China III engine market Yuchai's "secret" to win
It has been six months since China implemented the National III emissions standard for commercial vehicles. The transition brought a lot of uncertainty and challenges, with many stakeholders struggling to adapt. For ordinary commercial vehicle users, the early days of the National III era were marked by confusion and hesitation, as they navigated through a fog of new regulations and technologies.
As a leading player in China's engine market, Guangxi Yuchai's success in this new phase of the National III engine market depends on more than just product quality—it's about strategy, innovation, and service. Recently, a reporter visited Yuchai’s headquarters in Yulin, Guangxi, and had an in-depth conversation with key leaders from Yuchai's National III division.
Zhang Peng, Deputy Director of the Truck Marketing Department at Yuchai Machinery Co., Ltd. Sales Company, highlighted the company's strong performance in the first half of the year. He explained that due to a surge in commercial vehicle sales, particularly trucks, during the initial implementation period of National III, the first four months of the year saw a significant spike in sales. This trend was consistent across the industry, with Yuchai also experiencing a sharp increase in truck engine sales. However, after July, consumer sentiment began to cool, and sales gradually rebounded. By August, Yuchai had already achieved 69% of its annual sales target.
Zhang Peng added that Yuchai entered the National III truck engine market relatively late compared to passenger cars, but it quickly made up for lost time. Since 2005, Yuchai has steadily expanded its range of National III engines, now offering nine major series to meet market demand. Among these, the new-generation YC6MG, YC6M, YC6L, and YC6A heavy-duty electronically controlled engines incorporate advanced technologies such as four-valve systems and in-cylinder braking. These innovations significantly improve intake and exhaust efficiency, reduce noise, and enhance fuel atomization for better combustion and energy efficiency. The in-cylinder brake technology not only improves braking performance but also extends the life of brake components, reducing maintenance costs and increasing vehicle operational efficiency.
The YC6L 8.4-liter engine, in particular, has gained praise for its fuel efficiency and low noise levels, especially when used by Liuqi and Dongfeng. Another model, the YC6M four-valve electronically controlled III engine, offers three power variants—290, 310, and 340 horsepower—and has already been exported in small quantities. Two domestic heavy truck manufacturers are expected to begin mass installations soon. With rising oil prices and frequent shortages, electronically controlled gas engines are also showing promising growth potential.
In the highly competitive National III engine market, Zhang Peng is confident in Yuchai’s position. He emphasized that Yuchai is one of the few companies in China with independent electronic control and calibration capabilities. The company's advanced electronic control integration technology and a team of over 10 PhDs in R&D ensure a strong technological foundation. Additionally, Yuchai's well-equipped "electronic control diagnostic instruments" and expert service teams provide a solid advantage in the market.
Zhong Xiaobo, Deputy Director of the Customer Service Center at Yuchai Machinery Co., Ltd. Sales Company, stressed that "service is the core competitiveness of the future." He noted that the National III standard is still new to many, making customer education and support crucial. Despite some issues related to oil quality and electrical system compatibility, Yuchai has built a comprehensive service system to address these challenges.
The company has conducted extensive staff training since 2003, expanding nationwide in 2007. Currently, two phases of electronic control training have been completed, with the third phase ongoing. Nearly 1,500 service stations across the country are now trained and capable of handling complex repairs independently. Yuchai also maintains a four-level fault response system and has over 30 accessory monopoly companies. A planned investment of 50 million yuan in spare parts for the National III engine ensures timely support for users.
Zhong Xiaobo is proud of Yuchai’s expert service team, which includes 40 professional engineers and nearly 20 PhDs in electronics. These experts are essential in maintaining high service standards. Although Yuchai’s National III truck engine is not yet fully deployed, the company is well-prepared to meet growing market demands.
In this new era of the National III engine market, Yuchai has shown agility and strength. With continuous improvements in internal management and a more mature sales team, the company is well-positioned to stand out in this evolving landscape.
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