XCMG Storytelling Session ④ : Fully Advance into the "Three Highs and One Large" product strategy

In 2002, China's first QAY 25-ton all-terrain crane with independent intellectual property rights was launched.

In 2006, seven XCMG all-terrain cranes ranging from 100 tons to 400 tons were displayed at the Bauma China Exhibition in Shanghai.

In 2013, the independently developed "world's first crane" XGC88000 crawler crane made its perfect debut.

In 2018, the "No. 1 Excavator in China" 700-ton hydraulic excavator was officially rolled off the production line.

Since the beginning of the 21st century, it has been observed that XCMG has been growing and expanding at an astonishing speed. The former local state-owned enterprise has gradually taken center stage on the world stage, playing a symphony of China's construction machinery equipment evolving from following to keeping pace with and then taking the lead.

All of this is precisely attributed to the precise positioning and implementation of the "Three Highs and One Large" product strategy. It was from then on that XCMG ushered in a glorious era of comprehensive independent innovation and promoted the transformation from "Made in China" to "Created in China".

Today, when we look back at history, we will find that the proposal of XCMG's "Three Highs and One Large" product strategy is, on the one hand, a result of The Times, and on the other hand, driven by the innovative spirit inherent in the bones of XCMG people.

In 1998, the introduction of a series of national infrastructure projects and policies encouraging enterprise innovation brought significant benefits, ushering in a spring of development for China's construction machinery industry. However, in 1999, when China and the United States reached an agreement to join the World Trade Organization, the Chinese construction machinery industry, which had long been at the medium and low end of the world, was pushed to the forefront of the international market...

Facing opportunities and challenges, the management of XCMG has a forward-looking insight that in addition to relying on large-scale development, it should also accelerate the enhancement of the core competitiveness of the enterprise. Therefore, under the guidance of national policies, XCMG promptly launched the "Three Highs and One Large" product strategy of "high technological content, high reliability, high added value and large tonnage". At the same time, product quality is listed as the "top priority project of the chairman".

The proposal of the "Three Highs and One Large" product strategy is like injecting a strong heart tonic into XCMG, which has just emerged from its debt predicament, reigniting the passionate vitality of this old state-owned enterprise. At this point, XCMG set its sights on the mainstream model in the market monopolized by international giants - the QAY 25-ton all-terrain crane.

"Too advanced!" The demand is too small! "Chinese users can't afford such high-end equipment!" What Xu Gong people did not expect was that the development of the 25-ton project would draw great controversy from industry experts and various enterprises. However, only Xu Gong people, who had faced the test of "bankruptcy", knew clearly that it was not a matter of developing one or two high-end devices. If the core technology was not broken through, the Chinese crane industry would have no way out but death.

XCMG has successfully developed China's first all-terrain crane with independent intellectual property rights, QAY25

Xu Workers, who have never blindly believed in foreign technologies, have overcome key design and manufacturing technologies such as oil-gas suspension after countless experiments and improvements. In 2002, in the high expectations of XCMG workers, China's first 25-ton all-terrain crane with independent intellectual property rights was launched. This not only broke the high-end monopoly of European and American countries but also resolutely transformed the entire industry towards independent technological innovation.

This time, XCMG proved itself with its outstanding products! Behind these flowers and applause lies the "single-minded" spirit of Xu workers, who are not afraid of heights or the outside world and dare to be the first in the world.

Just when 25-ton cranes were in short supply, XCMG had already set its sights on crane equipment of over 100 tons. In 2006, seven 100-ton all-terrain cranes of XCMG made a collective appearance at the Bauma China Exhibition in Shanghai, once again drawing the world's attention to XCMG.

"Qingfeng II" XCA1600 all-terrain crane

In this way, with the support of policies issued by The State Council to revitalize the equipment manufacturing industry and promote industrialization, as well as incentives for the first set of domestic equipment, XCMG has made steady progress step by step. From a 25-ton crane in 2002 to the birth of the world's largest all-terrain crane of 1,600 tons in 2012, XCMG has traversed a 50-year technological upgrading journey of foreign giants.

The same is true for excavators. In 2018, XCMG once again forged a national treasure. The XCMG 700-ton hydraulic excavator, known as the "No. 1 Excavator in China", was officially rolled off the production line. This colossal product weighs as much as 500 ordinary small cars and holds 52 national patents. It marks China as the fourth country in the world, following Germany, Japan and the United States, to have the R&D and manufacturing capacity of hydraulic excavators over 700 tons. It holds a milestone significance for China's equipment manufacturing industry. It is also another prominent example of China's accelerated implementation of its strategy to become a manufacturing power.

The world's largest tower crane, XCMG XGT15000-600S

It is exciting that up to now, XCMG has owned over 100 major domestic first-of-a-kind equipment, including the world's largest crane, China's largest excavator and China's largest shovel.

It is well known that such research and development often incurs huge costs and sometimes even fails to accurately estimate market returns. However, for XCMG, which shoulders the mission of developing China's construction machinery, it seems that all its efforts are worthwhile.

The world's largest rotary drilling rig XR1600E

Wang Min once said:

I remember a CEO of a well-known Chinese enterprise once said that doing manufacturing is too hard. It's just like farmers growing rice. They sow the seeds one by one and then harvest them one by one. However, I believe that the Chinese Dream of the "Manufacturing power Strategy" is by no means an industrial fantasy of building skyscrapers on the beach, nor can it tolerate the slightest industrial impetiousness. If China lacks such stubborn and persistent people, and manufacturers who can endure loneliness, competitive pressure and global market challenges, China's equipment manufacturing industry will not be able to thrive!

Adversity tempers and refines one's character. Today, XCMG, with its spirit of daring to tackle tough problems and venture into uncharted territories, as well as its single-mindedly focused focus on its core business, has blazed a unique path for strengthening the "core" of China's construction machinery industry. However, this path is also destined to be a long and arduous journey.