China Passenger Car Association: Light Commercial Vehicle Market Forecast Research Report in September 2022

1. Industry Insights

Auman's new million-car strategy officially released

• On August 28, the "One Million New Aumans Heading to the Future" - Auman's New Million Strategy Conference was grandly held at Foton Motor's headquarters! In 2022, Auman, as one of Foton Motor's strategic business entities, will produce and sell more than 1 million vehicles, becoming the fastest light truck brand in China to achieve 1 million vehicles. At the same time, Auman's "1-5-5-7" new million strategy was released.
• Auman light trucks will deliver the symbolic one millionth and the first of the next one million units to JD.com and SF Express respectively, which is not only a support for long-term strategic customers, but also a demonstration of confidence in the next one million target.

JAC pure electric light truck N75EV passed EU WVTA certification

• On August 30, JAC's pure electric light truck N75EV was once again awarded the European Whole Vehicle Type Approval (WVTA) certificate. So far, the pure electric light truck N75EV can be sold in all European markets, successfully winning the "pass" to the European high-end market.
• After obtaining WVTA, N75EV obtained access certification for sales in the European market. At the same time, most countries outside the EU also recognize EU certification. Therefore, N75EV has broken through the entry barriers in most countries around the world and can be sold, providing strong support for JAC New Energy Trucks to expand overseas markets.

Summary of the financial statements of listed commercial vehicle and parts companies in the first half of 2022

• Profits receivable: In the first half of 2022, affected by factors such as frequent epidemics, rising raw material prices, and insufficient consumption motivation, the commercial vehicle industry sold 1.702 million vehicles, a year-on-year decrease of 41.2%. The revenue and profits of various companies have declined to varying degrees. Overall, exports, new energy, and diversified development are new profit growth points and breakthroughs for companies.
• In terms of R&D: the company's R&D investment is 6% lower than the average of previous years. On the one hand, the National VI R&D investment in 2021 was completed. On the other hand, the terminal consumption momentum is insufficient and consumption has decreased. The reduction in income has increased the profit pressure on the company, which in turn reduced investment.

Policy drives demand for new energy sanitation vehicles to increase

• Under the general background of carbon neutrality, coupled with the particularity of idling operations of sanitation vehicles and the strong demonstration effect, the promotion logic of new energy sanitation vehicles has become more solid and policy support has clearly become stronger.

Trend of miniaturization of new energy sanitation vehicles

New Energy Sanitation Vehicle Product Structure

my country's economy continued to recover in August

• In August, infrastructure and manufacturing investments picked up, and the effects of stabilizing the economy and stimulus policies became apparent. Social financing funds continued to decline, information on corporate and household consumption was still insufficient, real estate continued to decline, expectations were unstable and consumer wait-and-see sentiment was heavy. Exports continued to improve, and the economy continued to recover.

The development direction of warehouse vehicles under the new blue license plate regulations

• Before the new blue license plate regulations, light truck cargo box trucks were a "jack of all trades" vehicle type in the freight industry, between flatbed trucks and vans, and were one of the three main vehicle types in the freight market.
• After the new blue license plate regulations, the application scenarios of cargo trucks have been severely restricted due to the change in cargo volume and the increased difficulty of cargo loading and unloading. They have lost their unique advantages over flatbed and van trucks, resulting in a significant decline in sales and market share of cargo trucks. In the future, light trucks will develop into specialized logistics vehicles.