My 1999

In the same year, Xianghuo Torch and Shaanxi Automobile Gear Factory jointly established Shaanxi Fast Gear Co., Ltd. Xianghuo Torch invested 131 million yuan in cash, and Shaanxi Automobile Gear Factory invested 126 million yuan in kind assets.

Xianghuo Torch holds 51% of the shares, and Shaanxi Automobile Gear holds 49% of the shares.

Soon after, it acquired Zuanjiang Gear Factory and Zhuzhou Gear Factory, becoming a big player in the field of heavy-duty gearboxes in China.

It occupies more than half of the market share in the field of heavy-duty truck gearboxes in the country.

In the same year, Xianghuo Torch and Qianjiang Group jointly established Zhejiang Wenling Longjiang Machinery Manufacturing Co., Ltd. Xianghuo Torch invested 30 million yuan and held 60% of the shares.

In other words, Delong extended its influence to the field of motorcycle manufacturing.

After this series of actions, Xianghuo Torch's share in the auto parts field has become larger and larger.

But.

Old Tang soon told everyone with practical actions.

Brother's energy is beyond your imagination.

Just after the Spring Festival in 2002, Xianghuo Torch invested 37 million yuan and jointly established Mudanjiang Futong Auto Air Conditioning Company with four companies including Mudanjiang Huatong Auto Parts and Fuao Auto Parts, which was to enter the car air conditioning industry.

This once again expanded Xianghuo Torch's business margin.

With step-by-step investment.

Old Tang's ambition to enter the field of complete vehicles can no longer be hidden.

What a hot man, here he comes!

In July 2002, Xianghuo Torch invested more than 36 million yuan in Dongfeng Motor to jointly establish Dongfeng Off-Road Vehicle Company, and held 60% of the shares.

It needs to be said here that this Dongfeng Off-Road Vehicle Company finally produced a famous military vehicle-Dongfeng Mengshi.

It's a pity that Delong had gone bankrupt at that time, and Dongfeng Off-Road Vehicle became a wholly-owned subsidiary of Dongfeng.

Let's get back to the topic.

If it is said that Dongfeng Off-Road Vehicle Company is just a small test of Delong's knife in the field of complete vehicles.

Then the next operation is the real highlight.

In September of the same year, Xianghuo Torch and Shaanxi Automobile Group jointly established Shaanxi Heavy Duty Automobile Company with a registered capital of 490 million yuan. Xianghuo Torch invested 250 million yuan, accounting for 51% of the shares.

Once the news was announced, it instantly caused a shock in the industry.

Before everyone could digest this shocking news.

Duang, Duang, Lao Tang hit everyone with a brick again.

At the end of 2002, Xianghuo Torch announced that it had signed a contract with Chongqing Heavy Duty Truck Group to jointly establish Chongqing Hongyan Automobile Company with a registered capital of 500 million Chinese yuan.

Xianghuo Torch contributed 255 million yuan in cash, accounting for 51% of the joint venture shares.

The news swept across the Chinese business community like a hurricane, and even had a certain impact on the global heavy truck industry.

Why is the impact so great?

This has to start with the Chinese heavy truck pattern.

At present, the Chinese heavy truck industry is roughly divided into three major sectors.

The first sector: FAW and Dongfeng sectors, the two companies each account for more than 30% of the national heavy truck production and sales.

The second segment: Qilu Heavy Duty Truck, Beiqi Foton, Shaanxi Automobile, Chongqing Hongyan.

The four companies plus FAW and Dongfeng are the six major players in the national heavy-duty truck field, and each company's annual production of heavy-duty vehicles exceeds 10,000.

The four companies together account for about 22% of the national heavy-duty truck production and sales market.

The third segment: Northern Benz, Modu Huizhong, Jiangsu Chunlan, Sany Heavy Industry, JAC, etc.

Although the third segment is large in number, its share of the national heavy-duty truck market is less than 10% in total.

However, with the continuous opening of the Huaxia Heavy Duty Truck market, the heavy-duty truck industry chain has become more and more sound, and the competition is becoming increasingly fierce.

The share of FAW and Dongfeng segments is on a downward trend, and the second and third segments are rising.

In addition.

As far as heavy-duty vehicles are concerned, there are three tonnage segments:

8-12 tons, this is the strong area of ​​FAW Jiefang and Second FAW Dongfeng, and the two companies account for more than 95% of the entire market in this tonnage segment.

The product characteristics of this tonnage segment are: economical heavy-duty trucks.

Most of these products are from medium-sized vehicles, and the base is very large.

12-15 tons, this segment is a highly competitive segment, and it is also a concentrated segment for many manufacturers in the heavy-duty truck field.

Above 15 tons, it is still the concentrated segment of the three Steyrs, Shaanxi Automobile, Quancheng Heavy Duty Truck and Chongqing Hongyan, which have unquestionable advantages.

Now Delong has Shaanxi Automobile and Chongqing Hongyan, directly occupying 53.8% of the market share of heavy-duty trucks above 15 tons.

Moreover, Shaanxi Automobile is the only designated unit of Huaxia military vehicles, occupying 95% of the military vehicle market.

After holding Shaanxi Automobile and Hongyan, Xianghuo Torch directly became the existence second only to FAW and Dongfeng with 12% of the heavy-duty truck market share.

More importantly.

Xianghuo Torch is not only the "third place" in the field of heavy-duty trucks.

He also controls a golden power chain of "Xiangli engine + Fast gear + Hande axle".

Old drivers all know: car, compartment, bridge, are the key assemblies of a car.

Through continuous mergers and acquisitions and development, Xianghuo Torch has acquired China's largest gearbox company "Fast" and the top axle manufacturer "Hande Axle".

Although Xiangli Engine is far inferior to Weichai, it is at least a second-tier manufacturer.

It can be said that in the field of heavy trucks in China, except for FAW, Dongfeng, Quancheng Heavy Duty Truck and Foton, other truck companies basically have to look at Xianghuo Torch's face.

Even these four have to buy parts from Xianghuo Torch.

Through this series of mergers and acquisitions.

In 2003, Xianghuo Torch, which owned more than 30 complete vehicle and parts companies such as Shaanxi Heavy Duty Truck, Chongqing Hongyan, Dongfeng Off-Road Vehicle Co., Ltd., Fast Gear, Zhu Gear, Qi Gear, Hande Axle, etc., had sales revenue exceeding 10 billion Chinese yuan.

There are only two companies in the entire Chinese automobile industry that can compare with Xianghuo Torch.

FAW and Dongfeng.

The revenue of the three companies is about 11 billion Chinese yuan, and the difference is not big.

It can be said that Xianghuo Torch is undoubtedly one of the three giants of China's automobile industry.

Xiang Torch is also the jewel in the crown of Delong Group's industrial assets.

Dozens of companies, big and small, at home and abroad are coveting this declining giant.

When Xu Liang acquired Delong, Xiang Torch was also his biggest target.

To be honest, Xu Liang admired Old Tang very much.

No matter which industry Delong entered, it always aimed at the first place.

Big Three?

Hey, tui.

Grandpa wants to be the boss!

Therefore, after entering 2003, Xiang Torch's expansion is still in full swing.

And it was a big deal right from the start.

580 million Chinese yuan to acquire 75% of the shares of Huaxia Aerospace Brilliance Automobile Co., Ltd.

Who exactly is this Aerospace Brilliance?

Why is it so expensive?

Here we have to mention the arrogant enemy - French auto giant Renault.

In the 1980s and 1990s, Volkswagen, which entered the Chinese market first, made a lot of money here, and envied a number of world auto giants.

Honda, Toyota, GM and other auto giants rushed in.

Renault is one of them.

In 1993, Sanjiang Aerospace Group, which produces light vehicles and heavy off-road vehicles of the Wanshan and Jiangbei brands, established a joint venture with Renault to establish the Sanjiang Renault project in Xiaogan.

The introduction of Renault's "Tawfik" luxury van and other series of models, the total investment of the project is 98 million US dollars, and the annual output of 40,000 light vehicles.

Renault's technical strength is not worse than that of the Germans. "Tawfik" is also a successful model in Europe. The whole cooperation looks promising.

But the proud Gallic rooster is obviously far inferior to the Germans in terms of pragmatism.

Distrusting the quality of Huaxia Industry, it has been unwilling to localize the industrial chain.

The result is that more than 75% of Tawfik's parts have to be shipped from Renault's European factory thousands of miles away.

The high freight and labor costs have led to the high price of Tawfik commercial vehicles.

In contrast, the price of Brilliance's "Sea Lion" is only about 40,000 to 50,000.

Although it is not as comfortable and of better quality as the Trafic, the rugged, cheap, and dual-purpose Sea Lion is undoubtedly more popular.

At its peak, it could sell 60,000 units a year.

In contrast, Sanjiang Renault, which sold 4,000 units in eight years, was directly reduced to scum.

The once golden phoenix has now become a chicken.

As the controlling party, Sanjiang Group also backed off.

It happened that at this time, the rapidly growing Brilliance came to compete with Sanjiang Renault.

One wanted to sell, and the other wanted to buy.

The two sides hit it off.

At the end of 2000, Brilliance reached an agreement with China Aerospace Science and Industry Group to reorganize the China Aerospace Automobile Industry Corporation under the Science and Industry Group into China Aerospace Brilliance Automobile Co., Ltd., with each party holding 50% of the shares.

But the management rights were completely handed over to Brilliance.

From then on.

Renault's mixed-race daughter became a "Hua family woman".

The Trafic model also entered Brilliance's marketing channels.

However, the Tufick model alone cannot even meet one-tenth of the 40,000 production capacity of the Sanjiang Renault project.

Brilliance, which is determined to be the leader of China's passenger cars, is certainly not willing to do so.

So it actively contacted Renault of France, hoping to improve the production line while producing Renault's "Gan Guo" model.

Renault, which is optimistic about the Chinese market, is naturally willing to do so.

After the last failure, Renault was no longer stubborn.

It readily agreed to the localization of the Tufick model supply chain.

The rich supply chain is exactly Brilliance's strength, so the Tufick directly reduced its price by 60,000 yuan, causing a sensation and causing Tufick to sell well in a short period of time.

At the same time, the transformation of the production line is also in full swing, and the introduction of the "Gan Guo" model is also at the final stage.

Just when everything was bright, Brilliance had an accident.

Historical reasons.

At this time, many well-known companies are actually state-owned enterprises.

Lenovo, Haier, Midea, etc., are all like this.

When the grassroots heroes built their enterprises, most of them wanted to break free from the constraints of the upper level and become the boss themselves.

After all, human nature is selfish.

But the upper level is reluctant to give up the local pillar industry.

What if you run away?

Do I still want local employment and profits and taxes?

So, disputes came like this.

Some people are smarter, have deep connections and finally succeed in restructuring the enterprise and take the enterprise into their own hands.

For example, Lenovo.

Some failed, and the founders were kicked out of the company in disgrace.

For example, Brilliance.

There are also those who died together, such as Jianlibao.

After Brilliance founder Yang Rong was kicked out of Brilliance, everything he had before was liquidated, including the Sanjiang Renault project.

At the order of the head office, all the Brilliance middle-level managers stationed in Sanjiang Renault began to withdraw, and Brilliance's restructuring of Sanjiang was completely interrupted.