Why Europe

When Shen Lang saw the news coverage, he felt a huge doubt in his heart.

Unlike the general optimistic sentiment of domestic media, he believes that the electric vehicles made in China have superior performance and will definitely conquer the world as long as they go overseas. Shen Lang is very unhappy about this. He does not think that the electric vehicles group in China has the strength to take over the European market.

With this doubt, Shen Lang and his classmates took the high-speed train together and returned to Shanghai. After throwing their luggage in the dormitory, he washed his face and immediately came to the teacher's office. Through the floor-to-ceiling window, he saw Luo Jia discussing something with software president Li Moran.

Not long after, Li Moran left, and Shen Lang knocked on the door of Luo Jia’s office.

"You're back." Luo Jia said with a smile, "There is good news that the software center has completed the BI project. Next, they will start to march towards the last fortress in general industrial software, EDA."

Shen Lang was slightly stunned and showed joy. This was indeed good news. Edy is semiconductor design software, specially used to design various chips and processors. Once the Edy project is completed, Xingchen Technology will naturally enter the semiconductor field.

The five general industrial software are the foundation of all industrial software. With these foundations, countless more advanced special software can be extended.

For example, the military designed missile software only requires extracting some modules from the five basic industrial software, and then re-arrangement and optimization.

In short, the five general industrial software are like the foundation of a building. If the foundation has been laid, if you want to build a Chinese-style or Western-style or even a surreal-style building, you only need to add bricks and tiles to the foundation.

Luo Jia smiled and said, "You were in a hurry to find me as soon as you came back. What's the matter?"

Shen Lang frowned, "I can't figure out the matter of electric vehicles entering the European market. It seems to be too risky. After all, Europe is the most competitive market in the world. Volkswagen, BMW, Daimler, Fiat, the logo Citroen and Renault. Not only are these giants headquartered in Europe, but even North American auto groups GM and Ford have actually shifted their focus to Europe."

"The familiar models of Focus, Mondeo, Carnival, GM, and GM are actually designed and developed in Europe. Even Japanese auto giants have made large investments in Europe. The Nissan we are familiar with is actually called Renault, Nissan, Mitsubishi United Group, and is a company that is deeply cooperative with France and Neon."

Shen Lang said a lot of reasons in one breath. After hearing this, Luo Jia said lightly, "Europe is indeed the most competitive automobile market in the world, and we don't have many trump cards. Whether it is Geely, BYD, or Great Wall, they all belong to the global small and medium-sized automobile groups, and their strength is not on the same level as those giants."

"I'm very clear about the situation, but you may have overlooked a detail. This European operation, the distribution and after-sales system used is the Volvo system under Geely. In other words, whether it is Great Wall or BYD's electric vehicles, they are sold in Volvo's stores, and after-sales service is also done by Volvo Group."

Luo Jia gave Shen Lang a little reminder, then stopped saying anything, leaving the space for thinking to Shen Lang himself.

His brain began to think quickly. Although Shen Lang knew the details of the distribution system in the news, he did not think much about it. After Luo Jia's prompt, Shen Lang suddenly realized that this matter was probably not that simple.

Luo Jia glanced at the perpetual calendar on the table, kept a secret, and said to Shen Lang, "The day after tomorrow is October 1st. By then, everything will be clear."

Two days later, on October 1st, a series of news came out of China, shocking the whole world.

First of all, Geely and BYD, Great Wall announced the merger to establish a new company, East Asia Automobile Group.

After the restructuring, the annual production capacity of East Asia Automobile Group will reach an astonishing 10 million vehicles, covering nine major brands, including Geely, Lynk & Co, Volvo, BYD, Lingyun, Great Wall, ey, Lotus, and Proton.

According to the current global ranking, the top three companies are Toyota Group, Volkswagen Group, Renault, Nissan and Mitsubishi United Group. The annual production capacity of the three companies is around 12 million vehicles, and it is difficult to distinguish them. General Group, which ranks fourth, has an annual production capacity of 8.5 million vehicles, which is quite a big gap from the top three.

After the establishment of East Asia Automobile Group, it will surpass General Motors and become the fourth largest automobile manufacturer in the world.

At first, when Luo Jia took the lead in establishing the Huaxia Automobile Alliance, the total production capacity of Geely, BYD and Great Wall was only 4 million vehicles, but now it has increased by two or five times in less than two years, which is a great achievement.

However, before the Chinese people could celebrate, a second piece of news came.

The national team also announced the plan for restructuring the automobile industry. Changan, Chery, GAC, SAIC, Southeast, Haima, JAC, Zotye, Dongfeng, FAW, and BAIC, will officially merge and establish a brand new automobile group, Huaxia Automobile.

Huaxia Automobile Group's production capacity reached 7 million vehicles, ranking seventh in the world after General Motors and Hyundai Kia Group, higher than the eighth place Ford Group's production capacity of 6.5 million vehicles.

Many people who are obsessing with melons do not understand why the production capacity of the national team is only 7 million vehicles after they are combined, which is even less than that of the three major private automobile groups. This is impossible.

However, the fact is so cruel. FAW Toyota, FAW Audi, FAW Volkswagen, these are indeed large automobile factories, but they are all joint venture brands. You can't tell others that you bought a domestic Audi A6.

The real number one automobile in China is just a small car factory, with annual sales of only 200,000 vehicles, and it is still not as good as the fraction of FAW-Volkswagen.

For example, Wuling Group and Wuling Light of the God Car are well-known, but Wuling is a joint venture brand between SAIC and GM, and is not a real domestic product.

As of now, the largest car manufacturer in the national team is Changan, with an annual production capacity of 2 million vehicles.

The military has always been backbone. Changan Automobile is affiliated with the military General Equipment Department. Although it has also established joint ventures such as Changan Mazda and Changan Suzuki, they have never given up on their own brand development. Otherwise, the strength of the national team will be even more ugly.

The second is Dongfeng, one million vehicles, while Chery, BAIC, JAC, SAIC, and GAC all have production capacity of about 500,000 vehicles.

In short, the national team put together the cards they hold and finally raised 7 million vehicles to produce production capacity. Although it was a bit pitiful, at least it was qualified to enter the game.

In addition, Heavy Truck took the lead and jointly established the Huaxia Commercial Vehicle Group, jointly with Jiefang, Yutong, Jinlong, Jiangling, Foton, etc., which mainly manufactures heavy trucks and commercial passenger cars, with an annual production capacity of 3 million vehicles.
Chapter completed!