More than 90% of Weichai Power's net profit comes from Weichai's engine business and Shaanxi Fast, and on this basis, it has formed a gold supply chain for the heavy truck industry. In 2009, Weichai Power achieved a net profit attributable to the parent company owner of 3.41 billion yuan, of which the headquarters engine business and Shaanxi Fastest contributed the most, accounting for 94.7% of the total net profit.
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Weichai Engine is a star of construction machinery, and logistics vehicles are very suitable for overloading and have a wide adaptability. The Weichai engine which originated from the Steyr platform is very suitable for supporting construction machinery, and it is also very suitable for the situation of China's logistics vehicles that are frequently overloaded. From the perspective of cost-effectiveness and market positioning, Weichai Engine is the most cost-effective and most adaptable heavy truck engine in China.
The status of Fast Transmission is solid. Fast is still the most cost-effective transmission in China's heavy truck market. The efforts of the ZEF joint venture and the automaker's self-supporting facilities will not impact Fast's market position for some time.
Sitting on the heavy truck gold supply chain, Weichai Power expects to benefit from the growth of the heavy truck market in both 2010 and 2011. It is expected that the Chinese heavy truck market will slow down in the second half of 2010, with sales slightly higher than in 2010. Weichai's engine business and Shaanxi Fast are expected to achieve the average growth rate of the Chinese heavy truck market.
