News on May 30, according to Hengchi official micro show, Hengchi Automobile's Tianjin plant has fully resumed production on May 23.
According to Hengchi official micro news, Hengchi Automobile's Tianjin plant has fully resumed production on May 23.
Liu Yongzhuo, president of Hengchi Automobile, said that the company will make every effort to accelerate the production and delivery of Hengchi 5, and continue to promote the research and development and production of subsequent models to make the enterprise bigger and stronger.
Become bigger and stronger, and create brilliance again! For some reason, I couldn't help but think of this line.
Shan Zefeng, Deputy Secretary of the Tianjin Binhai New Area Party Committee and Mayor of Tianjin, led a team to go to Hengchi Automobile's Tianjin Plant to carry out research services, emphasizing full support for the development and growth of enterprises and continuously stimulating the development of new energy vehicle industry.
What role Tianjin Binhai New Area played in the resumption of Hengchi automobile production is not yet known. To be sure, Tianjin Binhai New Area hopes to make a fuss about the upgrading of the new energy industry.
According to public information, the Hengchi 5 was officially mass-produced in September 2022 and delivery began in October 2022. According to official disclosure data, the Hengchi 5 has delivered only 900 units so far.
Selling land to build cars just because of focus?
In April 2023, Evergrande Automobile announced that due to financial problems, Hengchi Automobile's Tianjin plant will suspend production of Hengchi 5.
Evergrande Group previously announced that it will invest about 47 billion yuan in car manufacturing. After the liquidity crisis of Evergrande Group, Hengchi Auto was seriously short of money. According to the information disclosed by Evergrande Automobile, as of the end of 2021, the company's total assets were 59.521 billion yuan and total liabilities were 58.83 billion yuan, close to the edge of insolvency. Therefore, Evergrande Auto has taken measures such as layoffs to control costs, but it has not helped, and in the end, it has not been able to avoid the fate of stopping production.
As far as the delivery of Hengchi 5 is concerned, there is not much difference between discontinued production and non-stop production.
In March this year, Evergrande Auto said that if it can seek financing of more than 29 billion yuan in the future, it will plan to launch a number of flagship models and is expected to achieve mass production. At the end of April, Evergrande Automobile announced that it would "divest" 47 of its residential and property development projects to China Evergrande for 2 yuan, which means that Evergrande Auto completed the divestiture of its real estate business and became a pure new energy vehicle company. Evergrande Auto said it will focus more on the new energy vehicle business.
Evergrande Automobile's move is to improve its performance in the capital market, and shareholders can continue to obtain shareholder value through the growth of new energy vehicle business.
"Considering the recent preferences of investors reflected in the valuation of the interbank companies listed on the Stock Exchange that are mainly engaged in the new energy vehicle segment, the divestment business can concentrate Evergrande's automobile business in the new energy vehicle segment, which will help attract investors to join Evergrande Auto and raise funds."
Evergrande originally built the car to take land, but now even the land has been stripped off, and its mission has been completed. This is quite a tragic momentum of a strong man breaking his wrist, in fact, if you think about it, this is more like a cornered abandoned car security marshal.
In November 2019, Xu Jiayin, chairman of the board of directors of Evergrande Group, made a bold statement that by 2025, the annual production and sales will exceed 1 million vehicles, and by 2035, Evergrande Automobile will become the world's largest and strongest new energy vehicle group.
How long will this last?
Although Hengchi divested its real estate business and achieved focus, in the field of new energy vehicles, Evergrande Automobile still faces many challenges. The first problem is that the competition in the new energy vehicle market is too fierce, BYD, Tesla, Wei Xiaoli and other new energy vehicle brands are strong, have sales and reputation, all can fight, in addition, in technological innovation and marketing need to make great efforts, and extremely need patience, because the automotive industry needs a long cycle to see results.
The new car-making forces represented by Wei Xiaoli have struggled for so many years, the volume and voice are not small, and they are still in a state of loss, Hengchi Auto cannot rush to make money, on the contrary, it needs greater patience.
I don't know, how much patience does Evergrande have in the past few years, and how much patience is left?
Real estate companies enter the new energy car manufacturing industry, Evergrande is not the first, nor the last, such as Baoneng , Huaxia Happiness, Agile and so on have intervened in the new energy automobile industry in different forms and degrees, but they are not particularly smooth.
In addition to acquiring Qoros Automobile, Baoneng also took over Changan PSA, which was later renamed Baoneng Automobile; At the end of 2021, Agile invested in WM Motor and held 4.58% of the equity of WM Motor; Huaxia Happiness joined United New Energy in 2017 and left a year later.
In addition to United New Energy, these car companies are on the edge of the yellow stall and are not worth mentioning.
Looking at the entry of large real estate companies into new energy vehicles, most of them do not end well. It has to be sighed that the interlacing is like a mountain. Although real estate companies have certain advantages in entering the new energy vehicle manufacturing industry, such as both are industries that require large scale of capital and long industrial chain, car manufacturing requires government land approval, which can drive local employment, real estate companies also master massive consumer resources and can achieve precision marketing.
However, the automotive industry still has a fairly high threshold for technology research and development, and also needs a fairly strong system force to integrate upstream and downstream resources, real estate companies intend to play cars across borders by throwing money, and those who hold this idea have been fiercely educated by the market.
According to industry insiders, almost all real estate companies involved in the car manufacturing industry are operating in the path of "first using cars to acquire land, and then using houses to raise cars". This idea is no problem, but the difficulty is that the automotive industry not only has a long investment cycle, high technical threshold, and extremely high requirements for the company's own management level, the key is to make money slowly, and real estate companies are accustomed to the previous speed of making money, simply not adapted to the automotive industry, making money slowly, not to mention that you have to lose money if you don't do it.
This is indeed beyond the perception of real estate companies.
There will be demons when things go wrong, but where housing companies comprehensively transform car companies, not for land, what else can it be? Now that the land is gone, how long can Hengchi Auto last?
People evaluate cars
If NIO is the worst car company in 2019, then Evergrande may be the most notorious car company in recent years.
Throughout the history of Evergrande's car manufacturing, from the initial tearing war with Jia Accountant, to the 2020 press conference showing 6 new cars in one breath, to Hengchi 5 repeatedly skipping tickets, to bugs in the car machine after mass production, and then to the suspension of work and layoffs.
Over the years, the car has not sold a few units, but its story has been circulating in the rivers and lakes, but it is always a chicken feather after each time.
Interlaced like a mountain, and also looks like a barbarian, the process and ending are destined to be a joke.