From knock-off old-man's electric vehicles to industrial giant

Chapter 194 Local Government Affairs, Can That Be Called All-In?

The effect driven by Xingchen Motors.

Just look at the current state of Zibo to know this.

The scale of employment, the various industrial chains, and the addition of a battery factory with a capacity of over 10 GWh have brought about a tremendous change, even attracting a large number of talents from universities within the province.

If we can successfully sell new energy vehicles at the price of 300,000 yuan...

That would be a complete leap forward.

The resulting industrial upgrading and market expansion far surpass what ordinary tax revenue can bring.

"President Xu, as you know, Luzhou may not have much else, but when it comes to providing comprehensive support to the companies we value, we never spare a single effort..."

Jiang Xing thought it over and over, and inexplicably felt a little anxious.

I finally decided to be "honest" and speak up.

They practically had "We can go all in" written all over their faces.

This would happen under normal circumstances.

Some people say that the venture capital of Luzhou Industrial Investment is pure all-in bet.

Jiang Xing certainly wouldn't want to hear that.

joke.

Can you call it "all in" when it comes to local government funds?!

They were serious about building an industrial cluster, and they conducted detailed control and research on each venture capital firm.

The new energy vehicle industry chain in Luzhou has been under development for quite some time.

Roughly speaking, there are "JAC New Energy" in the whole vehicle sector, "Guoxuan High-tech + Juyi Power" in the three-electric system sector, "USTC National Innovation" in the sector, and Hefei University of Technology + University of Science and Technology of China in the field of new energy research.

The foundation is there, but JAC's sales volume and influence alone are not enough to support this expectation.

Moreover, Jianghuai's profits have plummeted this year, and there have been high-level personnel changes.

It is even less capable of supporting its position as the local leader in new energy.

Therefore, he now prefers that the stars see this "determination".

In short, whatever Shandong can give, Luzhou can give, and even more!

……

Hear this.

Xu Yi's smile gradually brightened:

"Of course, our next plan is to gradually expand our high-end market to 400,000 or even 500,000 units, and we will also add more models in the 100,000-level range, striving to break through the small goal of 500,000 units in annual sales."

Xingchen Motors still has a large production capacity demand.

The continued positive trend indicates that both the vehicle's positioning and its product strength have gained full market recognition.

Some car companies release "blockbuster" models, but they may only be popular for six months to a year before failing in the ever-changing market the following year.

However, Xingchen Auto's sales increased month by month.

This trend is alarming!
It has a strong tendency to replace BAIC New Energy and BYD Auto as the new leader in the new energy vehicle industry. If Xingchen's next car is successful, it will probably solidify this trend.

In addition to the new 4.0 factory, an even larger battery plant needs to be built.

Xu Yi revealed Xingchen's needs.

The initial and subsequent equipment investment for a 4.0 factory is three to four billion yuan.

The investment cost of a 1GWh lithium battery production line, including equipment and overall costs, is already over 200 million yuan.

The main reason why many new energy vehicle production capacities cannot be increased is that battery production capacity is constrained.

After all, apart from chips, other components can be replaced if they are stuck, but there's really nothing that can be done if battery production capacity is stuck. It's also common for car companies that don't have their own battery production capabilities to sign high-priced agreements with battery manufacturers to grab production capacity.

and so.

The new battery plant is planned to have a capacity of 10 GWh from the outset, with further capacity expansion depending on sales volume.

Moreover, the equipment cost has increased significantly this time.

Xu Yi plans to use more imported equipment to cope with higher precision battery production, and then add customized domestic equipment later.

As for industrial land, we wouldn't mind having a thousand or two thousand acres.

The leaders pondered for a moment, exchanging glances.

This was a surprise, and a mix of trepidation, anticipation, and excitement.

Xingchen Motors' expansion plan is very clear.

Annual sales of 500,000 units, that's already a small goal?

But now Xingchen really has the right to say that.

Most importantly, the Xingchen Battery Plant is just as attractive to the local energy industry in Luzhou as the vehicle manufacturing industry.

"Mr. Xu, we understand you. The company has its aspirations, and the local government also has the corresponding sincerity."

Zhang Zhanyun's next sentence defined the nature of the matter.

……

after an hour.

The two sides reached a preliminary agreement.

They not only enhanced mutual understanding but also made initial connections regarding the conditions and policies that might be implemented in the future.

These include a three- to five-year fiscal rebate period for value-added tax and income tax, a 100% return on the land transfer of 1200 mu of industrial land, a 40 billion yuan industrial fund investment, full interest subsidies on bank loans, R&D subsidies, etc.

In principle, the state's policy boundary regarding "land transfer fee refunds" is that "direct refunds of transfer fees" are strictly prohibited.

but.

Localities also have their own principles.

In Luzhou, the industrial support funds can be used to specifically subsidize the construction and production investment of the Xingchen factory.

This is equivalent to acquiring land at virtually zero cost.

Terms like "customized ready-made land" are negligible default details, ensuring that the industrial land acquired by Xingchen Automotive has "seven connections and one leveling" – namely, on-site water supply, drainage, electricity, communication, gas, heating, road access, and site leveling.

Special construction approvals ensure that Xingchen's factory can be built as soon as it is approved.

Apart from that, the dedicated corporate service team, talent apartments, and settlement subsidies are almost identical to those in Shandong.

It's hard to list them all one by one.

of course.

There are also some restrictions on performance-based betting.

For example, Xingchen Motors must guarantee that after the factory is built, its annual sales volume will not be less than 80,000 units and its tax payment will not be less than 1 billion yuan.

This requirement is almost negligible for the current stars.

Just kidding, even selling batteries externally would cost more than that. Anyway, Xu Yi was tempted.

Luzhou is Luzhou. Judging from this scale, Xingchen Motors' next 4.0 base plan is really about to be finalized.

Even looking at other provincial capitals...

Those who can go all in don't have his advantages.

Those with better conditions than him might not necessarily go all in.

They've shown such sincerity, it's really hard to give a reason to refuse.

……

Xu Yi stayed in Luzhou for three or four days, during which he also dealt with matters related to the expansion of the new Laomanle factory and the overseas logistics warehouse.

To know.

Overseas markets are not limited to Europe and America.

And also Southeast Asia and Indonesia.

To put it simply, the reason why "old man's car" was able to conquer the American redneck population so quickly is mainly due to its consumption downgrade and extremely high cost performance.

If sold to regions like India, Bangladesh, and the Philippines, it would represent a significant upgrade in consumption for the local people.

Furthermore, the geographical environment and climate of different countries overseas are quite complex.

Deserts, Gobi, plateaus, swamps, dense forests, and rice paddies with waterways—this is no joke.

The automotive industries in developed countries are eagerly anticipating these "emerging markets".

The key issue is that locals can't afford it.

Even ordinary Americans now complain that their cars are too expensive and have high operating costs.

Not to mention those who live in poverty below international standards.

Not only are European and American products expensive, but repair costs are also high.

Made in Southeast Asia and India, they're cheap, but the quality is absolutely terrible.

Without additional tariffs, electric vehicles for the elderly have become the best product for export, meeting their needs!

"We still need to optimize and strengthen product quality."

Xu Yi convened an impromptu meeting in the factory's conference room.

"It's not about becoming the king of rolls, the key is to cope with different climates and environments, to achieve all-round competitiveness and adaptability, and to achieve the best product design, understand?"

Liu Shengjun and several senior executives in the factory nodded like chickens pecking at rice.

"Understood, understood!!"

From this overseas campaign, they deeply realized the importance of General Manager Xu's usual focus on quality.

That was absolutely brilliant.

As for overseas markets...

There must be at least twenty or thirty brands that have flocked to Amazon and Alibaba International.

They've come up with all sorts of methods to boost overseas sales.

Finally...

Many foreigners have discovered that those with better performance than Stardust are not as durable, those with better durability are not as cheap, and those with cheaper performance are not as good.

In the end, I still bought their Xingchen electric car.

This completes the loop.

If places like the Philippines, India, and Bangladesh can develop tens of thousands of units for export each year, the combined sales volume would be quite considerable.

Even if old-age vehicles are completely banned from the domestic market by then, it won't matter!
Still halting production?
They might even open production lines overseas!

Liu Shengjun got excited just thinking about it!
Surprisingly, it wasn't Xingchen Motors that first went global.

Instead, it's their Starry Sky electric car.

As a deputy factory manager, I really have to stand up straight now!

……

……

the other side.

For consumers, the cherry blossom pink cat ear version of Starry Mini has finally reached its end of production.

This is an impressive limited edition that generated a lot of buzz online.

With the release of Polestar's battery production capacity, a large number of deliveries have finally begun, allowing the first batch of customers who placed orders to take delivery of their vehicles.

period.

The group that pays attention to this car has changed from being enthusiastic supporters to having mixed opinions.

Some people commented that Xingchen Motors' actions were very "pretentious".

A small A00 car priced at 60,000 yuan is actually subject to limited availability and purchase restrictions.

As for it?
Look at other brands, like Wuling and Chery, they also have pink interiors and they even offer discounts.

"Brothers, today is the first day of Fat Brother's travelogue series. We've arrived in Dujiangyan to check out a popular online restaurant..."

The car behind me is the limited edition of the Starry Night Mini.

After waiting for a month, I finally got my hands on the little pink car I'd been longing for.

In terms of appearance, there's not much to say. Among all A00-class small cars, I would call it the most stylish.

Today I'm going to take this car for a proper mountain drive and then check off our destination.

Yang Li had his assistant set up the camera and record the opening remarks.

This was not a purely commercial project, but rather the beginning of his "travelogue" type of program.

The spacious outdoor environment, the light and shadows near dusk, the mountain scenery along the highway...

The addition of such a unique little pink car creates a striking contrast.

"Friends familiar with Chengdu should know this popular food shop on Puhong Road... That's right, it's the first Fujiwara Tofu shop in China, a one-to-one recreation of the movie scene, and there's even an AE86 parked at the entrance, so this mountain road is jokingly called the 'Little Akina Mountain Road' by netizens."

Yang Li explained.

Taking a Mini to drive in the mountains is quite innovative.

This mountain road is not long, less than 30 kilometers, and usually takes only an hour to travel. According to the Star Mini long-range version, it can really make a round trip.

Paired with the Fujiwara Tofu Shop atop the mountain, and with 181 curves and an altitude of 1500 meters, the flavor of Mount Akina is palpable.

This has made it a popular spot for many trail running enthusiasts.

　I woke up to find the sky had fallen. I'll add another chapter at midnight.

　　
　
(End of this chapter)