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On July 1 of this year, the National IV emission standard for motor vehicles will come to an end. However, for many truck manufacturers, it is very tangled. The implementation of the National IV Standard will bring about a 10% increase in costs. This will undoubtedly worsen the slowdown in sales of China Card and heavy truck companies. During the two sessions of the National Committee, Yu Ping, chairman of the board of directors of Guangxi Yuchai Machinery Group and chairman of Guangxi Yuchai Machinery Co., Ltd., proposed that the country can give subsidies to truck companies to offset the increase in costs caused by the implementation of national IV standards. So, can the state give these companies subsidies? Will the National IV Standard be implemented successfully throughout the country?
Due to the recent pressure of hazy weather, on March 1 this year, Beijing took the lead in implementing the Beijing V standard that is equivalent to the National V emission standard. In the same way, it was reported that the national standard that might have been postponed was implemented on July 1. The reporter learned that for commercial vehicle manufacturers, implementing the national IV standard is very tangled. “The pollution of diesel vehicles is much higher than that of gasoline vehicles. Moreover, the diesel engine is a little bit problematic and it will emit black smoke! Although China’s diesel vehicles do not have many gasoline vehicles, its pollution is very serious. Therefore, it is necessary to save energy. The reduction of emissions from diesel vehicles is key!†said Cui Xincun, an energy expert at Huazhong University of Science and Technology.
“Actually, as early as two years ago, the country had the intention to implement the national IV emission standards for diesel engines nationwide. However, the reason for pushing it again was because many of the commercial vehicle manufacturers’ exhaust gas treatment technology was not available at the time and it was difficult to upgrade the technology. According to the director of the motor vehicle sewage monitoring center of the Ministry of Environmental Protection, Tang outlines to reporters.
It is understood that the National Ministry of Environmental Protection has planned to implement IV emission standards for commercial vehicles nationwide on July 1, 2011 and January 1, 2012, but the company’s technical reserves and oil quality problems have been postponed twice. "This time will not be postponed again. It will be implemented on July 1 this year," said Tang Outline. According to Tang Outline, at the end of 2012, a meeting convened by the China Internal Combustion Engine Industry Association also shouted a slogan "National IV emissions, we are ready." "The domestic mainstream automobile companies and engine companies have attended the meeting. Everyone said that there is no problem with product preparation and production preparation."
Subsidy is difficult to set
Although technical problems have been solved, the cost of medium- and heavy-duty commercial vehicles will increase due to the addition of relevant tail gas treatment equipment at the rear of the truck after the implementation of the national IV standard. Therefore, during the two sessions of the national Can give subsidies to truck companies to offset the cost increase caused by the implementation of national IV standards.
According to Fuping, from State III to State IV, it is estimated that the cost of medium-sized vehicles will increase by 20,000-30,000 yuan, the cost of heavy trucks will increase by 30,000-40,000 yuan, and the bigger and heavier the vehicles, the higher the cost to be increased. . "At present, our diesel commercial vehicle manufacturing enterprises generally adopt the selective catalytic reduction (SCR) technology in the technical solutions from the country III to the country IV, and use the urea solution to treat the nitrogen oxides in the exhaust gas. With the addition of these equipment, the cost will increase. The cost of a medium- and heavy-duty truck with a cost of several hundred thousand will increase by about 10%," Ren Diansheng, deputy director of FAW Jiefang Automobile Factory, explained to reporters.
“Especially medium-heavy duty truck III products are mostly mechanical pumps, and the actual implementation of IV will face the cost pressures of switching electronic fuel injection systems and increasing exhaust after-treatment systems. Engine manufacturers and OEMs are facing huge Cost pressure." Fuping believes that "if there is no subsidy, the increase in costs will eventually be passed on to consumers, resulting in the growth of freight rates that will affect all aspects of economic activities and will also affect the level of prices."
In this regard, Du Fangci, an adviser to the China Association of Automobile Manufacturers, believes that the state will not subsidize Chinese and heavy commercial vehicle manufacturers. “The state will not subsidize enterprises because of technological innovations.â€
In fact, in addition to the increase in costs after the promotion of State III or State IV, in the past two years, the days of commercial vehicle companies have not been better. According to data released by the China Association of Automobile Manufacturers, sales of commercial vehicles, especially medium and heavy trucks, have continued to decline since 2011. In 2012, among commercial vehicle models, the performance of the truck market remained sluggish, with a total of 3.3038 million units sold, up from the same period last year. A decrease of 6.80% resulted in a decrease of 27.78% in heavy trucks. The increase in cost is undoubtedly worse for commercial vehicle manufacturers.
However, some people still believe that as the price of bicycles will certainly rise after the Ascension IV, there will also be a short-term increase in sales of medium- and heavy-duty trucks as the country III and the country IV alternate. "Sales will certainly rise. It is estimated that around May and June of this year, just like the Beijing limited-edition shakes, everyone will rush to buy cars on the threshold of the limit." Wang Chunyan, sales manager of China Heavy-Duty Truck Group, told reporters.
Light truck implemented into suspense
The reporter learned that although the emission standards for medium- and heavy-duty commercial vehicles will appear to have no suspense on July 1 this year, the escalation of emission standards for light commercial vehicles still has certain suspense. “The current problem is light diesel engines, because the SCR's post-processing devices are relatively large, so it is not very easy for light vehicles to install. In addition, from the experiments done by various engine companies, heavy-duty diesel engines are basically used 350PPM of diesel, while light diesel engines use 50PPM of diesel." Tang outline.
Tang outlines that if 50 PPM of diesel cannot be supplied on July 1 this year, these light diesel engines will have to re-prepare products and re-do 350 PPM diesel tests, all of which will take time. Ren Diansheng told reporters: "As a result of FAW's liberation, we are now implementing the National IV emission standard on light trucks, so there is no technical problem, but it is not easy to say whether the oil can meet the standards. The light trucks and diesel that we exported to Brazil are all direct. Shipped from Beijing."
As a matter of fact, besides the technical problems that led to the implementation of China IV standards, the quality of oil products is an important reason that restricts the implementation of delays in the implementation of light commercial vehicles and medium and heavy commercial vehicles.
Tang outlines that the current state regulations stipulate that the emission standard for diesel fuel for vehicles is 350 PPM or less, and that for ordinary diesel fuel is 2,000 PPM. However, in fact, there are many auto gas stations that do not supply diesel for vehicles and are supplying regular diesel. "Moreover, some gas stations don't specify whether they are diesels for vehicles. In fact, they provide 2000 PPM of diesel." Tang outlines that the state should strictly regulate and enforce the law, for filling gas stations, especially on the highways. Gas stations can only provide vehicle diesel.