[Gen-AI Analysis] Shaanxi Fast Auto Drive Group Company FY2009 - MarkLines Automotive Information & Gen-AI Platform

Shaanxi Fast Auto Drive Group Company FY2009

Business Highlights

The 2 millionth double countershaft transmission system

-In October 2009, the Company held a ceremony to celebrate the production of its 2 millionth double countershaft transmission system. Due to this transmission, the Company has gained more than an 80 percent share of the 8-ton and over heavy-duty truck market in China. The Company exports these transmissions to numerous countries and regions worldwide, including the U.S., Australia, Eastern Europe, South America, and the Middle East. And the company boasts the world's largest volume in terms of both production and sales of heavy-duty transmissions for three years in a row. (From a press release, October 12, 2009)

Completion of aluminum alloy die casting facility

-The Company completed its aluminum alloy die casting facility at its Baoji Plant. As a result, the facility will become the most advanced production plant performing aluminum alloy die casting operations to make transmissions, as well as becoming one of China's largest plants having the capability to perform lost-foam casting operations. (From a press release, March 5, 2010)

R&D

<Recent developments>

-Heavy-duty vehicle, mechanical automatic transmission (AMT)

<R&D structure>

- The Company's total amount of R&D spending per year is equivalent to approximately 5 percent of its overall sales.
- The total number of R&D staff as of December 2008 is 500

R&D Facilities

Facilities

Gear & Driveline Research Institute

Processing Research Institute

Product Test Labs

Multi-condition test road for trucks

New facility (under construction)

Facility	Remarks
Shaanxi Fast Auto Drive Engineering Technology Research Center	- This facility is being constructed jointly with Jilin University and Shaanxi Industrial Technology Research Institute

-In recent years the Company has invested more than three billion yuan in technical innovations and R&D. Shaanxi Fast Auto Drive Engineering Technology Research Center, which is currently under construction, will be equipped with more than 40 laboratories. The Company is investing up to 600 million yuan in the project. (From the Company's website, July 30, 2009)

Investment Activities

Major investment projects

Project	Planned amount of investment	Status (as of Dec. 2009)
Building automatic forging lines in Caijiapo, Baoji City	400 million yuan	The facility is completed
Establishing the Shaanxi Fast Auto Drive Engineering Technology Research Center	600 million yuan	This facility is under construction
Establishing aluminum alloy die casting facility at Baoji Plant	100 million yuan	This facility is completed

-According to a recent announcement made by an official of the Company, the Company is investing 300 million yuan in plants and equipment this year and will further increase spending on R&D activities by another 300 million yuan. It has already placed a large order for German testing machines and equipment. (From a press release on March 10, 2009)