next year. Kamaz hopes to produce at least 10,000 cars a year in China, with some exports to Central and South America.
If there is no such prestigious shareholder, who is the Russian KAMAZ Automobile Company, it is estimated that the outsiders know very little. Kamaz Automobile Manufacturing is the largest automobile manufacturer in Russia. It is ranked 11th among the world's leading heavy truck companies and ranks eighth in diesel engine production in the world (but most products are supplied by the Russian military).
The shareholder is Daimler, who does not hold much stock. After increasing its holdings in February this year, Daimler’s share in Camas increased from 10% to 11%. (It can only be considered a small shareholder). However, perhaps this 11% stake is enough for Kamaz to name Daimler and come to China to discuss a joint venture.
To tell the truth, I would like to pour cold water on Carmas.
First, in the mid-level heavy truck market, China is basically the world. Do you manage the world rank of Karmas and set aside the military? How competitive are you? Don’t take Daimler’s case. Daimler is also not on the heavy truck market in China.
In 2009, CNHTC's production and sales volume reached the top three in the world. What is this concept! Think of Toyota Motors and a Chinese family
The difference in automotive companies, you know!
Second, I do not understand what the complementary advantages of KAMAZ's joint venture production in China are. For Kamaz, is it cheaper to produce 10,000 cars in China than in Russia? If it is not for the Chinese market, this joint venture has no meaning. If you take a look at the Chinese market, Kamaz heavy trucks want to sell 10,000 vehicles (or 5,000 cars) in China within five years. This is basically a dream!
For Chinese joint venture partners, can they recover their investment in a few years? It is more likely to live half a year indefinitely! In addition, what can China get? Without a higher level of technology, this type of joint venture is suicide. China’s side capital kills China’s other heavy truck capital.
Speaking off topic.
Seeing that in recent years, Russia has raised the threshold for the export of Chinese cars (in 2009, the Chinese car exports to Russia dropped sharply, and most of the companies were completely annihilated). Why China is so tolerant and gratitude to Germany. Why should these small enterprises, which are very far from Chinese heavy truck companies, come to China to divide their soup?
Listen to (March 21) Minister of Commerce Chen Deming's remarks. Chen Deming said that the important feature of this round of world trade recovery is the substantial increase in domestic demand in emerging markets including China, which has led to the first pick-up in investment products and intermediate goods in related economies. In the first two months of this year, China’s imports increased by 64% year-on-year and imports from Russia, Malaysia, etc. doubled. We pursue a fair, free, and open trade philosophy. If we engage in trade protectionism, if we do well, we will repeat the mistakes of protectionism in the 1930s, causing the world economy to face the risk of a second bottom.
Although this statement is not for Russia. However, Russia still has a good idea to think about it. Do not just think about entering the market of other countries and closing the door of its own national market.
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