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    Home > Coatings News > Paints and Coatings Market > FAW Xiali becomes a loss-making company to mobilize all resources to bet on Junpai

    FAW Xiali becomes a loss-making company to mobilize all resources to bet on Junpai

    • Last Update: 2021-05-02
    • Source: Internet
    • Author: User
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    Our reporter Fan Wenqing reports from Beijing

    On October 27th, FAW Xiali’s first urban SUV Junpai D60 was officially launched after 5 years.


    Two weeks ago, FAW Xiali released its third-quarter performance forecast for 2014.


    According to relevant regulations, if a domestic listed company loses money for two consecutive years, it will be subject to special handling of delisting risk warnings.


    "We will make adjustments according to the product and the company's strategic deployment.


    Junpai imitates the Pentium X80

    Whether Junpai can become another "Xiali", Tianjin FAW has no idea, but it has shown the utmost sincerity.


    In terms of research and development, the FAW Group has rarely provided technical support for Tianjin FAW to build Junpai; in terms of production, the brand-new Huali plant is modeled after Toyota’s management model; in terms of parts and components, Bosch, Denso, Continental, Four internationally renowned suppliers, including Aisin, have all been incorporated into Junpai's parts system.


    But this does not bring success capital to this young brand.


    In this regard, Tianjin FAW also has its own knowledge.


      In fact, in order to change the stable and mature car image left by Xiali, Tianjin FAW launched a fierce "younger" marketing campaign against young consumers in the early stage.


      However, the booking situation in the market has not developed in the direction envisaged by Tianjin FAW.


      The successful selling of Bestune X80 is now providing new ideas for Junpai.


      This has been revealed at the launch of Junpai D60.


      Can FAW go public as a whole to save Xiali?

      Although the main business is in trouble, since July, FAW Xiali's share price has risen sharply.


      A securities analyst who asked not to be named told reporters that as FAW-Volkswagen’s share ratio adjustment plan has become increasingly clear recently, the capital market has interpreted this as the obstacle to the FAW Group’s overall listing, which has been smoothly resolved, and the listing process may be accelerated as a result.


      Recently, many investors have also asked on the Shenzhen Stock Exchange [Weibo] Interactive Yi about "When will the company and FAW Car go public as a whole", and FAW Xiali's reply is "All the information disclosed by the company shall prevail.


      In fact, even if the FAW Group’s overall listing enters a fast track, the risk of FAW Xiali’s losses for two consecutive years will also be a thorny issue that FAW Group needs to solve.


      Now FAW Xiali’s plan to solve the loss of its main business is to take the initiative to adjust its product structure and enhance its brand image.
    According to officials from Tianjin FAW, the company will launch two new cars next year in order to effectively boost sales.
    Among them, the new Xiali N7 will further lower the threshold for buying cars, launching a 1.
    0L manual transmission model; the new Xiali N5 will launch an automatic transmission model to enrich the existing product lineup.

      After the launch of the SUV D60, the Junpai brand will launch a new A-class sedan next year.
    Dang Ren said, "The planned sales of Junpai models next year will be 60,000, and monthly sales will exceed 5,000, which is equivalent to assuming 75% of Tianjin FAW's sales this year.
    " However, affected by the continued decline in sales, Tianjin FAW has lowered its annual sales target of 130,000 vehicles set at the beginning of the year to 80,000 vehicles.

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