Dongfeng Motor Parts And Components Group Co., Ltd. Business Report FY ended Dec. 2014
Business Highlights
Financial Overview
Financial Overiew
-The Company announced that its sales for the 11-month period between January and November 2014 reached CNY 10.82 billion, up 19.6 percent on a year-over-year basis. This is the first time that the company’s sales have exceeded CNY 10 billion. The company is poised to increase its annual sales further to CNY 20 billion by 2020. (From a press release on December 19, 2014)
New Company
-Dongfeng Electronic Technology Co., Ltd., the Company's subsidiary, announced that Dongfeng Visteon Wuhan Automotive Trim Systems Co., Ltd., which is a 50-50 joint venture between DETC and Yanfeng Automotive Trim Systems Co., Ltd., has established a joint-venture company with Grupo Antolin of Spain. The new company is called Dongfeng Antolin (Wuhan) Automotive Trim Co., Ltd. It is capitalized at CNY 20 million, of which 51 percent was invested by Dongfeng Visteon Wuhan Automotive Trim Systems and the remaining 49 percent was provided by Grupo Antolin. The Wuhan facility would produce interior components such as roof trims and door panels. (From an announcement by the Company on January 26, 2015)
-Dongfeng Electronic Technology Co., Ltd., the Company's subsidiary, announced that it would establish a joint-venture company with Bremse Asia Pacific (Holding) to develop, produce and assemble brake products for commercial vehicles. The new company, Dongke Knorr Commercial Vehicle Brake System (Shiyan) Co., Ltd., will be capitalized at CNY 10 million. It would be owned 51 percent by DETC and 49 percent by Knorr-Bremse. (From an announcement by the Company on December 18, 2014)
-Dongfeng Electronic Technology Co., Ltd., the Company's subsidiary, announced that Dongfeng Visteon Automotive Trim Systems Co., Ltd. would establish a wholly owned subsidiary in Yancheng to supply its products to Dongfeng Motor's local plants. The new company would be called Dongfeng Visteon Yancheng Automotive Trim Systems Co., Ltd. Investment in the new subsidiary is expected to reach CNY 50 million. The Yancheng facility would design and sell automotive plastic parts, and would design, produce, and sell other automotive components. Dongfeng Visteon Automotive Trim Systems supplies its products mainly to Dongfeng Nissan, Dongfeng Peugeot-Citroen, Dongfeng Passenger Vehicle, and Dongfeng Honda. (From news releases issued by multiple sources on December 9, 2014)
-Dongfeng Electronic Technology Co., Ltd., the Company's subsidiary, announced that Dongfeng Visteon Automotive Trim Systems Co., Ltd., its subsidiary, and Kasai Kogyo Co., Ltd. would establish a 50-50 joint venture in Dalian, Liaoning Province to develop, produce and sell automotive components. The new company would be called Dongfeng Kasai (Dalian) Automotive Trim Systems Co., Ltd., and would be capitalized at CNY 65 million. Investment in this company is expected to reach CNY 150 million. The joint venture period is 30 years. (From a press release on September 3, 2014)
-Dongfeng Electronic Technology Co., Ltd., the Company's subsidiary, and Knorr-Bremse Asia Pacific (Holding) would establish a joint-venture company to develop, produce and assemble brake products for commercial vehicles in May 2014. The new company, Dongke Knorr Commercial Vehicle Brake Technology Co., Ltd. (temporary name), would be capitalized at CNY 70 million. It would be owned 49 percent by DETC and 51 percent by Knorr-Bremse. The total investment in this project is expected to reach CNY 175 million. (From a press release on May 9, 2014)
Transfer of Shares
-The Company announced that Zhanjiang DENI Vehicle Parts Co., Ltd., its subsidiary would acquire 100 percent of Dongfeng (Shiyan) Nonferrous Casting Co., Ltd., also a subsidiary of DETC. Currently, Dongfeng (Shiyan) Nonferrous Casting is owned 99 percent by DETC and 1 percent by Shanghai Dongyi Auto Trading Co., Ltd. Zhanjiang DENI Vehicle Parts would pay CNY 58 million to DETC and CNY 0.58 million to Shanghai Dongyi Auto Trading for acquiring a 100 percent stake. (From an announcement by the company on November 8, 2014)
Pass the Test
-In January 2014, Dongfeng Motor Electric Co., Ltd., a subsidiary of the Company, announced that its alternators have passed Dongfeng Motor Commercial Vehicle’s TQ2 testing. The commercial vehicle manufacturer’s TQ (Top of Quality) assessment consists of the following three processes: the TQ0 for project planning and product designing; the TQ1 for standardizing dies and tools; and the TQ2 for standardizing production processes. Dongfeng Motor Electric has satisfied the conditions for starting mass-production of the alternators after solving problems pointed out in the TQ0 stage. (From a press release on January 26, 2014)
Awards
-In 2014, the Company and its subsidiaries have received the following awards:
- Dongfeng Behr Thermal Systems Co., Ltd. got "Best Supplier Award" and "Project Management Excellence Award" from Dongfeng Commercial Vehicle Co., Ltd.
- Dongfeng Motor Electric Equipment Co., Ltd. got "Outstanding Supplier Award" from Dongfeng Motor Co., Ltd., "Best Product Support Award" from Dongfeng Cummins Engine Co., Ltd. and "Excellent Supplier Award" from China National Heavy Duty Truck Group;
- Shanghai Fleetguard Filter Co., Ltd. got "Quality Excellence Award" from Dongfeng Commercial Vehicle Co., Ltd and "Best Customer Support Award" from Dongfeng Cummins Engine Co., Ltd.;
- Dongfeng Motor Wheel Co., Ltd. got "Cost Control Award" from Dongfeng Commercial Vehicle Co., Ltd. and "Outstanding Supplier Award" from Dongfeng Motor Co., Ltd.;
- Dongfeng Visteon (Shiyan) Automotive Trim Systems Co., Ltd. got "Project Management Excellence Award" from Dongfeng Commercial Vehicle Co., Ltd. and "Excellent Cooperation Unit" from Dongfeng Automobile Co., Ltd.;
- Visteon (Shiyan) Automotive Trim Systems Co., Ltd. got "Outstanding Supplier Award" from Dongfeng Automobile Co., Ltd;
- Dongfeng Visteon Automotive Trim Systems Co., Ltd. got "R & D Contribution Award" from Dongfeng Passenger Vehicle Company;
- Dongfeng Thomson Thermostat Co., Ltd. got "Cost Win Supplier" from Dongfeng Honda Engine Co., Ltd;
- Dongfeng Electronic Technology Co., Ltd. got "Excellent Supplier Award" from Anhui Hualing Automobile Co., Ltd.