Its founding purpose is the most important Wu Jianzhong iron ox

by jinmazt on 2011-06-19 11:17:29

What will be affected if the "fortress" of small-displacement cars falls again?

Regarding the status of small-displacement cars, it can be said that this has been a focal point of debate in the industry in recent years. On one hand, there is the view that small-displacement cars should maintain their good momentum; on the other hand, there is an attitude of ignoring the development of small-displacement cars. Thus, even though small-displacement cars have been deregulated, many invisible barriers still remain, hindering their development and breakthrough. This indeed cannot help but make one feel regretful! The current international trend in automobile development shows signs of a resurgence in small-displacement cars. This is not only due to the increasingly tight energy situation causing consumers to favor relatively fuel-efficient small-displacement cars, but also due to improvements in the performance and manufacturing standards of small-displacement cars, which have greatly stimulated consumer purchasing enthusiasm.

It is clear that domestic enterprises currently show little concern for the development trend of small-displacement cars. This reflects both their disdain for the 2000-dollar compact car launched by India's "Tata" Group, assuming that most companies have already passed through the stage of compact car development, as well as the fact that domestic support for small-displacement cars often remains superficial, with rarely any significant assistance provided. Considering that apart from Indian automobile companies, many large enterprises including General Motors, Ford, and Japanese companies are re-evaluating small-displacement cars, it is quite normal to expect that small-displacement cars will soon regain their dominant position in sales. However, when we look at the actions of domestic enterprises in the field of small-displacement cars and the industry's level of attention to them, it is difficult to align with the autonomous advantages we once had. To put it bluntly, if small-displacement cars gain strength internationally again and domestic enterprises fail to adapt accordingly, they will miss out on more favorable opportunities for us.

Why enterprises should not abandon the lifeline of small-displacement cars

The reasons for the global popularity of small-displacement cars have appeared twice. After the war, when per capita consumption levels were low, governments around the world developed small-displacement cars to promote social ownership and popularization, providing maximum support. Now, the development of compact cars is due to society being constrained by energy concerns and spatial limitations, making this a relatively passive measure! Behind this broad phenomenon lies the fact that whoever first gains an advantage in developing small-displacement cars and secures a recognized market share will enjoy greater initiative.

In recent years, China's lukewarm stance towards small-displacement cars has been somewhat perplexing. First, there was a flurry of restrictions and bans in various places, and after these were finally lifted, enterprises disregarded them due to profitability issues, treating them as dispensable. Fewer and fewer enterprises are further developing small-displacement cars, and many have switched to producing more competitive models! In fact, after so many years of small-displacement car production, perhaps no one dares claim to own or have owned a renowned compact car brand! And now, amidst the global warming trend of small-displacement cars, many opinions hold an indifferent attitude, which is indeed puzzling!

Small-displacement cars have not become strong for a major reason: foreign parties have not entered the market on a large scale due to strategic considerations. We failed to seize this rare opportunity and instead approached it with a mindset of "more radishes, less cleaning." For many years, we've stuck with the 8A engine and the deconstruction of the Chery QQ, which are obvious examples. This has indeed produced many compact cars, but contributed nothing new to the formation and cultivation of brands! This is the problem our enterprises faced in the past when dealing with compact cars. If we separate from the original mature technology and platform model, probably no enterprise would be able to produce its own compact car! Therefore, this fundamentally warns our enterprises that when international enterprises are on the same starting line as us, we have no reason to underestimate their future significance. Otherwise, when we fail to produce larger cars and remember that smaller ones could be a lifeline, it will be too late to regret!

National support for small-displacement cars is not just an obligation, but more importantly, a responsibility

We can say that lifting the ban on small-displacement cars in cities is one of the greatest policy advances. However, this method not only failed to provide small-displacement cars with the expected development opportunities, but also led to a downturn in their market performance. This is because the small-displacement car production system painstakingly established by enterprises in the past easily leads to situations where efforts are not rewarded due to market factors! This is caused by two important issues affecting the confidence of small-displacement car enterprises. On one hand, the government did not give small-displacement cars a prominent strategic position during the promotion of their development, nor did it appropriately restrain the unwarranted development of large-displacement cars. Therefore, in cases of huge price and profit disparities, the reality is very clear: whoever develops small-displacement cars suffers losses. On the other hand, the lack of specialized and deep policy and legal support is also a reason why small-displacement cars have stagnated.

As the type of automobile with the widest influence in the automotive industry and also the closest connection to the common people! Its main purpose at the beginning was to achieve the greatest possible popularization. Whether it's the early "people's car" in Europe or the "family-style car" in Japan, they were all comprehensively built under government cultivation. Their role is to allow the majority of people to enjoy the fruits of social progress brought by automobiles! And the specific support measures made by the government are clearly visible. Due to different development periods, we only see the side where foreign countries no longer support mature compact cars, and precisely copy the current methods foreign countries use to deal with compact cars in decision-making, which is indeed unfair to compact cars! Considering the special scale and cost issues of compact cars, without special government support and protection, the development of small-displacement cars compared to large cars is extremely difficult! Therefore, it requires that in order to protect the importance of small-displacement cars to the Chinese market, the government must reconsider the policy inclination and support for small-displacement cars! Why not let any policy be linked to the company's development performance, international competition levels, and innovation degree, to establish policies and ensure implementation? This way, it can both boost the confidence of small-displacement car companies and specifically eliminate the phenomenon of inferior products masquerading as quality ones. This is the best way to protect small-displacement cars from being impacted!

Now, amidst the rising trend of small-displacement cars internationally, both ends (high-end and low-price) have already been preemptively occupied by others. Whether it's Germany's renewed emphasis on "Mini" or "Smart", or India's Tata and GM aiming to create even cheaper compact cars, it shows that foreign parties have taken the first step. Is this targeting the Chinese market? It's hard to conclude right now. But this is undoubtedly true in terms of international competition in the new era! Therefore, whether it's the market or enterprises, we have reached a point where we must pay attention to small-displacement cars. Because, the consumption concept represented by small-displacement cars is gradually forming in international consumer mentality!

Ling Ran