Yuchai Machinery Co., Ltd. (Yuchai Machinery) sold over 500,000 engines in 2013, thus curbing the drop for two consecutive years since 2011 and becoming the first multi-cylinder diesel engine manufacturer in the industry to restore sales to 500,000 units; its year-on-year sales growth was far above the average level of the industry and its market share increased 1 percent more based on an increase of 3 percent last year.

After declining for two consecutive years, the market began restorative growth in 2013. Under the business principles of "specialty segmentation, reliability and applicability; lean manufacturing, quality improvement; collaborative innovation, intensive growth; special breakthrough, national IV first", Yuchai Machinery conducted refined operations internally and externally to enhance core competitiveness.

Internally, Yuchai Machinery vigorously practiced the quality culture of "zero defect, zero tolerance", and advanced the lean project and the project of "improving product quality by 100 percent in three years", thus significantly raising quality level. By October, the R0 failure, quality cost ratio and internal quality loss of Yuchai engines had decreased by 38.35 percent, 22.51 percent and 10.92 percent year on year respectively. On December 16, the company won China Quality Award nomination as another government quality after Guangxi Zhuang Autonomous Region Chairman Quality Award and Yulin Mayor Quality Award.

By its rich experience in market operation and strong capacity for national IV and V engine service, Yuchai Machinery has taken the initiative in preparation for the country's new round of engine upgrading, and achieved successes in segments like truck engine, bus engine, marine engine, general engine and new energy engine, as well as service upgrading.

In the truck market, Yuchai's engine sales were up 20 percent year on year, heavy-duty truck engine sales were up 45.3 percent year on year, far above the average growth of the heavy-duty truck industry; 6M and 6MK engine sales were up 115 percent year on year. In the bus market, Yuchai's engine sales were up 8 percent year on year. Clean fuel engines (gas engines and hybrid engines) developed rapidly in the truck and bus new energy market. By a complete range of gas engines and customer trust, Yuchai's share in the bus engine market was further expanded. Now Yuchai's national IV diesel engine and national V gas engine sales have accounted for over 70 percent and the share has been increasing. Yuchai's general engine (for construction machinery and agricultural machinery) sales were up 31 percent year on year, too. Amid the year-on-year slump of the industrial market, marine engine sales also increased year on year.

Abroad, by developing the Eastern Europe and South American markets, building new market platforms and perfecting construction of the parts and service network system, Yuchai Machinery's engine exports were up over 40 percent year on year.

In terms of after-sales service, Yuchai Machinery built the national IV and V service networks, the arterial road network and the river system service network. 1,005 service stations with strong national IV and V service capacity have provided strong service support for product emission upgrading, thus accomplishing service upgrading and enhancing customer satisfaction continuously.

(He Zhimei/Huang Zhirong)