Yuchai: Competing on "Dual Tracks" to Provide "Green Power"

      Mechanical manufacturing and transportation are the pillar industries of Guangxi. "Once the machine starts, it's worth a fortune." This is a vivid portrayal of

 Guangxi's machinery manufacturing industry. And "smart cars" equipped with "intelligent power" running on "intelligent roads" represent the current and 

future development direction of the transportation industry in Guangxi. As a manufacturer of intelligent power, Yuchai is closely related to these two pillar 

industries. It is leading with technological innovation, competing in both traditional power and new energy power tracks, and providing global customers 

with more "intelligent and green power" made in China.

      In recent years, Yuchai has delivered an outstanding performance in technological innovation: it ranks first in the country in terms of national enterprise 

technology centers, has ranked first in Guangxi in terms of application volume for 17 consecutive years, and has won the first prize of Guangxi Science and 

Technology Award for four consecutive years... Yuchai, with the power of technological innovation, is contributing to the construction of Guangxi into a 

major transportation province (autonomous region, municipality directly under the Central Government) and a strong mechanical manufacturing province 

(autonomous region, municipality directly under the Central Government) that ranks among the top in the country and leads in the west.

A. Traditional Driving Force: Continuously leading technological trends, market tension is increasingly strong

      Recently, the integrated TBOX-T4 controller independently developed by Yuchai successfully simulated ignition start and completed cloud data collection 

through the terminal platform. The successful verification this time marks that Yuchai's integrated TBOX independent controller can effectively support the

 development and verification of new routes for Yuchai's non-road products, enhance the intelligent control level of Yuchai's independent terminals, and 

improve the competitiveness of its engine products.

      On National Science and Technology Workers' Day in 2023, Yuchai showcased its latest scientific and technological achievements, launching China's first

 commercially operational flexible fuel power platform and the country's first batch of National VI second-generation engines that meet the fourth-stage 

fuel consumption standards.

       Yuchai will invest 40 million yuan to reward major scientific and technological projects. It is planned that the rewards for major scientific and technological 

projects will reach 190 million yuan from 2023 to 2025. Over the past decade, Yuchai has led the industry's development with technological innovation, with 

a cumulative R&D investment reaching 10 billion yuan. Every time there is an emission upgrade, Yuchai has been the first in the domestic industry to 

introduce green power that meets national emission standards. It has launched China's first commercial vehicle hydrogen-burning engine, YCK05H, 

achieving a leap from "low-carbon" to "zero carbon" in internal combustion engine emissions.

      Lin Tiejian, chief engineer of Yuchai Co., LTD., said that in recent years, Yuchai has solved many "bottleneck" problems through technological and product

 upgrades, created several national and global first power products, and radiated and driven the entire industrial chain to continuously move towards 

high-end, intelligent and green development, providing more Chinese-made products for global customers.

      Yuchai's sales in domestic segments such as heavy-duty gas tractors, medium and heavy-duty diesel dump trucks, and heavy-duty special-purpose 

vehicles all achieved year-on-year growth of more than triple digits. In overseas markets, Yuchai, leveraging the geographical and open advantages of 

Guangxi, actively collaborates with original equipment manufacturers to intensify efforts in expanding overseas markets, establishes and improves a service 

network radiating the ASEAN market, and expands the sales of overseas engines. From January to September this year, the overseas sales of Yuchai engines 

increased by 25% year-on-year. Among them, the overseas sales of bus power engines rose by 120% year-on-year, and the export volume in Central Asia, 

Mexico and other countries and regions achieved triple-digit year-on-year growth. The overseas sales volume of Tongji Power increased by 73% 

year-on-year. Yuchai Heavy Industry's overseas construction machinery product revenue increased by 119% year-on-year. Jinchuang Company signed a 

large-scale foreign trade contract worth one million US dollars and entered the European market.

      Since 2003, taking advantage of Guangxi's "one bay connecting eleven countries and promoting positive interaction among the east, central and west", 

Yuchai has flourished in the ASEAN market. Its cumulative export sales have soared from 5,000 units to 300,000 units, a 60-fold increase, accounting for half

 of Yuchai's overseas exports. In 2022, Yuchai launched a localized factory project in Thailand, collaborating with domestic strategic clients to go global. 

Based on the latest technology platform products, it aims to achieve localized production, manufacturing, sales and service, taking root in Thailand and

 radiating to ASEAN.

B. New Energy Power: Make all-out efforts to break through and surpass, and contribute to the realization of the country's "dual carbon" strategic goals

      On September 27th, Yuchai Xinlan (Jiangsu) Hydrogen Energy Company officially started operation in Wuxi High-tech Zone, firing the starting gun for 

Yuchai to build a hydrogen energy industry chain and master core technologies for hydrogen production and utilization. At present, in addition to 

completing the technological, product and industrial layout in the fields of hydrogen fuel cells and hydrogen engines, Yuchai has also joined hands 

with Tsinghua University to establish a joint research center to jointly develop low-cost, high-efficiency and high-durability fuel cell technology and 

high-pressure PEM hydrogen production technology, seizing the commanding heights of the international hydrogen energy market.

      On September 28th, the world's first Liugong tractor equipped with Yuchai's 350-horsepower hybrid electric drive continuously variable transmission 

powertrain was successfully rolled off the production line. This tractor jointly developed by Liugong and Yuchai has achieved an innovative breakthrough 

from zero to one, breaking the technological blockade and product monopoly of foreign continuously variable transmission tractors, and will greatly 

contribute to the innovative development of large-scale agricultural equipment in China.

      Over the years, Yuchai has relied on the solid foundation of equipment manufacturing and auto parts industries in Guangxi, actively explored the field of

 new energy power systems, and completed a comprehensive layout of new energy power by focusing on the four major development directions of 

extended-range power, hybrid power, electric drive axles, and fuel cells. At present, Yuchai has fully mastered the core technologies of new energy, and has 

developed and manufactured China's largest power range extender, the world's first power-split plug-in hybrid, and the world's first hybrid electric drive 

continuously variable transmission powertrain (IE-POWER). To become the new energy power system supplier with the most diverse range of new energy 

power system types and the largest market share of commercial vehicle hybrid power in China.

      Zhong Yuwei, senior vice president of Yuchai Corporation, said: From January to September 2023, the sales volume of Yuchai's new energy products

 increased by more than 30% year-on-year. In the future, Yuchai Xinlan Company will focus on the strategic guideline of moving from low-carbon to 

zero-carbon, focusing on hybrid power, making up for pure electric drive, and developing hydrogen energy power. It will further improve the product chain

 layout, enhance the market competitiveness of new energy power with higher-quality products, and expand the new energy power track of Yuchai. 

Contribute to the realization of Yuchai's medium and long-term strategic goals and the country's "dual carbon" strategic goals.

C. Process equipment technology: Replacing guns with cannons, providing support for competing in the "dual tracks"

      No matter how good the genes and technical solutions of an engine product are, if the process technology and equipment level do not keep up, it is still 

impossible to produce first-class products.

      In recent years, Yuchai Co., Ltd. has been guided by digitalization, networking and intelligent manufacturing, and has taken the experience of intelligent 

construction practice as its soft power. Through the high integration of "soft power + hardware", it has continuously maintained a leading level of process 

technology. Among them, by focusing on the development of intelligent numerical control systems, industrial robots, 3D printing, servo control, intelligent 

detection, and precision transmission devices and other intelligent manufacturing equipment, the first intelligent mold-free casting island in China has been 

created. Accelerate the research and development of key process technologies, promote the transformation of products towards high reliability and lightweig

ht, and focus on achieving breakthroughs in areas such as the development and processing technology of high-grade cast iron materials, weather-resistant and 

environmentally friendly water-based paint coating technology, high-reliability full-shaft tightening technology, low-carbon cold testing technology, and the 

application of process big data. Strengthen the construction of process testing capabilities, enhance the industry-leading integrated process development 

testing capabilities covering the entire process of casting, processing and assembly, and cultivate world-class process technology team talents. At the National 

Mechanical and Electrical Enterprise Process Annual Conference held on October 12, 2023, Yuchai Co., Ltd. was awarded the honorary title of "Top 100 

Manufacturing Process Innovation Base".

Yuchai has built a "dark factory" integrating automation, flexibility, informatization, intelligence and environmental protection. It has achieved digitalization, 

automation and unmanned operation throughout the entire process of engine manufacturing, from order scheduling to product delivery. The intelligence of 

Yuchai's equipment is approaching the level of advanced countries in the world, promoting a qualitative leap in Yuchai's product manufacturing capacity.