Chapter 2015: Reducing Motorcycle Production



"Guan Hai! Has the assembly line for the Flying Motorcycle been modified?"

Now the equipment manufacturing department is taking on work outside, which means that the new line he wants to renovate has been completed.

“We only renovated one old line and built a new line. The whole renovation was completed ten days ago.”

"How long has it been since the people who went to Xiwan to change the route have been gone?"

The Feiyue in Xiwan also needs to be modified, and the products on both sides must be launched simultaneously, otherwise that old turtle Zhang Shiqian will come and talk about it with tears and snot again.

"Dozens of people have already passed by after the line was modified here. I guess we can finish modifying the line on the West Bay side before the New Year."

We'll just have one production line going first.

Wan Feng nodded without saying anything. After coming out of the equipment production department, Wan Feng entered the old factory.

The old factory is now mainly a production base for two projects: motorcycle production and machine tool production.

After the project of modifying the electric start and disc brakes of the Feiyue 90 is completed, the only things left here are the EFI 100 and 125 engines under research, and there are no new research results.

Wan Feng wants to discuss something with Chen Dao.

With the arrival of many university graduates, the scientific research force under Chen Dao is becoming stronger and stronger. He is no longer responsible for R&D matters, but focuses more on management.

With the engine concept diagram drawn by Wan Feng, these college students can develop the engine much faster than his team.

Wan Feng found Chen Dao in the workshop.

"Uncle Chen, we need to make some adjustments to the motorcycle production plan for next year."

More than four months ago, the 90CC engine technology was finally mastered. It is said that the original technology came from Northern Yichu. Some say that the drawings were leaked and some say that the technology was cracked.

Regardless of the reason, there is no mystery about the 90CC engine anymore.

Dozens of motorcycle engine assembly plants suddenly appeared in the mountain city.

Although these engines are made by different manufacturers, the technology is carved from the same mold. What's the difference between them since they are made from the same mother?

It has even reached the point where no drawings or designs are needed, and production can begin as long as all the parts are available in the market.

It is no surprise that so many small engine assembly plants have emerged.

From the end of this year to the whole of next year, Wan Feng predicts that at least six million 90CC motorcycle engines will be on the market.

The core of a motorcycle is the engine. With the engine, making the whole vehicle is not a big problem.

The emergence of these engines will inevitably lead to the formation of dozens or even hundreds of vehicle manufacturers, which will be a catastrophic impact on the motorcycle market in 1995.

Even though China's economy has been growing at a rate of more than 13% year after year since the designer's southern tour, and even though people have a lot of spare money, they still cannot absorb tens of millions of motorcycles.

Currently, the four major motorcycle manufacturers, Nanwan, Jialing, Qingqi and Jincheng, together with Xingfu, Qianjiang and other companies, produce about five million motorcycles annually.

In 1994, these factories produced so many motorcycles that they basically balanced the market.

That is to say, the current market can absorb about 5 million motorcycles per year, and if it expands, it can barely reach 6 million.

This is the limit.

There are now six million more motorcycle engines on the market, and at least two-thirds of these engines can be turned into complete vehicles.

The result of having four million more motorcycles on the market is that the seller's market has completely turned into a buyer's market.

The only result is that it will inevitably lead to a price war, with the price of the whole vehicle falling sharply. After the war, some car companies with weak technology and power will be wiped out in the test of time.

But there will inevitably be some car companies that survive the difficulties and enter the second round of competition in the market.

"Will so many engines enter the market this year?" Chen Dao is obsessed with management and research and development every day and doesn't know much about the outside world.

But the number of six million still shocked him.

"This is still a conservative estimate. There may be more products than this."

"So how do we deal with this mess?"

"One is to reduce production, and the other is to upgrade technology. AX100 production will be reduced by 100,000 units, and engines by 100,000 units. Scooter production will be increased by 100,000 units. As for the Feiyue scooter, we've already modified one line, so we'll use that modified line for production, and stop production on the other line and replace it with a new one."

The modified Feiyue production line can produce the Feiyue 90 with electric start and disc brakes. It will take at least two years for the vehicle manufacturers to master these two technologies. Two years later, South Bay may be full of 100 and 125 motorcycles.

The 100 and 125 models will last for a long time, and there will be models such as underbone models in between.

When these models are almost ready, electric motorcycles will appear.

"Xiao Wan! Aren't we overdoing this? We're considered a time-honored Chinese automaker. Those shabby car companies won't necessarily be able to shake our position. Besides, aren't there catalog restrictions? It's impossible for so many automakers to appear."

Wan Feng laughed. "Uncle Chen! You still don't seem to understand us Chinese. "When there's a complete vehicle, there's a countermeasure." That's not empty talk. You probably don't know about the catalog business. Actually, our factory has offered to buy a catalog before, but we turned it down. We didn't reject them all. You know that shameless Xie Changju, right?"

Wan Feng gritted his teeth when talking about this guy. My reputation was almost ruined by this bastard.

Xie Changju and Chen Dao certainly knew about this. This guy bought an AX100 production line half a year ago, and the employees were trained by people sent from Nanwan.

It has been in official production for more than three months now, and it is said that the products are mainly sold in places such as Menhaiqing in the north of Hanoi in the capital.

The details are not clear.

"Remember, this guy is as thick-skinned as you."

Wan Feng was depressed. Am I the same as him? He is a scoundrel, am I a scoundrel?

"Xie Changju is using our catalog. Although we are an old car company, we want to always be one step ahead and not engage in a chaotic fight with them. The saying that a random punch can defeat a master is not empty talk."

Nanwan will never get into a fight with them, that would be so degrading.

"Didn't the Equipment Department build a new line?"

"Stop the unmodified line and replace it with this new one. We will start producing the new Feiyue 90 after the new year."

The new Feiyue 90 is of course more expensive than the old Feiyue. Whether it can survive next year depends on this model.

Wan Feng has nothing to worry about for the time being as there is no direct conflict between the AX100 and 90 cars. The only thing that is affected is the selling price, which can be reduced at most.

Currently, Nanwan is the only company in the country that produces scooters of this displacement, so instead of reducing production, it increased its production by 100,000 units.

That's the benefit of having no competition.

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