Rebirth in 1989: Building a Chinese Technological Empire

Mr. Lu came and personally came to Shenzhen.

In fact, inviting Huasheng Group to invest in YTO was definitely not a whim of Mr. Lu. Mr. Lu has held many meetings during this period and solicited many opinions from above.

In fact, the country is now trying to carry out shareholding reform of state-owned enterprises.

The purpose of shareholding reform is, on the one hand, to introduce some capital and inject new vitality into some state-owned enterprises. On the other hand, it is also hoped that through shareholding reform, more advanced management models and technologies will be introduced, and finally state-owned enterprises will become more competitive.

The shock brought to them by Huasheng Group during this period also made Mr. Lu and others discuss this matter carefully. They feel that if the technology, management model and capital of Huasheng Group are introduced, YTO will develop better and bigger, and the size of YTO will definitely be much stronger than it is now.

Although the shares will be reduced, the plate will be bigger, and the cake will be bigger.

That's why Mr. Lu personally called Xu Huasheng after the product was qualified.

"Boss Lu, these are the various models of engines developed by our Kuafu Power. This is our automotive diesel engine, this is a diesel engine for large equipment, and these models are marine engines..."

After Boss Lu came, Xu Huasheng did not discuss the issue of equity investment with him first. Instead, he took Boss Lu directly to the product exhibition hall of Kuafu Power.

Kuafu Power is an independent power company from Huasheng Power Research Institute. Kuafu Power mainly develops and sells various engines.

From small single-cylinder diesel engines to huge marine diesel engines and even gas turbines, Kuafu Power has researched and has produced many good products.

Especially the diesel engine series, which now has many products. There are even military products, such as the engine on the magic modified 59. Now China has started the research and development of a new light tank. Xu Huasheng provided a lot of information on the Type 15 tank. After this tank is finalized in the future, it will bring Kuafu Power a considerable order.

In the exhibition hall, the technicians of Kuafu Power began to introduce the various data of these products in the exhibition hall to Boss Lu and his party. As the technicians introduced, Mr. Lu and the technicians of the first tractor behind him kept swallowing their saliva.

Advanced, these engines are too advanced. High horsepower, good performance, small size, light weight.

This is more advanced than the German engines that he had seen when he went to Germany for inspection before. These engines are more powerful at first glance. The engines look very delicate, the assembly process is very good, and the pipeline optimization is the best. These designs not only make the quality more stable, but also easier to repair and maintain.

At this moment, these technicians began to think that if these engines are installed on their own products, it will definitely bring a qualitative leap in the performance of their own products.

Power is very important for agricultural machinery, especially large agricultural machinery. If the power is insufficient, there will be a situation where a small horse pulls a big cart. Such agricultural machinery is struggling when working, and the engine is overloaded, which seriously damages the engine life, and the work efficiency will be greatly reduced.

On the contrary, if the power is sufficient, then when working, the engine can work within the most reasonable range, without overloading, the engine life will be longer, and the work efficiency will be higher.

For example, if you use a rotary tiller to till the land, if you don't have enough power, you may only be able to till ten acres of land in an hour. If you have more power and faster speed, you can till 15 or even 20 acres of land in an hour. This is why many large farms in China like to spend money to import those large agricultural machinery from abroad. The performance is really different.

And there are many large agricultural machinery that cannot be produced in China at present, because there are no such excellent engines in China.

Now, these things that Yituo used to dream of are actually available in Kuafu Power, even diesel engines with thousands of horsepower. How can this not make technical people excited?

After understanding various engines, Xu Huasheng took Mr. Lu and his party to see the production lines here, advanced engine production lines, advanced gearbox production lines, and advanced parts production lines.

Although the production capacity of this factory is not too high, the products produced are very complete, and the quality of the products produced is particularly good.

Looking at the advanced CNC machine tools and even some industrial robots on the production line, Mr. Lu and his party were full of envy. This is too advanced. Compared with the production line here, the production line of YTO is just a handicraft workshop. It would be great if YTO had such a production line.

If you want to be good at work, you must first sharpen your tools. Without a good production line, it is not easy for them to produce good products. Even if they can, the efficiency is very, very low.

Background, strength, this is the foundation of Huasheng GroupThe Huasheng Group has such a strong foundation and strength.

With such a strong foundation and strength, what can they use to negotiate shares with others? Face?

Led by Xu Huasheng, Mr. Lu and his party visited many factories. The industrial chain of Huasheng Group is so complete.

The engine is produced by itself, the gearbox is produced by itself, the suspension is produced by itself, the drive shaft is produced by itself, various wiring harness sensors are produced by itself, and even the tires are produced by itself.

Not to mention the tires, even the paint sprayed on the car is produced by itself. The cost of the initial layout of the entire industrial chain is very high, but once the entire industrial chain is built, the advantages in the later stage are very huge. Especially when fighting a price war with competitors, the advantages are even greater.

After a round of visits, Mr. Lu and his party were dejected. It seemed that all the bargaining chips prepared before coming were lost, and they had no confidence at all.

Huasheng Group has money, technology, products, and industrial chain. Facing such a giant, what bargaining chips do they have?

If they want to make a YTO, it only takes a few minutes. They only need to spend some money to build a factory, and they can soon come up with mature products that are much better than YTO products.

For such a company, why should they play with you YTO?

"Mr. Xu, why don't you just go it alone!"

After the group returned to the reception room, Mr. Lu looked at Xu Huasheng and couldn't help saying. This sentence made Xu Huasheng laugh.

But think about it, the current YTO is really like a small workshop in front of Huasheng Group. Apart from the status of a state-owned enterprise, Huasheng Group really has nothing to look up to.

Although YTO is now nominally the most powerful agricultural machinery manufacturer in China. But this is only compared with domestic peers in China.

Originally, the strength of domestic agricultural machinery companies is pitifully weak, and there is no way to compare with foreign giants, whether in terms of size or technology. Even YTO is struggling to survive in the cracks. Even large domestic farms rarely use their products. Even if they do, they only buy a small amount and support them as a friendship.

Last year, YTO's sales barely exceeded 100 million yuan, and that's in RMB. This is sales. If you think about the price of YTO's products, you actually don't sell that many products. All the large and small agricultural machinery together only sell a few thousand units a year.

This is the current situation of YTO. With such a YTO facing the size of Huasheng Group and the impact of Huasheng Group's technology, it is understandable that Mr. Lu can say this. After all, the gap is too big.