After systematically analyzing the distribution characteristics and low-end lock-in effect of China's manufacturing industry in the global value chain, some researchers proposed a transition path from four aspects: product upgrading, technology upgrading, function upgrading and cross industry upgrading.

There is no doubt that Weichai has chosen a more complex industrial integration model, and has mastered the right to speak by extending the power chain and building an industrial ecosystem.

Extend the power chain and reshape the value chain

Every step of Weichai's capital operation contains profound meaning and long-term value, so that the capital cannot be traced and the competitors cannot keep up.

In 2005, Weichai acquired Hunan Torch at an exorbitant price of RMB102338 million. Behind the legend, the greater value is the high matching of industrial resources between the two sides. Hunan Torch has Shaanxi Heavy Truck, Fast transmission, Hande axle, and Weichai engine. The gold industry chain of "powertrain+heavy truck" is complete. The value of China's commercial vehicle industry jumped for the first time, and China's heart is more profitable than foreign goods!

Subsequently, Weichai further extended its power system to reshape the industrial chain and value chain. In 2009, Weichai acquired Bordeaux, France, and took the initiative in the research and development of large bore engines, making domestic engines stand at the top of the high value-added industrial chain; In 2012, Weichai acquired Kaiao Group and its subsidiary Linde Hydraulics, integrated "Weichai Engine+Linde Hydraulics", and created hydraulic power assembly for construction machinery and CVT power assembly for agricultural equipment. Weichai's power blood flows to a wider field. In 2016, Weichai helped KaiAo absorb Dematic from the United States, forming a Weichai truck transportation+KaiAo material handling hardware+Dematic system integrated intelligent logistics industry chain, and realizing the transformation from an equipment manufacturing enterprise to an overall solution service provider.

Breaking the system boundary and enabling more industries

"Weichai system" has formed a perfect ecosystem, which can establish the ecological chain of enterprise products and achieve cross industry integration and upgrading.

In June 2022, Weichai will launch ten strategic new engines to restructure strategic businesses such as smart technology, hydraulic transmission assembly, large bore engine, new energy power assembly, marine power propulsion system, energy and power micro grid, service-oriented manufacturing, smart agriculture, smart heavy industry, high-end light truck, etc. Among them, there are not only the extension and upgrading of traditional businesses, but also the integration of traditional industries and new technologies, as well as the transformation of manufacturing industry to service-oriented, which has realized the high-end of the overall industrial structure.

Not long ago, Weichai joined hands with Beidahuang Agricultural Reclamation Group to promote the upgrading of high-end intelligent agricultural machinery and equipment such as domestic high-power tractors and large feeding harvesters, leading the development model of China's smart agriculture; In recent years, Weichai 16M33 generator set has become a reliable source of power for the big data center to escort the big digital era; In the field of new energy, Weichai has also built the industry's most complete fuel cell industry chain, built a new energy power assembly of "battery+motor+electronic control", and redefined a new track leading to future power.

Build endogenous power of global brain activation system

To reach the middle and high end of the global industrial value chain, core technology is the key. The construction of core competitiveness requires scientific and technological research and development capabilities, industry leading talents and core technology secrets. Weichai also continues to build positive research and development capabilities.

On October 30, 2022, Weichai Power Science and Technology Research Institute officially opened, with a total investment of more than 11 billion yuan, forming the R&D layout of "eight institutes and one center".

On October 30, Weichai invested more than 11 billion yuan in the construction of the General Institute of Science and Technology, which was officially launched. The Institute systematically integrates the engine, hydraulic transmission, new energy, electronic control and software, smart agriculture, craftsmanship, future technology and product test center and other "eight institutes and one center", creating a global innovation highland in the power industry and gathering the top talent resources.

In the future, on the new platform of the General Institute of Science and Technology, Weichai's domestic scientific and technological personnel will grow from 10000 to more than 20000, its overseas scientific and technological personnel will grow from 3000 to 5000, and its doctoral team will grow from 500 to 1000, so as to create the strongest brain in the global industry and continue to contribute Weichai's wisdom to the industry.

Weichai has also built a four in one innovation system of "independent innovation+open innovation+craftsman innovation+basic research innovation", which is a state of complementing each other?Editor/Zhao E