General

According to the latest data of China Internal Combustion Engine Industry Association, the sales volume of internal combustion engine industry in September 2022 increased month on month and year on year, and the cumulative decline continued to narrow compared with August.

According to the observation report of Huacheng import and export data, the traditional sales peak season in September has brought about an increase in market vitality. Although the terminal markets in some regions have been adversely affected by the frequent outbreaks of epidemics, the internal combustion engine market as a whole is still growing. The sales volume and month on month growth of internal combustion engines have reached a high level since this year, specifically as follows: the sales volume of internal combustion engines in September was 4.0817 million, with a month on month growth of 23.37% and a year-on-year growth of 0.06%; From January to September, the cumulative sales volume of internal combustion engines was 32.8127 million, with a year-on-year growth of -10.63%, and a decrease of 1.34 percentage points compared with the first half of the year.

Traditional sales season brings market vitality

In terms of terminals, the auto industry continued to recover, and it continued to rise from June to September, which is the best level in the same period of nearly three years. The demand for passenger cars returned to the normal level of the year, and the decline of commercial vehicles narrowed compared with the previous period; The market of construction machinery and agricultural machinery is still in a state of adjustment, resulting in the demand for internal combustion engines still lower than the level of the same period.

From the perspective of each market segment, many urban construction projects have started, making the chain growth of construction machinery diesel engine market exceed the overall growth of diesel engine. According to the observation report of Huacheng's import and export data, in September, the sales volume of multi cylinder diesel engines for construction machinery was 71900, an increase of 24.44% month on month and -11.44% year on year; From January to September, the cumulative sales volume was 638400 units, with a year-on-year growth of -21.77%.

From the perspective of competition pattern, in September 2021, the top five diesel engine enterprises are Weichai, Quanchai, Yuchai, Yunnei and Foton Cummins, while in September 2022, the top five are Weichai, Yunnei, Yuchai, Jiangling and Quanchai. In a year, Yunnei ranked second and Jiangling ranked fifth.

In terms of sales volume, in September 2022, Weichai is the only one with a monthly sales volume of more than 40000 units; The sales volume in the cloud is 32400 units; Yuchai, Jiangling and Quanchai sold more than 20000 sets each month; The sales volume of the top ten enterprises exceeded 10000 units in a single month.

Double carbon strategy leads the future of hydrogen internal combustion engine

At the recent seminar on "Fuel diversification and zero carbon development of internal combustion engines", Qian Hengrong, president of China Internal Combustion Engine Industry Association and assistant general manager of FAW Jiefang and general manager of Engine Business Department, introduced the era of power diversification and the future of hydrogen internal combustion engines. Qian Hengrong believes that climate warming, energy security, dual carbon strategy, low carbon transformation of energy, and the risk of sticking core technologies of key components of internal combustion engines are the challenges facing the development of internal combustion engines. China, as a country with the largest consumption of disposable energy in the world, is increasingly dependent on foreign energy. Every year, internal combustion engines consume 60% of the country's oil, and the carbon emissions are close to one tenth of the national carbon emissions. The implementation of the dual carbon strategy has accelerated the transformation of power sources towards cleaning, electrification and hydrogen energy, which is both imperative and significant for the implementation of energy conservation and emission reduction of internal combustion engines.

Under the guidance of the dual carbon strategy, the internal combustion engine shows diversified development, which is divided into three stages: diversification, low carbon and zero carbon. It is estimated that the thermal efficiency of diesel engine will reach 55% in the low carbon stage by 2025, achieving fuel saving and carbon reduction of 16%; The thermal efficiency of the gas engine can reach 45%, and the carbon reduction of the gas throttle can reach 9%. Zero carbon and carbon neutral fuels with hydrogen as the core are expected to achieve zero carbon emissions in 2040, Huacheng Import and Export Data Observation Report.

In June this year, Jiefang Power successfully ignited heavy and light hydrogen internal combustion engines. In the internal combustion engine industry at home and abroad, there are many successful research and development of hydrogen internal combustion engines. As the main structure of hydrogen internal combustion engine is the same as that of traditional internal combustion engine, there is no need to rebuild the industrial chain, so its development prospects are promising. At present, the clear national hydrogen energy strategic planning, mature industrial system, strong adaptability of hydrogen internal combustion engine and other development advantages have greatly increased the opportunities for hydrogen internal combustion engine to create international leadership. However, hydrogen injection, storage system, intake and exhaust system, ignition system, engine structure, aftertreatment system, combustion control strategy and other six core system technologies still need to be improved. The incentive policies for hydrogen internal combustion engines need to be clarified, and the infrastructure for hydrogen production and hydrogenation needs guidance and support.

In order to realize the rapid and healthy development of hydrogen internal combustion engines and enhance the competitiveness of the internal combustion engine industry in the era of power diversification, Qian Hengrong called for the establishment of a hydrogen internal combustion engine alliance to jointly promote core technology breakthroughs such as hydrogen injection systems; Promote the country to incorporate hydrogen internal combustion engine into the development plan of new energy automobile industry, and issue relevant support policies; We will promote the country to accelerate infrastructure construction and support demonstration operations in hydrogen rich regions.

At the meeting, Duan Jinghui of Great Wall Motors said that consumers of Great Wall traditional electric vehicles were interested in hybrid vehicles, and more than pure electric vehicles. With the influence of green card, the new energy route has both challenges and opportunities. Great Wall should embrace new energy to seize the market. There are not a few representatives of vice chairman enterprises who are similar to Duan Jinghui's outlook on new energy. However, due to different market routes, new energy technical barriers, insufficient infrastructure and other problems, there are also those who hold a wait-and-see attitude.

Sun Yaozhong of Feilong Auto Parts Co., Ltd. said that the auto industry is the largest industry except real estate, accounting for 13% - 14% of GDP. The coexistence of multiple powers will continue for a long time in the future. Huacheng Import and Export Data Observation Report.

Zhang Sanjie, chairman of Zichai Power Co., Ltd., said frankly that at present, the ship's power is still the internal combustion engine. Due to the long mileage of the ship, except for individual natural gas fuel engines, there are few forms of ship power.

Association platform service industry development

Xing Min, executive vice president and secretary-general of China Internal Combustion Engine Industry Association, said that the Association has actively built a "platform for scientific and technological progress, talent training, inspection and testing, and product certification" to serve the government, industry, and enterprises, promoting the industry's carbon peak and carbon neutralization, and making fruitful work in formulating relevant national and industrial standards.

Qian Hengrong believes that the internal combustion engine still has a long life; Diversification of power and energy is an inevitable trend. We should accept and embrace this trend; Hydrogen engine is an effective way to realize the dual carbon strategy, which calls on the state to attach great importance and issue relevant policies. At the same time, he put forward three suggestions on the industry. First, in order to have a deep understanding of the current and future severe situation facing the industry, it is necessary to have tight preparations and countermeasures; Second, to gain a deep insight into the profound changes brought by the dual carbon strategy to the internal combustion engine industry and seize the opportunities; Third, in order to make concerted efforts to handle the affairs of the Association, grasp the development direction of the industry, speak on behalf of the industry, communicate with government agencies, further improve the organization, establish the E9 Alliance and prepare for the establishment of the hydrogen engine alliance, Huacheng Import and Export Data Observation Report.