The domestic new energy automobile industry has developed rapidly in recent years, many companies have chosen to build cross-border cars, of which Gree has also won the third good result in the country, but this achievement has not lasted long, Gree has been surpassed by other car companies, what is going on?
In the first two quarters of 2021, Gree ranked third in the field of similar automobiles in the country with the sales volume of 800 new energy buses, but after just 5 months passed, Gree quickly fell out of the top 3 positions.
According to the sales of new energy buses in the first 11 months of 2021 announced by China on January 5 this year, Gree's sales volume is only 1813 units, although the increase is as high as 171%, but it can only rank 7th in China.
The sales champion who ranked first in the country was Yutong Bus, which became the sales champion of China's new energy buses by relying on the sales results of 8095 vehicles, far exceeding Gree by 4.4 times.
It was followed by BYD, which sold only 3900 vehicles, but it was still nearly 1 times higher than Gree, and the third place was CRRC Electric, with sales exceeding 3221.
Therefore, from this point of view, Dong Mingzhu's new energy vehicle business seems to have a certain dilemma, accounting for only 5.25% of the total market share.
Some people may ask whether Dong Mingzhu's car-making business will choose to gradually withdraw because its share continues to be difficult to expand?
The answer is definitely impossible, since Dong Mingzhu spent 3 billion yuan to acquire Yinlong New Energy, its investment in the business has increased day by day.
Even on November 17, 2021, Gree spent another 3 billion yuan to acquire DunAn Technology, a leading enterprise in global refrigeration technology.
Since then, Gree's car-making and refrigeration technology has its own industrial main body, and if it can be combined in the future, the resulting technical advantages are also predictable.
At present, Gree car manufacturing is only a few years old, it has been able to be in the top 10 in China, and even got the top 3 results, which is enough to prove that the future potential of Gree's new energy vehicle business is huge.
Moreover, in the sales data of the first 11 months of 2021, Gree's automobile business growth rate is the first in the country, and the top three companies have all shown a sharp downward trend without exception.
Among them, BYD's decline is the most obvious, about -49.07%, so from this point of view, Gree fell out of the top three in the country is only temporary, if the future to maintain this momentum, back to the top three, or even the top of the first place is possible.
However, the development of enterprises still needs to rely on the domestic industry environment, with the development of the new energy automobile industry more and more popular, the initial domestic subsidies will also be declared over.
On December 31, 2021, the domestic Ministry of Finance has issued a statement that it is expected that the subsidy standard for new energy vehicles issued this year will be reduced by 30%.
And The country has also officially announced that this year will be the last year of the state subsidy for the new energy automobile industry, that is to say, after December 31 this year, the car subsidy will be completely terminated, and the new energy car manufacturers will not be able to receive any form of subsidy.
Many people may not be too concerned about this policy, after all, subsidies are also received by enterprises, and have nothing to do with consumers, but if enterprises cannot receive subsidies, it means that the cost of making cars has risen, in order to ensure profit margins, car companies are likely to significantly increase the price of cars in the future.
In other words, in the past, there were state subsidies, the price of the car can be slightly lower, and now the state does not give subsidies, car companies in order to ensure revenue and profits, will naturally find the difference from consumers.
At the beginning of this year, Tesla announced the news of price increases, as a foreign company, the perception of local market subsidies is very keen, so this also confirms the trend of the automotive industry will increase prices sharply in the future.
Nowadays, the development of Gree Automobile has just appeared in a good situation, if the subsidy is cancelled in the future, it means that Gree will invest more money in research and development and sales, and the profit margin will naturally decline.
Therefore, from this point of view, gree's new energy vehicle business in the future is still more challenging.
Many people may ask, why is the subsidy for new energy automobile enterprises gradually abolished in China?
In fact, there are two reasons, on the one hand, the scale of the domestic new energy automobile industry is too large and too fast, from 12 years ago to subsidize so far, the domestic cumulative out of 147.8 billion yuan for subsidies, to a certain extent, is not a small economic pressure.
On the other hand, many car companies are cheating under the guise of building cars, which is also a loss to the country, so the country will decide to gradually cancel.
Will prices in the automotive industry rise in the future? Can Gree still develop strongly in this environment? Do you have any good opinions?