On February 6, 2018, the Ceremony of Completion of Main Works of Phase I GAC Motor Xinjiang Project with the theme of “A New Wonder in Xinjiang” was held in Xinjiang Branch of GAC Motor in Urumqi Economic and Technological Development Zone (Toutunhe District).
Xinjiang Factory of GAC Motor is the first project in Xinjiang that is invested by Chinese independent brand passenger vehicle manufacturer. By actively responding to “The Belt & Road” Initiative and adhering to such ideas as “Made in China 2025” and “Industry 4.0”, GAC Group builds this smart factory characterized by high efficiency, good quality, energy conservation and environment friendly.
About 200 persons attended the event, including Xu Hairong, Member of the Standing Committee of the Party Committee of Xinjiang Uygur Autonomous Region, Yasheng Sidike, Deputy Secretary of the Urumqi Municipal Party Committee and Mayor, Li Xuedong, Deputy Secretary of the Party Group and Director of the Department of Housing and Urban-Rural Development of Xinjiang Uygur Autonomous Region, Gao Feng, Member of Urumqi Municipal Standing Committee and Standing Deputy Mayor, Liu Yuexing, Member of Urumqi Municipal Standing Committee and Secretary General, Wang Zaihua, Deputy Commander of Command Center of Guangdong’s Aid to Xinjiang and Deputy Commissioner of the Administrative Office in Kashgar, Chen Gang, Secretary of the District Committee of the Urumqi Economic and Technological Development Zone (Toutunhe District), Zhang Junxiang, Deputy Secretary of the District Committee of the Urumqi Economic and Technological Development Zone (Toutunhe District), Director of the Administrative Committee and District Governor, Feng Xingya, President of GAC Group and Board Chairman of GAC Motor, Wu Song, Standing Deputy General Manager, Yu Jun, Deputy Director of the Executive Committee of GAC Group and President of GAC Motor and representatives of dealers, suppliers, media and relevant organizations.
(Group Photo of Xu Hairong (5th on the left), Yasheng Sidike (4th on the left), Li Xuedong (3rd on the right), Gao Feng (3rd on the left), Wang Zaihua (2nd on the left), Chen Gang (1st on the left), Feng Xingya (4th on the right), Wu Song (2nd on the right), Yu Jun (1st on the right)
Urumqi Civil Construction Investment Co., Ltd. purchased 100 Trumpchi cars to serve urban construction of Urumqi. With the completion of Main Works of Phase I GAC Motor Xinjiang Project, it will provide a new engine for the productivity acceleration and high-quality development of GAC Group, and further increase the market share and brand influence of Trumpchi in Xinjiang and Northwest China.
Deepen Strategic Layout along the “Belt & Road” and Form New Engine of Capacity Expansion
The report of the Nineteenth National Congress points out: We shall focus on the “Belt & Road” construction, attach equal importance to introducing in and reaching out, adhere to the principle of achieving shared growth through discussion and collaboration, strengthen open cooperation on innovation ability, and form an open pattern of international integration and reciprocal benefit of east and west China.
In building and developing the “Belt & Road” real economy and industrial support, GAC Group actively responds to the national call and relied on Xinjiang’s unique policy and geographical advantages. In line with the natural bond and market demand of the Silk Road Economic Belt and abiding by the standard of innovation drive and sustainable development, GAC Group seeks the development of the project in Xinjiang with the forward-looking and innovative strategies and actions.
With the completion of Main Works of Phase I GAC Motor Xinjiang Project, it will further enhance the capacity of GAC Group, consolidate and expand GAC Group’s market share and brand influence in northwest China and give more dynamics to the efficient and high-quality development of GAC Group’s proprietary brands.
Yasheng Sidike, Deputy Secretary of the Urumqi Municipal Party Committee and Mayor points out: “the successful completion of Main Works of Phase I GAC Motor Xinjiang Project symbolizes that GAC Group and Urumqi have taken another solid step with respect to cooperation on new energy and advanced equipment manufacture. The Party Committee and Government of Urumqi will consistently provide superior and efficient service for Trumpchi brand development. I hope that GAC can strive to present the project as northwest China’s first-class and domestic leading auto production base. Besides securing better corporate development, I expect that the project will make an important contribution to accelerating the high-quality development of the provincial capital city and promoting social stability and everlasting peace. Both Parties will jointly build the broad prospect of cooperation and win-win scenario. ”
(Feng Xingya, President of GAC Group and Board Chairman of GAC Motor is Delivering a Speech)
Feng Xingya, President of GAC Group and Board Chairman of GAC Motor stated, “GAC Motor Xinjiang Project is an important measure of GAC Group to implement the Party Central Committee’s and the State Council's decision on the deployment of the work of assisting Xinjiang and “The Belt & Road Initiative” as well as the continuation, deepening, and innovation of the GAC Group's efforts to actively promote industrial assistance in Xinjiang. It assumes the important responsibility of GAC to build an important vehicle base in the Northwest region and open up the strategic layout of domestic and international markets. GAC Group will closely focus on the overall situation of the national industry for aiding Xinjiang and uphold a lofty mission of presenting the project as an example for industrial cooperation between Guangdong and Xinjiang”
GAC Motor Xinjiang Project was established in March, 2016 and started construction in March, 2017. It takes 8 months to complete phase I main works. The project covers a land area of 330,000 m2. In accordance with the idea of “market oriented, one-time planning, progressive implementation, small input, quick output and rolling development”, the project will be completed in two phase. Phase I involves an investment of RMB 1.087 billion and the scale of output will be 50,000 units/year; based on the market demand, the phase II can be expanded to 100,000 units/year. Phase I project will produce the star model Trumpchi GS4, and other star models will be introduced based on market demand. The completion of Main Works of Phase I Project is another milestone of GAC Trumpchi development. Taking the opportunity of Xinjiang project, GAC Trumpchi will proactively explore markets along the “Belt & Road”, lay a solid foundation for achieving Trumpchi’s production and sales scale of one million units and accelerating Trumpchi brand’s progress to go global. Since the project initiation, it has received great attention and forceful support from governments of Xinjiang Uygur Autonomous Region, Urumqi City and Urumqi Economic and Technological Development Zone (Toutunhe District). Adhering to the principle of achieving shared growth through discussion and collaboration, GAC Trumpchi continues to deepen its economic and technical cooperation with local governments and enterprises. Besides, it strives to foster a new type of industrial eco-community and build an industrial value chain that integrates upstream and downstream strategic partners such as suppliers, distributors, R&D institutions to achieve mutual benefit and win-win results. While bringing more high-quality products to the market in the surrounding area, GAC Trumpchi will also bring advanced management and manufacturing experience to the local area, and provide more employment opportunities for the local area and proactively make contributions to stabilizing and prospering Xinjiang and creating value for local residents.
Build Another Smart Manufacturing Benchmark Factory, Provide New Impetus for the High-Quality Development
(Xinjiang Factory is another GAC Group’s smart factory characterized by high efficiency, good quality, energy conservation and environment friendly.)
Based on the principle of “inheritance, improvement, and innovation”, GAC Group's Xinjiang factory continued its breakthrough innovation by fully summarizing the construction experience of its factories in Guangzhou and Hangzhou. Assembly workshop took the lead in adopting intelligent mobile robots to realize integrated accompanying decking, which greatly improved the space utilization rate of the workshop; at the same time, flexible production is achieved through the introduction of high-precision intelligent assembly coating robots, combined with centralized liquid supply and combined filling equipment; AGV trolleys and efficient logistics mode help reduce labors and achieve lean production; the key torque points adopt high-precision electric tightening servo technology, securing the assembly quality together with the big data production information system. GAC Group’s world-class advanced production workshop and process technology has been formed, which is characterized by the comprehensive visualization, information technology, digitalization and lean production.
(Leaders and Guests Witness Vehicle Delivery Ceremony)
Thanks to the high quality supply level, GAC Group's product quality consistency, reliability, and excellent strength of quality control have been highly recognized. Recently, the GAC Group’s own brand Trumpchi won the authoritative certification of “2017 Guangdong Provincial Government Quality Award” following the five consecutive champions of Chinese brands by the JD Power Initial Quality Research (IQS). It successfully shaped the new mode of high-quality development of the Chinese auto industry.
Robust Production and Sales Help GAC Group to Achieve a New Development Height
GAC Group’s car production and sales in 2017 achieved a historical new high, with the yearly production and sales both exceeding 2 million units, a year on year growth of over 20%. The self-owned brand’s production and sales exceeded 0.5 million units, a year on year growth of over 30%. Business plans were fully completed. In January, 2018, the production and sales of the vehicle was respectively 186,400 units and 210,100 units, a year on year growth of 27.42% and 25.11% respectively.
With respect to self-owned brands, cumulative sales of GAC Trumpchi in 2017 reached 508,600 units, a year on year growth of 37%, far above the average industrial level and achieving continuous high-quality and efficient growth. In January, 2018, GAC Trumpchi’s sales were 61,231 units, a year on year growth of 32.3%, creating a monthly sales record in Trumpchi’s history. Such momentum gives a good start for achieving the sales target of 700,000 units in 2018.
(Presence of Trumpchi Lineups)
In 2018, GAC Group will fully promote the construction of key projects, advance the construction of GAC’s Industrial Park for Intelligent and Connected New Energy Vehicle, seek the breakthrough of new energy business; accelerate the development of new business modes, improve overseas strategic planning and improve global resource allocation capabilities; secure brand development and foster corporate culture. GAC Group will go all out to complete the annual objectives and achieve "co-creation, co-building, sharing". We will strive to ensure the year on year increase of car production and sales by more than 10% in 2018, and that of the self-owned brand byover 20%. The completion of Main Works of Phase I GAC Motor Xinjiang Project will lay a solid foundation to achieve Trumpchi’s objective of production and sales of one million units as well as GAC Group’s objective in 2018.