Chapter 303 Cycle

Chapter 303 Cycle

Chapter 303 Cycle (5k)

Inovance took the stage to talk about the cooperation plan with Shencheng Silicon Carbon Group on the joint research and development of motors.

Xu Xin listened to the speaker's speech very seriously.

However, as she listened, she realized that when it comes to technical matters, being serious alone is not enough. And when the second company, Jingjin Electric, which is responsible for electronic control research and development, came on stage, this judgment was once again verified.

"That's a bit too in-depth."

Xu Xin expressed his thoughts to Yu Xing who was standing near the investor.

"Today we are just introducing our name. It doesn't matter if you don't understand. It's enough for everyone to know that we are serious." Yu Xing patiently explained to Mr. Xu, "In the past few months of contact, we have found that the biggest problem is that everyone is full of doubts about us and the future of trams. Today, at least some of these doubts can be dispelled."

Shencheng Carbon Silicon Technology Group is a new energy project dedicated to the development of electric vehicles.

This positioning and name are the public role that this conference can play.

Yu Xing does not plan to publicize it in the media at this stage, but after comprehensive consideration, he decided to put aside the advice from BYD's Wang Chuanfu and first raise the profile in the industry.

Xu Xin thought for a moment and smiled: "There are so many people and companies here. Even if I was cheated, it's not just me, right?"

Yu Xing nodded in appreciation and lowered his voice: "Actually, I'm also afraid that they will cheat me."

Carbon Silicon Group has set up a supply chain investment team. In addition to the direction of joint research and development, it also hopes to invest in the technology it needs. Therefore, in order to prevent being deceived, it has to adopt Xu's investment style in some cases.

Xu Xin hummed, easily understanding the situation.

Just like herself, she still had doubts when she arrived here today. Those who are really in this industry must be even more worried.

However, based on current observations, two pan-auto suppliers, Huichuan Technology and Jingjin Electric, appear to be quite confident.

Are suppliers in the traditional automotive industry on the decline?
It seems that this cannot be said. If you work in this industry, you must face up to the gap, whether actively or passively.

It can only be said that companies like Huichuan and Jingjin are indeed more vibrant, and they do not have the "shackles" brought by "accumulation".

This is also the mentality that is different from the internal combustion engine.

Compared with Huichuan Technology, Jingjin Electric has a clearer goal, which can be seen from its name. Moreover, both founders, Yu Ping and Cai Wei, are present today.

They were the top executives of the first supplier company contacted by the Silicon Carbon Group. Although they also had doubts, their attitude was more positive.

Yu Ping has an academic background at Tsinghua University and MIT. He has also worked in electric drive system research and development at General Motors. He served as GM's global hybrid strategy and planning manager, and led the formulation of GM's global hybrid technology route.

Cai Wei is a Ph.D. from Clarkson University in the United States. While working at Remy Motor Corporation in the United States, he led the development of the world's first mass-produced "hairpin rectangular conductor stator winding permanent magnet motor", pushing Remy Motor to become a core supplier to automakers such as General Motors and Chrysler. By the time he returned to China, 60% of the world's mass-produced hybrid vehicles were equipped with the motor system he designed.

The two returned to China in 08 and immediately founded Jingjin Electric, hoping to capitalize on the new development trend of the automotive industry.

Regardless of his identity, resume, or more in-depth analysis of the future of the automotive industry, Yu Ping's speech on stage received even warmer applause.

"Mr. Yu is very good." Xiong Xiaoge listened carefully to Yu Ping's speech and gave sincere praise.

Yu Xing nodded: "Yeah, I know I'm pretty good."

Xiong Xiaoge pouted: "I'm talking about Mr. Yu."

"They are people of insight," Yu Xing said with a smile. "They have already developed a 150kW plug-in hybrid motor with high energy conversion efficiency, which is our key cooperation target."

"Okay, Mr. Yu, I'm talking about you this time." Xiong Xiaoge still said sincerely, "You, Mr. Yu, were able to find Mr. Yu. This is indeed a collaboration between people of insight."

Yu Xing said very honestly this time: "This is not difficult. If you look at the domestic new energy sector, it is actually very easy to identify which companies have the level and potential. People like Mr. Yu and Mr. Cai are in a better position."

Xiong Xiaoge smiled and asked, "Who recommended themselves?"

"A cone in the bag" and "Mao Sui Zi Jian" are two idioms derived from the same story, which happen to fit the supply chain situation of the tram project.

“Let’s talk about this over dinner tonight.” Yu Xing said this, motioning Dr. Zhuang Guanlin, who was poached from BMW, to come on stage to talk about the electrification revolution in automobiles. He then took a few steps forward to accommodate the communication wishes of his two good friends, Shenzhen Capital Group and Zhejiang Industrial Investment Group.

According to the arrangement, today's whole day will be supplier meetings involving many manufacturers, while in the evening there will be a small meeting of several core suppliers, and four institutions will also attend.

It is still unknown how many of these four companies are willing to invest and how much they can invest.

Even Xiong Xiaoge, with whom he had a certain tacit understanding, had never said the amount he was willing to invest. The 100 million he had previously publicly announced did not have any currency attached, so there was a lot of room for reserve.

There is also the unexpected Zhejiang Industrial Investment Co., Ltd., but it is hard to say whether this company can actually be implemented.

Yu Xing guessed that one of the most likely reasons why Zhejiang Industrial Investment Group showed such public support was the choice of factory site. After all, it was backed by Zhejiang state-owned assets, so it was relatively easy to judge what it wanted.

Nearing noon, the supplier meeting came to a temporary end, and Shencheng Carbon Silicon Group naturally had to play the role of host.

While Yu Xing was briefly chatting about their goals with four investment institutions, his son Guo Chuan, an academician, walked through the crowd and joined the greetings with a smile.

"This is Mr. Guo from Changchun Konghui Automobile." Yu Xing was not sure whether the investor knew this person, but seeing him coming, he naturally had to introduce him. "He and the company gave me a lot of guidance and inspiration in car chassis tuning."

Guo Chuan greeted everyone with a smile, and then he praised Yu Xing highly: "Boss Xiong, Boss Xu, Boss Zhao, Boss Cai, we must seize this opportunity to invest in Carbon Silicon Group. I really wish I had a large sum of money in my hand and could invest it in Boss Yu immediately."

"I talked with Mr. Yu last week, and I said that since Carbon Silicon Group wants to make electric cars with higher positioning, it must not have shortcomings in any aspects. On my side, we have some technical accumulation in chassis air suspension, but we lack the support of suppliers, so it is difficult to make it."

"Then, Mr. Yu called me back this week and sent me a research report."

"Guess what? He helped sort out the domestic suppliers that can make air suspension. Take the open valve pump distribution valve required for this suspension, for example. There are basically no domestic manufacturers that can do this kind of pre-installation."

Guo Chuan spoke vividly: "But Mr. Yu gave me two options. One is the Sino-US joint venture Jiefeng Automobile, which has Bosch's electromagnetic drive technology. The other is Suzhou Green Control Transmission, which has a proportional solenoid valve in its R&D project, which can also be used as a distribution valve."

“Although they are not directly capable of being pre-installed open-valve pump distribution valves, the solenoid valve processes and distribution valves of these two companies are similar, so they can be optimized and adapted.”

"One week. Tsk, just one week, and Mr. Yu came up with a feasible plan."

"When I got the documents, I doubted whether he had worked on the technical solutions for the car chassis for many years, or whether I had done these things."

Guo Chuan used an alternative solution of a solenoid valve to illustrate the efficiency and accuracy of Yu Xing's team's actions. Although it was a bit exaggerated, it was indeed amazing.

"Boss Guo, Boss Guo, stop bragging for me." Yu Xing waited for Guo Chuan to finish his boasting before he laughed, "It's not that amazing. We just divide the big goal into small goals, and then see if there is a direct process or an alternative process. I have a workplace platform with millions of people, so sometimes it is easier to find information clues. That's all."

Guo Chuan shook his head repeatedly: "This is really amazing, the action is too fast, damn, I just suddenly understood, you are in the Internet industry, you are used to being so fast, and you are also used to rushing towards the goal, without so many rules and regulations to restrict your thinking!"

If there is no direct solution, find an alternative; if there is no straight line, make a curve.

After hearing this, Xiong Xiaoge smiled and said, "I think Mr. Yu is really using the spirit of the Internet to enter the automotive industry."

"No, I entered this industry with a learning mentality. If I brag like this, it's fine for my own people, but I don't know how people outside will criticize me." Yu Xing declined the praise. "Anyway, if Carbon Silicon Group wants to succeed in electric vehicles, it must be rooted in the success of the supply chain. The interests of our upstream and downstream are integrated."

Xu Xin spoke less and thought more this time. When he heard Yu Xing's words, he only felt the four words that he had corrected in the report - ambitious.

If this tram can be built, it means that an upstream and downstream supply chain will be built. The group chatted and laughed as they went to the luncheon.

Because he still had a meeting in the afternoon, Yu Xing did not drink, but just greeted everyone at each table.

Xu Xin had been paying attention to Yu Xing's movements, and was left with a deep impression. From the chats she saw, Yu Xing could almost call out the names of people from each manufacturer or remember important people from the manufacturers who were not there.

She shared this observation with Xiong Xiaoge.

"Hmm." Xiong Xiaoge asked after a pause, "Boss Xu, from the time Yu Xing expressed his interest until now, I have a strong feeling that he is doing things. Maybe he is practicing what he said, 'building cars honestly'. He is so honest that he is a little too honest."

Xu Xin sighed: "This doesn't seem so Internet-like."

Xiong Xiaoge smiled.

During the afternoon supplier meeting, Yu Xing took the stage again and this time talked about the specific cycle of the tram project. He put forward a "five-year" forecast, hoping to achieve initial success in the market within five years.

Five years? Initial success?
What counts as initial success?

Yu Xing did not go into further details, did not give a sales target, did not give annual revenue, and only emphasized the necessity of collaboration and win-win in the end. The last speaker to prove this necessity was Sun Hao from Zhibo Company.

Sun Hao received the temporary notice after the lunch.

He was not the type of person who could speak on the spot. Knowing that he would be the last one to speak today, he was a little confused: "What should I say? What should I say? We haven't developed it yet. At most, we have just started the project."

"Mr. Yu said that you just need to talk about the current situation." Secretary Zhang Yangxu conveyed the meaning.

"What's the current situation? We have just launched the project and are recruiting people...this is very difficult." Sun Hao was a little nervous.

Zhang Yangxu thought about it and figured out what his boss meant: "Difficult is good. If it wasn't difficult, why would I come to you? If it was easy, I would just buy it from foreign manufacturers. Difficult is good."

Sun Hao thought for an entire afternoon and finally came up with a theme for his speech - difficulty is good, difficulty means opportunity, and if it weren't difficult it wouldn't be his turn yet.

He took the stage to conclude the supplier meeting of Shencheng Carbon Silicon Technology Group and mentioned the current status of millimeter-wave radar, which is not available in China even if you pay a higher price. Others just keep their high-end products for adaptive cruise control.

Because of this situation, if Carbon Silicon Group wants to make electric vehicles, it must collaborate in research and development and take proactive actions based on passive reality.

Sun Hao's speech was perfect. His words were plain and simple, and what was plain was the description of the current situation.

His description remained the opening topic until the supplier meeting in the evening.

"Millimeter wave radar is quite embarrassing. China does not have it. Even if we do develop it, it may not make money, because when we develop it, foreign countries may adjust the price." Yu Xing introduced the situation. "So, we invested in Zhibo. Before we invested, they really had a hard time finding investors. I just asked Mr. Sun, and he expected a breakthrough in the next two to three years. I think it's in time."

He took the opportunity to direct the topic to specific things such as the R&D cycle.

This is also what investors are interested in. Only when the progress can be quantified can the expected results be achieved.

There were a total of five suppliers at the evening meeting, including suppliers with relatively mature technology such as Jingjin Electric, suppliers who needed to switch business areas such as Huichuan Technology, and more basic upstream suppliers such as Lijin Group.

Because he had seen it with his own eyes during the day, had the clear slogans during the day, and had the full participation of investors, Xu Xin soon heard the estimated R&D cycles of various companies. For example, the Lijin Group gave a conservative estimate of 14-18 months.

Xu Xin heard the question Yu Xing asked for him.

"Conservative estimate, Mr. Du, your word 'conservative' immediately got me excited." Yu Xing asked, "Conservative estimate is 14-18 months, what about not conservative estimate?"

"We have sufficient technical reserves in this area. What I mean is that with your cooperation, if we only make super-large die-casting machines, the speed will be faster." Du Yaojie, vice president of Lijin Group, came to Shanghai last time, and his attitude this time seemed much more confident. "However, speed is not the goal. What we need to pursue is to do well and meet the standards."

After he returned, he also conducted internal discussions. The Li Jin Group itself has large die-casting machines and also supplies products for the production of aluminum alloy parts to General Motors in the United States.

One-piece die-casting has both technical requirements and a question of ideas.

The problem can be further broken down here into what extent the integration is achieved.

Du Yaojie could probably understand Yu Xing's thinking. It was nothing more than using an integrated structure to increase the strength of the vehicle body to a level at least comparable to that of mid-to-high-end brands. Then, an improvement of 100 points would definitely be the best, but an improvement of 60 points would also be progress.

Yu Xing nodded slightly. The technical reserves exist, so it depends on how to optimize and select the solution in the future.

He put forward a five-year forecast in the afternoon, which means that there is at least a three-year buffer for the technological development of the supply chain, which will undoubtedly be extremely valuable time.

Moreover, compared with the 18-month expected time for die-casting machines, the R&D time for Huichuan and Jingjin is more considerable, generally not exceeding 12 months.

Yu Xing was naturally pleased with the expectations from suppliers, but he did not completely believe them. Anyway, there was time to spare, so if the expectations could not be met, he would continue to catalyze, and if they could be met, he would have to make iterative upgrades.

He wants to produce the best industrial products within his capabilities, not only within his own capabilities, but also within the capabilities of the domestic supply chain for some time to come.

The supplier meeting ended at 11 o'clock in the evening.

Fifteen minutes later, in the same office, the third meeting of the day began. This time there were even fewer people, only Yu Xing and four investment institutions.

"Mr. Xiong, can you really invest $1 million?" Yu Xing came straight to the point and hoped that IDG could set a good example for the other three companies.

"Sure." Xiong Xiaoge didn't keep them on suspense. "But we need to set a timeline, just like the expectations you get from suppliers for joint R&D. We can invest 1% of the $4 million today, and the remaining 6% will depend on progress."

Yu Xing spread his hands. It turned out that he was just saying nice things during the day, but he would make conditions when he had to pay the money at night.

He looked towards his mentor Xu Xin, wishing he could put on the title of disciple.

However, considering that the other party might just get up and leave once the name was mentioned, he suppressed his admiration.

Xu Xin gave a vague answer: "My side is similar to IDG. Mr. Xiong is the top horse, and a low-ranking horse like me must follow his pace."

Yu Xing complained: "I don't know who put this distinction between high-quality and low-quality horses on my head. This is really not what I said."

Xu Xin looked at his nose with his eyes, and his heart with his nose, standing still like a mountain.

Cai Haoyu, deputy general manager of Zhejiang Industrial Investment, heard the attitudes of the two companies in front and said with a smile: "Mr. Yu, I am very optimistic about your operational ability. Penguin's Pony Ma can fight back and forth with Alibaba with three-pointers. If you personally go into battle, we are willing to believe in your performance on the tram. However, the site of Carbon Silicon Group has not been determined yet. We need to take a closer look at our hometown."

Yu Xing was not surprised at all by such words, but he hesitated for a few seconds before saying, "Mr. Cai, I am definitely willing to give back to my hometown, but the goal of the tram project is to make it a success. If it can be done, then naturally any reward will be fine. I won't beat around the bush today. If possible, we plan to use SAIC's supply chain in Shanghai."

Xiong Xiaoge heard this and asked with interest: "You already have a target? Where is it?"

Yu Xing said seriously: "SAIC has several production platforms in Lingang, as well as related suppliers around it. We hope to find a suitable location there."

He said this and looked at Cai Haoyu again: "That place is actually also within the scope of our Hangzhou Bay, with convenient transportation and extending in all directions."

Cai Haoyu thought about it for a few seconds, shook his head with some regret, and did not agree with this location choice.

Xiong Xiaoge pondered the situation of Shanghai's port area, including the airport, highway, port, industrial supply chain, and SAIC suppliers...

He nodded in praise and said, "Very good. Hangzhou Bay is also a bay. Let's build China's bay area."

(End of this chapter)