Against the background of electrification and intelligence, the car industry is expected to improve its price and quality in the next two years.
Cars galloping on the road at night
Weichai Power has been focusing on improving diesel engines' thermal efficiency during these years. Surprisingly, Weichai Power released a diesel engine with 50% thermal efficiency in September 2020. If replacing China's total diesel engines to 50% thermal efficiency, there will be 33,320,000 tons of savings in fuel oils and 104,950,000 tons of decrease in carbon emissions.
Weichai Power is expected to win more market shares, as it is planning to release a diesel engine with 51% thermal efficiency next year, aiming to achieve 55% in 2025. As several experts said, even a tiny 1% increase in thermal efficiency will be an excellent thing for environmental protection.
Why does Weichai Power keep innovating its products? This may be due to government policies encouraging the automobile sector. According to the State Council's recent executive meeting, it will emphasize on shoring up the commodity consumption, especially in the automobile sector. In other words, the car industry's expansion could benefit both traditional and new energy cars in the future.
In November, auto stocks are showing a rising trend. Moreover, massive car firms are increasing their outputs and they have completed 744,000 cars by early November, with an increase rate of 12.5%. This also provides more chances for some niche areas to update within the car industry – Weichai Power could be seen as an example