Reborn in 1982: I Became the Richest Man by Repairing Cars

Chapter 164 1992, a brand new beginning

Major factories such as Shanghai Volkswagen, Shanghai Gearbox Factory, Beijing Tractor, and Beijing No. 1 Machine Tool Factory have become Jiang Hui's clients.

This not only enabled the rapid development of the parts and components industry, but also provided numerous opportunities for Wudaoying Equipment Factory.

After all, expanding production scale will inevitably require the introduction of new equipment.

Adhering to the principle of doing all the work that can be done by oneself, Wudaoying Equipment Factory has developed very rapidly in the past two years.

As a result, Jiang Hui was able to supply an increasing variety of components.

Although the production volume of various parts other than gears is not very high.

However, steering gear, wheel bearings, gearbox bearings, gearbox gears, transfer case gears, shock absorbers, stabilizer bars,

Jiang Hui has been venturing into parts such as suspension springs, subframes, control arms, and even calipers and pistons.

Frankly speaking, a few years later, in 1992, Jiang Hui's Wudaoying Parts Factory and related factories had become the largest private auto parts factory in China.

The number of people working in Jiang Hui's factories through various means also exceeds 1000.

Under these circumstances, Jiang Hui naturally began to take new actions.

"Brother Yuanwu, I'm preparing to officially enter the motorcycle industry. Once the motorcycle industry develops, I'll start manufacturing motorcycles."

The spring of 1992 was a time that Jiang Hui looked forward to.

Having accumulated strength over the years, we can finally go all out.

"There are quite a few motorcycle manufacturers in China, and the competition has been quite fierce in recent years."

"I'm not worried about the factory not being able to produce motorcycles; I'm worried about the motorcycles that are produced not being able to be sold."

Lin Yuanwu, now a father of two, is becoming increasingly mature and composed.

In other words, Jiang Hui had not yet established the group company, otherwise Lin Yuanwu would definitely be the best candidate for the group's deputy general manager.

Definitely the number two.

"Your concern is valid. If you want to expand your market in the country, you can only rely on low prices."

"But I didn't want to use that method, so Jianghui Motorcycle Factory's products were initially mainly targeted at overseas markets."

"And in order to launch the first product quickly, I plan to directly copy the Changjiang 750 and restore the classic design of the BMW R71 as a breakthrough point."

Upon hearing Jiang Hui's words, Lin Yuanwu immediately had many questions.

"Imitating the Changjiang 750 is definitely very simple, after all, there are at least 8 to 10 factories in China that can produce this motorcycle."

"Their blueprints aren't exactly secrets; you can even assemble them by buying parts directly from the market."

"But what's the point of us doing this?"

Lin Yuanwu is quite familiar with the domestic automobile and motorcycle markets.

In recent years, Xiao Jiang's repair shop has not only repaired cars, but also taken on motorcycle repair business.

They can even repair some engineering machinery.

Therefore, Lin Yuanwu, who was familiar with the industry, was not optimistic about the sales of the Changjiang 750.

Most major provinces in China can produce this type of motorcycle. How could Jianghui Motorcycle Factory possibly steal market share from others with its similar products?

Do you really think that local protectionism is a joke these days?

"It's normal for you to have this question, but as I just mentioned, our products were initially targeted at overseas markets."

"The Changjiang 750 is a very special product; it is actually a technology and product from more than 50 years ago."

"Back then, BMW in Germany launched the R71 three-wheeled motorcycle, and the Russians took their technology and started production."

"In the 1950s, we imported the technology and production line for this motorcycle from the polar bears."

"So essentially, the Changjiang 750 is a continuation of the BMW R71."

"The BMW R71 was Germany's main military motorcycle during World War II."

"Many European veterans have driven, or at least seen, BMW R71s."

"For those veterans, this is a classic product that evokes a lot of nostalgia."

"I've set my sights on this market, and I'm happy with just taking a slice of this pie."

After Jiang Hui said that, Lin Yuanwu quickly grasped some of the essence of it.

"Due to historical reasons, even if BMW sees a demand for such classic models in the market, it is impossible for them to continue production."

"So you think there's a lot of potential in entering this market?"

"That's right!"

Jiang Hui gave a very definite answer: "Not only will Germany not do it, but Japan will not do it either."

"If these two major motorcycle manufacturing countries don't engage in this, we will actually face very little competition internationally."

Jiang Hui knew that Huaxia Motorcycles had historically made money by relying on this route.

Now, naturally, I need to start earning money in advance.

While many of those WWII veterans from Europe are still alive, we should quickly open up this market.

The sales of the R71 will definitely be high.

Of course, it can't be called BMW R71; it needs to be called something else.

Okay, let's call it J71.

After all, it's Jianghui Motorcycle Factory's first product. If it's called J71, no one will say anything, right?

With this one product, there's absolutely no problem getting the motorcycle factory back on track.

After that, many domestic manufacturers will definitely come to compete for this market.

Jiang Hui doesn't need to waste time here with others; instead, he can continue to explore new markets and products.

After a few years of experimentation, it's about time to switch to the automotive industry.

At that time, Jiang Hui would have an order of magnitude more manpower and funds at his disposal.

"Jiang Hui, various motorcycle factories in China have been producing the Changjiang 750 for many years."

"If this market is really as good as you say, why hasn't anyone gotten involved before?"

Lin Yuanwu's question is one that many people would think of.

However, Jiang Hui's opinion was quite different.

"That's an excellent question. It's essentially a problem of information cocoons."

"Everyone knows that this motorcycle is not an advanced product, after all, it is based on technology and design from 50 years ago."

"Even with some technological upgrades, it certainly can't compare to the new products from motorcycle manufacturers like Honda, Yamaha, and Suzuki."

"Besides, in the past, motorcycle factories basically produced and sold according to plans, and rarely took the initiative to explore the market."

"Even when it comes to expanding into new markets, everyone feels that their products are not competitive and can only be sold in some underdeveloped countries in Asia, Africa and Latin America."

"Absolutely no one thinks they can sell three-wheeled motorcycles to developed European countries."

"That's why we had our opportunity."

Jiang Hui explained it to Lin Yuanwu very seriously.

"Now that you mention it, I do think it could be a good opportunity."

"But exporting motorcycles, that probably won't be so easy, will it?"

Lin Yuanwu's current role is to fill in the gaps and make up for Jiang Hui's mistakes.

So I'll say whatever I'm thinking directly.

There's no need to hide it.

"It's not as difficult as you think. Right now, all levels of government are providing very strong support for export earnings."

"Jiang Yu happens to be working in the foreign trade department right now. With her help, there shouldn't be any problems with the export-related procedures for our motorcycle factory."

The motorcycle industry was one of the first in China to open up to private enterprises.

This is also an industry with fierce market competition.

So what Jiang Hui said wasn't actually wrong.

"So, our biggest problem is finding buyers."

"But this problem isn't a big problem for us."

"European WWII veterans are the best buyers."

As Lin Yuanwu got to this point, he became quite excited.

Although Jiang Hui's business was already quite large before.

All sorts of car parts are being produced.

However, the domestic automobile industry is not yet very developed.

Both Shanghai Volkswagen and BAIC Jeep have very limited annual production.

The total annual production is less than 10 vehicles, and not all of the orders go to Jiang Hui.

So even though Jiang Hui's various factories can produce many parts, their production capacity has never been high.

If these factories were placed in later generations, they would all be considered small workshops.

However, if we want to produce motorcycles, and export them overseas on a large scale...

Even if we don't talk about exporting hundreds of thousands of vehicles a year, exporting tens of thousands a year is still a remarkable scale.

At that time, the number of employees needed by Jianghui Motorcycle Factory alone will exceed 1000.

Not to mention that the development of motorcycle factories will also drive the development of parts factories.

Many of the parts will eventually be manufactured by their own component factories.

This way, cost, quality, and delivery time are easier to control.

Thinking about this, Lin Yuanwu became increasingly excited.

"You're right. In three months, our first J71 three-wheeled motorcycle will officially roll off the production line."

"It will officially appear in the European market in the second half of this year and become a dark horse in the motorcycle market."

Following Jiang Hui's arrangement, the group immediately began to take action.

Although Jiang Hui only officially announced this today, he had already made some preparations.

For example, the site selection for Jianghui Motorcycle Factory didn't need to be redone at all.

We can simply take the large, second-hand factory that we originally bought for Xiao Jiang to modify his cars and use it directly.

Most of the initial components could be purchased directly from manufacturers within the Changjiang 750 supply chain.

It is now 1992, and there are far fewer restrictions than in 1982.

As long as you have money, you can still find many opportunities.

So after several months of hard work, the first J71 rolled off the production line smoothly.

Jiang Hui made some targeted improvements, so its performance in all aspects is a level better than that of the domestically produced Changjiang 750.

Jiang Hui has already made a decision regarding his partners in Europe.

"Lucas, we will jointly establish a joint venture in Munich to be responsible for the sales of Jianghui motorcycles."

"I can make payment three months after the first batch of sample cars is shipped. If sales are not ideal, I can accept returning the cars."

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"This way you basically don't need to take any risks."

Jiang Hui has been repairing cars in the capital for so many years, especially a large number of imported cars, many of which he was responsible for repairing.

Lucas used to be a third secretary at the German Embassy, ​​and he had a lot of dealings with Jiang Hui.

Last year, he gave up his secure job and returned to China to inherit the family business, specializing in trade.

Jiang Hui had known for a long time that the other party's family had motorcycle and car dealership businesses in Germany, so even after Lucas returned to Germany, the two sides did not lose contact.

And now, this relationship comes in handy.

"Jiang, your approach is very interesting."

"The BMWR71 is indeed a very special presence in Europe, especially among veterans, where it is very popular."

welcome."

"But the number is very small. Even an R71 in very poor condition will cost three to five thousand marks, which is about ten to twenty thousand RMB."

"If the car is in good condition, the price goes straight up to more than 10,000 marks, which is equivalent to 50,000 to 60,000 yuan."

"But in China, the cost of producing a J71 that's almost identical to the R71 shouldn't exceed 5000 yuan, right?"

Lucas wasn't stupid either; after listening to Jiang Hui's various introductions, he immediately realized the business opportunity.

As a former embassy staff member, he actually had a fairly good understanding of the situation in China.

He was exaggerating the cost to 5000 yuan, leaving Jiang Hui with a fairly substantial profit.

Otherwise, the production cost of this car would probably be around three thousand yuan.

However, since the two sides were going to cooperate, and they had a decent relationship before, they could be considered friends.

So he exports it at a price of 5000 yuan, and then sells it in Europe for the equivalent of about 15,000 yuan.

He felt there was still a significant market demand.

After all, for the same price, you can only buy a BMW R71 in very poor condition in the industry, or even if you have the money, there are no cars available.

Now that there are J71s that look almost identical to the originals available for everyone to choose from, it will definitely appeal to some veterans.

With an export price of 5000 yuan and a final selling price of 15,000 yuan, even after deducting costs such as freight and tariffs, the profit margin is still acceptable.

The key is that Lucas knew there were many WWII veterans in Europe, and if tens of thousands of people bought them, this business could make a fortune.

He certainly won't miss it.

"Yes, so I think this has potential."

"Our factory has made targeted improvements to the J71 to cater to the preferences of European customers, while the exterior design is a complete restoration of the BMW R71's styling."

"Those veterans will definitely love it."

Jiang Hui said this with certainty, and Lucas also agreed.

Soon, the two sides split up and began to act.

The first batch of 200 J71 three-wheeled motorcycles has also officially begun preparations.

In Europe, Jiang Hui also made a special trip to Munich to handle all the necessary paperwork with Lucas.

Soon, with the arrival of the first batch of prototype vehicles, Lucas officially began his work.

The German motorcycle market is about to experience a different kind of storm.

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