GAC Toyota builds a benchmark for high-quality development with an open attitude, doing certain things in the unknown era Toyota | Intelligent | Open
Since 2023, the Chinese car market has transformed from a seller's market to a buyer's market, triggering an unprecedented trend of internal competition. Regardless of the level or type of vehicle, there is almost no blue ocean market. The more products there are in each segmented market, the greater the choice for consumers, and the more fierce the competition among manufacturers.
Under the influence of internal competition, the ice and fire of joint venture brands are intertwined
Throughout the entire car market, different characters have different circumstances. Even if a new force in the automotive industry loses money, due to financing and future prospects, everyone still gives time and opportunities. Even though the electrification process of luxury brands is slow, the profitability of the fuel vehicle sector is still strong.
By contrast, the most challenging is the joint venture brands that once dominated the market. They have neither the high gross profit margin of luxury cars nor external financing to squander, and the investment required for transformation is all real money and silver that comes from their own pockets. From the perspective of market demand, mainstream joint venture brands neither have the halo effect brought by luxury car logos, nor can they compete with the reaction speed and execution power of new power companies in terms of roll configuration. Therefore, they are gradually moving towards a situation of "no one interested" in the market - at least not as popular as before.
According to the data released by the China Association of Automobile Manufacturers, most joint venture brands experienced a decline last year. But at the same time, we also see that this joint venture is breaking through the cycle against the trend. In 2022, GAC Toyota's sales exceeded one million for the first time, reaching 1005000 vehicles, a year-on-year increase of 21.4%, becoming the best-selling Japanese brand and setting a new record in brand history. In February of this year, the eighth generation Camry of GAC Toyota once again demonstrated high-quality development with its performance of "one generation, one million vehicles".
In the next million dollar era, GAC Toyota remains unafraid in the face of challenges and changes. The latest sales data shows that its sales in May were 77534 units, a year-on-year increase of 10.7%, maintaining double-digit growth and fully promoting high-quality development. Even more rare is that its intelligent hybrid dual engine model sold over 100000 units from January to May, with the three flagship models selling 31645 units in May, and the proportion of mid to high end models reaching as high as 61%. It can be seen that GAC Toyota has been deeply rooted in the field of hybrid power for a long time and has a wide audience. In terms of technology, performance, stability, reliability, residual value rate, etc., intelligent electric hybrid dual engine is one of the best solutions in the current market.
Technology Inclusion, Strengthening Electric and Smart Tags
Therefore, for GAC Toyota, its strategy in the era of intelligent electric vehicles should not be trapped in the abyss of internal competition. Instead, it should adhere to its high-quality advantages, deepen its joint venture cooperation route, be a friend of time, and ultimately maintain a sustainable development operating model while keeping up with the trend. The good news is that both GAC Toyota and Toyota China have realized the deterministic trend of the Chinese market towards the new four modernizations. Especially for Toyota, it has put down its burdens and continuously developed products tailored for the Chinese market.
Since the beginning of this year, GAC Toyota has launched seven models, including the Highlander, Camry, and Veranda, for the 2023 model year. These are the original advantageous bases of GAC Toyota, which are still being continuously strengthened. It should be noted that the goal mentioned in the national strategy is to achieve 50% of sales of pure electric new cars by 2030. This means that we hope to smoothly transition to the era of electrification through multiple routes, rather than a one size fits all approach.
On the other hand, GAC Toyota is well aware that its products must fully strengthen intelligence and electrification. In Toyota's manifesto, there is a saying that "electrification technology can only contribute to environmental protection through popularization.". GAC Toyota, on the other hand, has drawn on this concept and proposed measures such as "technology equality" and "technology inclusiveness". In the context of the "new four modernizations", GAC Toyota has equipped the "fifth generation intelligent hybrid dual engine" and "T-Pilot intelligent driving assistance system", "Toyota Space intelligent cockpit", and "Toyota Connect intelligent interconnection" on the two mainstream models of the Lexus and Fenglanda, to sharpen GAC Toyota's electrification and intelligent image. More importantly, in the new situation, GAC Toyota has not blindly pursued dazzling functions and technologies, but attaches more importance to the authenticity of users such as "safety" and "practicality". Demand, practice value first.
It is worth mentioning that the models equipped with Toyota's fifth generation hybrid technology are no longer called "dual engines", but rather "intelligent electric hybrid". On the one hand, Toyota hopes to strengthen its "electric" attributes, which is more in line with the development trend in the current context. On the other hand, this system is indeed more "charged" than before. For example, the output power of the new generation motor in the system has been increased by 32%, and energy loss has been reduced by 19%; The energy loss of the power control unit is reduced by 9.2%, the current output is increased by more than 8%, and the volume is reduced by 0.2L compared to the fourth generation, and the weight is reduced by 2.1kg; The newly developed lithium battery system reduces volume by 34%, reduces weight by 44%, and increases power output by 8%.
Behind these parameters lies Toyota's 26 years of accumulation in intelligent hybrid technology. From a reliability perspective, this long and meticulous polishing may be more trustworthy than the sudden emergence of cutting-edge technology.
In terms of intelligence, the Fenglanda intelligent hybrid dual engine is equipped with the T-Pilot intelligent driving assistance system as standard, which has stronger perception, covers more scenarios, and is also equipped with rare PDA and EDSS driving assistance functions in the same class. Compared with competitors, this system has four major advantages: maturity, comprehensiveness, originality, and low threshold, which can avoid 41% of fatal accident driving scenarios.
In the view of GAC Toyota, products should not only be worth it, but also be worth it. Only in this way can it achieve its vision of "technology inclusiveness".
Open cooperation, guided by high-quality development
Annual sales of millions, just the beginning. This year, GAC Toyota will deepen its three major strategies of electrification, high-end, and technology, and promote high-quality development in the post million era. At the same time, GAC Toyota will also become the backbone of the construction of "trillion GAC" and "trillion smart car city". To this end, GAC Toyota will further open up cooperation, fully leverage the advantages and resources of both shareholders, actively promote localized research and development, continue to practice the electrification strategy, and consolidate the position and strength of the joint venture as a new leader.
During this year's Shanghai Auto Show, Toyota's biggest change was to strengthen the authority of the Chinese R&D team to better adapt to local users' demands for intelligence and electrification. For GAC Toyota, it will maximize its own strength. The bZ FlexSpace Concept, which was unveiled this time, was jointly created by Toyota, GAC Group, GAC Toyota, and Toyota China R&D Center, focusing on comfortable and spacious driving scenarios. The mass-produced version of this model is expected to be introduced to the domestic market next year and produced and sold by GAC Toyota.
In the future, the TOYOTA bZ pure electric exclusive series products will be rapidly promoted. At the same time, Toyota has carried out cooperation with Xiaoma Zhixing in the field of automatic driving. GAC Toyota Shina and other vehicles equipped with auto drive system by Xiaoma Zhixing have carried out commercial demonstration operations in many places. In the field of electric vehicles, GAC Toyota will inherit and optimize advanced technology and mature products under GAC Group, and plans to import some products into GAC Toyota's sequence and network to comprehensively explore the new energy market.
In the process of reaching millions in production and sales, accelerating the transformation of electrification and intelligence, and implementing localization, the high-quality development of GAC Toyota can be seen everywhere. If TPS Toyota's lean production method was introduced at the beginning of its establishment, adhering to QDR standards; Practicing the "diversity and universality" of technology has brought high-value products with both "quality price ratio" and "intelligence price ratio" to Chinese users; Building a higher-level supply chain system, continuously optimizing supply chain quality management, and building higher product quality; Adhere to advanced manufacturing processes, with higher safety redundancy; The second phase of the new energy vehicle capacity expansion project has been completed and put into operation, and the "Nansha Hydrogen Run" has been officially launched in Nansha, Guangzhou... Countless.
For a long time, GAC Toyota has always adhered to the manufacturing and operation philosophy of "in China, for China". Faced with the rapid development of new technologies, we have firmly adhered to the strategic policy of adhering to open cooperation and consolidating the new leading strength of GAC Toyota's joint venture. From historical experience, the form of joint venture cooperation has been an important component of the high-quality development of the Chinese automotive industry for many years. Joint venture car companies are a strong presence that has been validated in the Chinese market for a long time. GAC Toyota not only has strong reserves in technology, products, and talent, but also has more determined strategic determination and execution ability.
Write at the end
"Mass production happiness" has always been the mission of GAC Toyota, to do certain things in uncertain times. Indeed, no one can predict what the next trend in the market will be, but they can stick to their original intention of making cars. During the ever-changing period of China's automotive industry, GAC Toyota has always committed to high-quality development - striving for excellence, daring to innovate, and striving for innovation. It has strengthened its own strength in product research and development, manufacturing, marketing, and system strength, and created a new sample for the development of Chinese automobiles.
