Yuchai halts engine production intermittently

Shanghai, December 10 (Gasgoo.com) Guangxi Yuchai Machinery Limited Company (GYMCL), China's leading diesel engine manufacturer, has halted production intermittently since October, cheshijie.net said today.

Analysts said the independent engine companies would face tough times in the future amid industrial chain integration.

In October, China saw commercial vehicles output drop 3.05% and sales down by 9.30% to 185,000 units and 177,200 units respectively, reporting three successive monthly fall both in output and sales, according to the official data from China Association of Automobile Manufacturers. The heavy duty truck (including incomplete vehicles) sold 16,238 units in October, down 32.96% year on year.

The engine sales are closely related to vehicle sales. Top diesel engine companies in China have felt the impact of auto market downturn. The Yuchai, Weichai, and Yunnei all saw declines in output and sales. Statistics showed that engine manufacturers sales fell 17.82% to 132247 units in October. Yuchai, No.1 engine-maker by sales, sold 29,582 engines in October, down by 25% month on month. Nine suffered sales declines among the top ten engine makers, except that Dongfeng Chaoyang Diesel Co posted 40% growth.

Li Jimin, an engine professor from Tongji University, said that it’s hard to say the independent engine makers are facing a tough prospect, because every company has big pressure amid crisis. It is a time to see how the companies to operate flexibly.