Wanxiang Qianchao Co., Ltd.
Business Highlights
Financial Overview
| (in million yuan) | FY2009 | FY2008 | Rate of increase (decrease)(%) | Factors |
| Sales | 5,569.89 | 4,848.29 | 14.88% | - Sales increased year-on-year as a result of greater sales to global car OEMs and greater demand in the Chinese market. The Company achieved this by shifting its focus to high value-added products and improving product quality. |
| Operating profit | 312.61 | 290.35 | 7.67% | Decreases in profit were mainly due to the following factors: - Greater increases in material costs |
| Ordinary profit | 353.67 | 372.62 | (5.08%) | |
| Net profit | 300.86 | 327.16 | (8.04%) |
Acquisition
-On March 30, the Group acquired the steering shaft business of U.S.-based DS, a former steering shaft manufacturer in the Timken Group. DS. The new company will manufacture 1 million to 1.5 million steering shafts per year for automakers including DS's existing customers. (From a press release, April 17, 2009)R&D
R&D Facility
| Name | Wanxiang Technical Center |
| Year established | 1994 |
| Overview | -The center conducts R&D activities for all the companies under the Wanxiang Group. -In Nov. 2003, its automotive product laboratory was authorized by the China Quality Certificate Center (CQC) as a contracted CQC testing facility. This enabled the Company to carry out testing of its products based on CCC (China Compulsory Certification) by itself. Qualified products for self-testing include six kinds of automotive components: brakes, drive shafts, CVJ shafts,; universal joints, shock absorbers, and wheel bearings. |
Product Development
-Jiangsu Sunway Precision Forging Co., Ltd. successfully developed a prototype of its new flange shafts it has been developing for use in DSG double clutch gear boxes designed for Volkswagen vehicles. The company initially plans to produce 300,000 sets annually mainly for the Volkswagen Group in China, with the intention of increasing the number to 600,000 sets later to support the worldwide operations of Volkswagen. (From a press release, May 7, 2009)Archives of Past Exhibits
Investment Activities
Capital Investment Projects
(As of Dec. 2009)
| Project | Planned amount of investment (in million yuan) | Investment made in 2009(in million yuan) | Actual Spending by 2008 as a percent of planned amount of investment |
| Constructing a new plant at Hafei | 38 | 13.6 | 90.8% |
| Constructing facility to manufacture carburized bearings (annual production volume: 600,000 sets) | 24.2 | 19.0 | 78.6% |
| Constructing additional facility to manufacture ABSs at Wanxiang Jinggong | 21.5 | 12.3 | 93.3 |
| Constructing the second plant at Huainan | 25 | 0.2 | 130.9% |
| Constructing additional facility to manufacture constant velocity drive shaft assemblies | 1,943.7 | 74.3 | 22.1% |
| Constructing additional facility to manufacture wheel hub units used in passenger vehicles | 1,807.8 | 10.5 | 3.8% |
| Establishing additional facility to manufacture high-performance drive shafts (annual production volume: 600,000 sets) | 166.0 | 2.0 | 56.3% |
| Constructing transmission shafts at Shiyan Factory | 10 | 0.2 | 2% |
| Constructing additional facility to manufacture chassis modules at Hefei Wanxiang Qianchao Automotive Parts | 25.4 | 20.9 | 40.9% |
| Establishing additional facility to make third-generation wheel hubs with ABS sensors at Wanxiang Jinggong | 158.3 | - | 134.5% |
| Constructing additional facility to manufacture precision bearings (annual production volume: 64 million sets) | 480.3 | 10.5 | 11.8% |
| Constructing new plant in Henan Province | 115.4 | 0.11 | 111.4% |
| Constructing new plant at Zhejiang Wanxiang System Co., Ltd., Liuzhou Factory | 10.0 | - | 117.2% |
| Constructing additional facility to make universal joints (annual production volume: 20 million sets) and differential assemblies | 118.0 | 0.4 | 17.23% |