Chapter 496: Time to produce

Fuxing Power In an old factory building, it has been transformed into a showroom for Fuxing Power, displaying all kinds of engines produced by Fuxing Power since the factory was built. In particular, since 1994, Fuxing Power has researched and developed various types of engines. Zeng Guangyun has looked at each one, and each engine looks like a piece of art.

'This engine is the one you use in your cars?'

Han Songlin said with a smile, 'Yes, this is the engine. Originally, we developed it not to say that we were building cars, but to sell it to other domestic car companies.'

When he said this, Han Songlin should have been furious, but he looked as if he was not talking about himself, and said very calmly: 'Leader, as you know, domestic car companies are obsessed with foreign technology and don't think much of our purely domestically produced engines. But this engine has already been developed, so we can't say we can't sell it.'

'If the engine doesn't sell, it means that the R&D funds invested previously cannot be recovered. There is no other way, we must make the engine profitable. We have only one way to go, to produce cars ourselves.'

Zeng Guangyun looked deeply at Han Songlin. Previously, he had not mentioned the matter of the car production list, but now he could no longer hold back, could he?

Before coming here, the Planning Commission had already held a meeting to discuss whether to give the quota to Xinghai Group.

If it was given, it would become the first car production qualification issued to a private enterprise.

There is another important point. The reason for restricting the issuance of this car production qualification in the past was that it was hoped that mainland car companies that cooperated with foreign car companies would be able to obtain technology.

But now it seems that the effect is not very obvious.

At this time, someone mentioned it.

Foreign car companies have reached a tacit agreement in the Chinese car market: they will always give domestic technology that is several generations behind, so that they can continue to make profits in the Chinese market.

If they want these foreign car companies to honestly give up their technology, the current cooperation is not enough.

There must also be domestic car companies that can compete with them.

The Xinghai Group wants to build cars, and Shuchuan is also pressuring for this production qualification; Shuchuan is even crying poverty, saying that it is located in the southwest interior of the motherland, with poor economic development, and now it wants to rely on the production of cars to develop the economy.

Moreover, among the older generation, there are many Shuchuan people, all speaking out more or less.

The Planning Commission is very strong, but it can't withstand such an offensive.

This time, Zeng Guangyun came down to see how good Xinghai Group was, and if it was really good, then some support was warranted.

Zeng Guangyun looked at the provincial leaders and said with a smile, 'It seems that if we don't give you the production quota, it would really be unreasonable!'

Han Songlin secretly clenched his hands. With the qualification to produce cars, many problems would be solved.

Being able to produce normal car models was really too important.

Next, the inspection continued, and they visited Fuxing Forging and Fuxing Precision.

In addition to the enterprises affiliated with Xinghai Group, they also went to other enterprises in Jiangzhong, many of which were small factories.

When they entered, the workers in the entire factory did not add up to the number of people who visited.

But these factories should not be underestimated. Although these small factories are small, their production equipment is better than some large factories.

In addition, in terms of production capacity, they are also super strong.

They can even process high-precision parts.

Many of the parts for Fuxing Power have gradually been outsourced to these factories.

'There are now more than 1,500 factories of all sizes in Jiangzhong, all of which specialise in producing one or two types of parts,'

Han Songlin said, trying to support the kind of specialised factories that have emerged.

They have perfected one product to the extreme.

'There are 53 companies with more than 300 employees.'

Fifty-three?

Han Songlin was slightly surprised to hear Luo Xiaozhong's introduction. Are there really that many?

Wait, he didn't count water plants, transportation companies, passenger transport companies, and the like, did he?

If so, it seems like there are enough.

In fact, the 53 companies Luo Xiaozhong mentioned refer only to industrial manufacturing companies.

Indeed, there are that many.

And the number of new factories is growing every month.

The main thing is that Xinghai Group has started to outsource the production of a large number of parts.

In addition, Xinghai Group purchases parts nationwide, and some companies have come to Jiangzhong to set up branches in order to supply nearby.

Xinghai Group is a big customer that is indispensable to many companies.

After visiting Jiangzhong, he went to Yandu to visit Changxing Machine Tool without stopping.

After Changxing Machine Tool was acquired by Xinghai Group, it attached great importance to technological research and development, recruited a large number of talents, and increased investment in research and development.

These efforts have been effective. For example, the research and development of CNC machine tools has been quite fast.

Even the programming of CNC machine tools has been developed by Changxing Machine Tool itself.

In addition, in terms of the production of professional machine tools, Changxing Machine Tool has also achieved quite good results by relying on the Jiangzhong market.

In May, Foryou Motors successfully obtained the qualification to produce cars and entered the national list of car manufacturers.

This was the first private car manufacturer in the country to enter the list, naturally causing quite a stir.

At this time, it was not Han Songlin's character not to take advantage of the heat to do some publicity.

He quickly arranged for publicity for Foryou Motors.

Posters were put up in the city, a whole page of publicity was dedicated in the newspaper, and a TV commercial had to be quickly arranged.

For the TV commercial, this time there was no celebrity endorsement.

In fact, for cars, celebrity endorsements are useless. Cars are big-ticket items that cost tens of thousands or even hundreds of thousands of yuan, which is a person's family savings. Whoever buys a car will compare prices carefully, look and observe more before making a decision.

No matter how good the advertising is, it still depends on quality and word of mouth to open up the market.

After entering May, the Furui Motors, which had already been established, entered the intense production line commissioning.

Trial production has also been carried out.

Throughout Shuchuan, there are too many people paying attention to the situation of Furuida Motors.

This is because Furuida Motors' procurement of auto parts spans industrial manufacturing enterprises throughout Shuchuan.

Xinghai Group has always been able to reduce manufacturing costs by not producing parts that it does not produce itself.

Strict procurement contracts are signed for external procurement, which stipulate quality requirements. If the standards are not met, then sorry, Xinghai Group will simply return the goods.

As the Xinghai Group becomes larger and larger, it is also becoming more and more powerful.

In terms of procurement, the ability to check and balance the companies in the supply chain has also become stronger.

Workers are rushing to complete their final training, especially in assembly, where they must receive additional training. Assembly must be carried out in accordance with process requirements and the production manual.

Many of the minor problems with domestically produced cars are found in the assembly process, and Han Songlin is well aware of this, so he pays special attention to this area.