Recently, on the groundbreaking ceremony of the FAW-Volkswagen Foshan factory's second phase, local government leaders in the speech called for the FAW-Volkswagen engine project to settle in the South China Sea. In addition to the established 300,000 second-phase vehicle production capacity, the future of FAW-Volkswagen's new engine production capacity has also attracted the attention of the industry.

Up to now, FAW-Volkswagen has built engine factories in Chengdu and Changchun, and the Changchun branch of Volkswagen FAW Engine (Dalian) Co., Ltd., a joint venture between Volkswagen and FAW, has just started production last year, with an initial annual production capacity of 300,000 units. The FAW-Volkswagen Changchun EA211 engine plant was also laid in May last year.

The footsteps of Volkswagen's domestic production haven't stopped yet. The topic of whether or not to put another engine plant into production in Foshan is now starting to surface. In fact, the fast pace of localization of the engine in the past two years by the Volkswagen Group is a microcosm of the acceleration of domestic engine layout of all international car giants in China. BMW, Mercedes Benz, Honda, Nissan, and Land Rover all mentioned the accelerating engine domestically. At the same time, we hope to adopt a more thorough localization to welcome the melee combat that will soon begin.

Followed by domestic vehicle engine production capacity <br> <br> present, FAW - Volkswagen three major production bases in Chengdu and Changchun are built engine factories, Chengdu EA211 engine plant has been put into production, annual production capacity of 450,000 units, Changchun EA211 The foundation of the engine plant was laid last year, with an initial planned production capacity of 450,000 units and up to 600,000 units in the second period, covering all A-Class and some B-Class vehicles from FAW-Volkswagen.

However, the production capacity planning of 1.05 million EA211 engines does not satisfy the appetite of FAW-Volkswagen's vehicle production capacity improvement. With the new Sagitar and the new Bora retrofitting the EA211 engine, together with the new Jetta and Foshan factory's A3 and Golf 7, almost 1.05 million engines have been fully digested. However, the future production capacity of 300,000 vehicles in the second phase of Foshan and FAW-Volkswagen's fifth plant, which is expected to be unveiled at the end of the year, still need more engine capacity to follow up.

The construction pace of the engine factory is always closely linked with the increase in vehicle production capacity. BMW Brilliance built a new Tiexi plant and also built a new engine plant across the plant, which is an important part of the overall strategic expansion of BMW Brilliance. Mercedes-Benz, which has set a sales target of more than 300,000 units in 2015, also pointed out at this year’s Beijing Auto Show that it will promote the production capacity of domestic models and engines. As the world’s first overseas engine manufacturing plant, Mercedes-Benz’s new engine plant was put into operation at the end of last year, with a planned production capacity of 250,000 units in the first phase, and an engine production capacity of 500,000 units in 2015, which will be an escort for subsequent sales of Mercedes-Benz. .

Relating to the competitiveness of its own engine factory system <br> <br> last year, and the third factory Honda engine plant and put into operation in Zengcheng, the industry commented that Honda finally has its own independent engine plant. How important the engine plant is to the competitiveness of a car company? In the words of Xu Jianyi, Chairman of FAW Group, “The engine is a key guarantee for the competitiveness of the entire vehicle.”

Due to historical reasons, the most central and most lucrative part of the Guangzhou Automobile Honda vehicle chain has been supplied by Dongfeng Honda, and the construction of the Zengcheng engine plant has allowed Guangqi Honda to no longer profit from this part of the engine and Dongfeng Honda. share it. Although the supply relationship between Guangqi Honda and Dongben Engine Factory still exists, and will remain at around 360,000 units, it is no longer at all. This will significantly increase the future profitability of Guangzhou Automobile Honda. In a competitive environment where the prices of joint venture products are constantly under investigation, more thorough localization will ensure that Guangben has sufficient cost control capabilities to participate in competition.

In recent years, domestically-made second-tier luxury brands announced the domestically produced engine plan at the same time when they released the domestic vehicle-wide news. Simultaneous advancement of vehicle models and engines is aimed at improving the future price competitiveness of products in order to catch up with ABB’s competitive steps to accelerate localization. For example, Volvo, which had just launched its first domestic model last year, has also started to lay out its domestic engine base in Zhangjiakou. Chery Jaguar Land Rover, which has been put into production in the fourth quarter, has also made corresponding engine bases.

Engine capacity Zengcheng Guangzhou Honda engine plant is being formed <br> <br> planning capacity: put into operation in early 2015, the initial capacity of 120,000 units, the future capacity will expand to 24 million units, with a total investment of 3.56 billion yuan.

FAW - Volkswagen EA211 engine plant in Changchun <br> <br> planning capacity: the new factory foundation last year, with a total investment of about 2.3 billion yuan, the initial planned capacity of 45 million units, the second phase is planned to reach a total of 600,000 units of production capacity, the engine will Can match FAW-Volkswagen and Audi all A-class cars, including Audi Q3 and A3.

Volkswagen FAW Engine (Dalian) Co., Ltd. The new plant in Changchun <br> <br> planning capacity: the current engine plant with an annual capacity of 300,000 units, two planning capacity of 450,000 units, the second phase plan to achieve the target in mid-2014. The project will invest 2.5 billion yuan. After the project is completed, the EA888 series engine will be put into operation.

BMW Brilliance Shenyang Tiexi new engine plant <br> <br> planning capacity: the new engine plant will take the overall planning, phased implementation principle, one started in 2013, put into operation in 2016, BMW plans to produce the most advanced engine products in the future , and will supply all the domestic models, with a planned annual production capacity of 400,000 units.

Beijing Benz Engine Factory

Planned production capacity: By the end of last year, it had formed 250,000 engine production capacity, and it was Daimler AG’s first overseas engine manufacturing plant in the world. The plant will mainly produce M270 series, M274 series four-cylinder engines, and M276 series six-cylinder engines. It is estimated that by 2015, the Beijing Benz engine plant will achieve a production capacity of 500,000 units.

SAIC-GM-Wuling engine Qingdao Branch II project <br> <br> planning capacity: SAIC-GM-Wuling engine plant in Qingdao Branch production capacity Phase II expansion project started construction in 2012, the project is mainly produced from GM technology SGMWB series engine With a total investment of 978 million yuan, it can achieve an annual output of 175,000 units and is scheduled to be completed and put into production this year.

Volvo engine plant in Zhangjiakou <br> <br> planning capacity: This year, production capacity up to 60 million units, while export-oriented.

Chery Jaguar Land Rover Engine Factory

Planning production capacity: The project is located in Changshu, Jiangsu Province, and it will be put into operation in the fourth quarter of this year. Chery will produce 2.0L and 1.6L direct-injection turbocharged engines and Jaguar 3.0L supercharged engines.