The five ministries and commissions promote the “change from old to new”


August 26 Ministry of Finance website news, the National Development and Reform Commission, Ministry of Finance, Ministry of Industry, Ministry of Commerce, General Administration of Quality Supervision, Inspection and Quarantine recently jointly decided to organize the remanufactured products "old for another" pilot work. The published “Re-manufactured Products” “Change Old” pilot program (hereinafter referred to as the “plan”) shows that in 2013, pilot projects for remanufactured products such as automotive engines and transmissions will be piloted, and the scope of trials will be gradually expanded in the coming year.

At present, the remanufacturing business focusing on automotive engines and gearboxes has just started in China. Bosch and Delphi multinational companies have only just begun the business of remanufacturing as their after-sales service. A person in charge of the Bosch Automotive Aftermarket’s Corporate Communications Department told the reporter that the company currently has no substantial material to release.

However, a related person from a multinational company is not optimistic about the development of the project in the country. He pointed out that first of all, the technology of domestic manufacturing companies is far from the original product. Second is the limited acceptance of domestic consumers.

Remanufacturing refers to the mass production of old auto parts, construction machinery, machine tools, etc., and the remanufactured products achieve the same quality and performance as the original new products.

The plan points out that the type of subsidies will be determined by the five ministries and commissions, and specific companies and product models will be determined by public solicitation. The central government's subsidy for the promotion of remanufactured products in each category shall not exceed 5 years in principle.

At present, China’s car ownership is second only to the United States, which is 120 million units. Consumers return old parts and purchase remanufactured products at this price. This will undoubtedly be a business opportunity with unlimited prospects.

However, Bosch's relevant sources told reporters that as early as around 2006, Hu Maoyuan, chairman of SAIC, put forward the concept of “remanufacturing”. However, SAIC's remanufacturing department has not developed until now.

At present, domestic tires have been relatively mature in the “for-the-industry-for-replacement” sector, but until now, the major tire companies that do the best job of remanufacturing are the truck and passenger tires, but the business of car tires has not improved.

“The bad development of the remanufactured tire business is entirely related to the Chinese consumer concept, but the development of automobile engine and gearbox remanufacturing is more related to China’s manufacturing level at the current stage.” The above-mentioned sources stated that “it seems to be a Simple process, but starting from the time you took apart the parts, did your testing technique pass, how do you determine if the old product can continue to be used or remanufactured? Do you understand the degree of thermal expansion and contraction of the original material of the product in the repair process? How do you use binders to pass through your grinding process?"

“The future of sales and sales will depend on car dealers or 4S stores,” an internal Bosch staff member told the newspaper. “Specific after-sales work is assigned to the 4S store. One is to ensure product quality, and the other is Quickly expand channels in a short period of time."

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