Yuchai presents the world with a green power brand
In the bidding process for the third batch of National IV engines for Beijing’s buses, held ahead of the Olympic Games, Guangxi Yuchai Machinery Group Co., Ltd. secured 100% of the winning bids, capturing all contracts in one go. Yuchai’s nearly 2,000 National IV engines won three rounds of bids, accounting for 40% of Beijing’s 4,200 Olympic buses and breaking the dominance of imported engines. It is reported that compared to National III vehicles, National IV engines reduce particulate emissions by 80%, while offering better power and fuel efficiency.
Why has this diesel engine manufacturer, located near the southern border and with a long history of success, managed to stand out? Recently, a reporter visited Yuchai Group in Yulin City, Guangxi, to uncover the background behind this ethnic enterprise's unexpected rise.
**Providing Green Power for the Olympics**
As early as 2001, when Beijing won the bid for the Olympics, it promised that air quality during the Games would meet national standards and World Health Organization guidelines. The Beijing Bus Group, being the main player in public transport, is a major contributor to pollution, directly affecting Beijing’s air quality. Under the guidance of the State Environmental Protection Administration, various measures were taken to improve air quality. Zheng Shusen, chairman of the Beijing Public Transport Group, stated that 4,200 special buses would be put into use during the Olympics.
The requirements for Olympic vehicle engines are extremely high—reliable quality, long service life, and compliance with national standards. They must also have testing reports from authoritative institutions and usage records. Li Jing from Beijing Bus Group noted that after a strict qualification review, over 130 companies met the criteria, with many domestic brands securing a significant share.
In 2008, Beijing fully implemented National IV emission standards. Bidding for new IV vehicles and parts began in early 2007. Yuchai secured over 2,000 orders in three batches, all delivered in time for the Olympics. Their success rate jumped from 18% in the first batch, 32% in the second, to 100% in the third. According to Chen Xunan, Vice President of Yuchai Sales Company, Yuchai’s engines are stable, environmentally friendly, fuel-efficient, and offer excellent performance and durability.
Guo Deming, Secretary-General of Yuchai Group, explained that the company’s chairman personally visited Beijing during the first batch of bidding. He presented the technical capabilities, supply chain, and service support of Yuchai’s National IV engines to the Beijing Public Transport Group. This effort helped Yuchai become the only domestic engine manufacturer to win the first batch, breaking the dominance of imported engines. Yuchai then quickly initiated technology integration, supply assurance, and after-sales services. Now, the company is providing comprehensive support for the Olympics, including maintenance teams to ensure everything runs smoothly.
**"Green Development" Is the Way Forward**
Today, with more cars on the road and fewer blue skies, engines—often called the "heart of the car"—are inevitably responsible. To improve the environment, vehicles need a "green heart," said Yu Ping, Chairman of Yuchai Group, during an interview at the company’s Power Building. His words reflected a deep sense of responsibility and concern for environmental issues.
"If we don't stick to green development, there will be no future for the engine industry," Yu Ping emphasized. "Green development" is not just a slogan but a strategic path Yuchai has actively chosen after learning from past experiences.
In 2005, Yuchai introduced the concept of "green development, harmony, and mutual benefit" and elevated it to a core strategy. At the 2007 Shanghai International Engine and Manufacturing Technology Exhibition, Yuchai showcased nine low-emission, environmentally friendly engines covering automotive, construction, marine, and agricultural applications. Additionally, Yuchai developed a hybrid passenger car model that achieved the performance of a six-cylinder engine using a four-cylinder, reducing urban fuel consumption by about 20% and significantly cutting exhaust emissions.
Yuchai’s "green manufacturing" concept focuses on minimizing waste, loss, and defects across six areas. Through optimized design, improved processes, advanced equipment, and environmental facilities, the company has drastically reduced energy consumption. According to Liang Heping, Executive Deputy General Manager, Yuchai has cut production energy use by 25% annually. The company continues to invest over 25 million yuan yearly in environmental protection, aiming for zero emissions.
**Related Information**
Yuchai is currently China's largest supplier of independent diesel engines, with top rankings in production, sales, and market share. As the world's largest independent diesel engine production base and China's largest producer and exporter of small and medium-sized construction machinery, Yuchai is known as the "Green Capital of China." In 2007, the company saw rapid growth, with engine production and sales exceeding 500,000 units and revenue reaching 18.35 billion yuan, up 29% year-on-year. For the seventh consecutive year, Yuchai ranked first in industry production and sales. Its brand now covers over 1.5 million units, with 13 series and more than 2,000 models available. The brand value reached 5.336 billion yuan, ranking 24th among China's top 500 machinery enterprises.
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