BAIC Listed on Fortune Global 500 for the Eighth Consecutive Year with a 134th Place
On August 10, 2020, Beijing time, on the freshly unveiled 2020 Fortune Global 500 list, BAIC ranked the 134th globally, and the 4th among Chinese auto makers on the list. This is the eighth consecutive year that BAIC made its entry into Fortune Global 500.
The list was mainly based on the revenue of enterprises in 2019. In 2019, BAIC recorded operating revenue of RMB501.23 billion, up 4.26% year on year, becoming the first SOE under the municipal government of Beijing with annual operating revenue exceeding RMB500 billion. Although influenced by deep adjustment of the auto industry and fluctuation of international exchange change rates, BAIC still remained among the Top 50 auto makers globally and the Top 4 in China. Moreover, BAIC’s major business indicators in 2019 were better than industry average in China and it continued to maintain a momentum of quality development.
High-tech, New energy, and Distinctive Products Gathering Upward Strength
In 2019, based on the strategy of offering high-tech, new energy and distinctive products, BAIC formed a brand architecture consisting of ARCFOX, Beijing, BAIC ORV, Beijing Benz, Fujian Benz, Beijing Hyundai, BAIC Foton and BAIC Changhe, and built core competitiveness of the brands through differentiation.
In terms of high-end manufacturing and high-end products, in 2019, Beijing Benz sold more than 550,000 cars with a double-digit growth year on year, setting a new record of Daimler’s global plants and maintaining a leading edge in the sales of homemade luxury cars. Fujian Benz sold more than 25,000 cars with a growth against the trend. ARCFOX, BAIC’s high-end intelligent pure EV brand, made its debut at the Geneva Motor Show and saw the first car of trial production roll off the production line.
Regarding new energy, BAIC BJEV retained championship in the sales of pure electric vehicles in China with over 150,000 cars sold, in which models at or above A class vehicles represented 80%, up 64% year on year. The core model BEIJING-EU 5 maintained sales championship of the segment market for the year.
As to differentiation, BAIC CRV saw 36,000 cars sold, and the brand image of Off-road Vehicle Club was intensified; BAIC Foton sold 594,500 cars, passenger cars and trucks both above market average levels.
In addition, ecological advantage of BAIC’s industry chain became prominent, offering strong momentum for steady development. Its auto parts supply platform Hainachuan registered an annual operating revenue over RMB65 billion. In 2019, it ranked the 2nd among Chinese auto parts enterprises and the 57th among the Top 100 global auto parts makers. BAIC ROCAR, an automobile service trade platform of BAIC, steadily promoted its key sales agency business and logistics business, built a more perfect aftermarket eco-sphere, and recorded annual operating revenue of RMB38.1 billion. BAIC Mobility, a travel service platform of BAIC, ran business in 50 cities with more than 40,000 cars and 4.9 million registered members, and its car lease rate reached 80%. Other business segments including BAIC Finance, BAIC Capital, BGAC and BAIC Data also contributed greatly to the building of industry chain advantage and to the transformation and upgrading of BAIC.
Dual Drivers Promoting Industry Upgrading
In terms of NEV technology, BAIC built domestic leading and international first-class BAIC NEV experiment center with RMB2.05 billion, setting up an industry benchmark of leading technological progress and quality upgrading; NEVC-Foton new energy intelligent logistics vehicle lab, the first of its kind in China, promoted R&D and implementation of NEV technology in commercial vehicles; with intensive release of core intelligent new energy vehicles like BEIJING-EX3, BEIJING-EU 7, ENCINO EV, which was pure electric EQC SUV of Beijing Benz, and Lingdong PHEV, the “product going upward, brand going upward” strategy achieved initial success; the project of hydrogen fuel cell technology in passenger cars co-developed by BAIC Foton played a part won the first prize of the China Automotive Industry Awards for Science and Technology.
In terms of intelligence and connectivity technologies, guided by the “Dolphin Plus” strategy, BAIC accelerated ecological prosperity in multiple aspects including intelligent technologies, products, ecology and transport; its advanced technologies like remote valet parking and 5G-V2X were demonstrated in important events like the 100th anniversary ceremony of the Shougang Park and the World Expo; in collaboration with Huawei, it set up the 1873 Davidson Innovation Lab to develop the next generation intelligent and connected electric vehicle technologies; BEIJING-EU5 and BEIJING-EU7, which are equipped with technology like Internet of vehicles, big data and senseless connectivity, got good word of mouth in the market; Toano autonomous driving technology shone brilliantly at international events like WICV 2019 and the 1st World 5G Convention.
In 2020, the auto market is still faced with strong downward pressure. BAIC will stick to quality development regardless of hardships and advance towards the goal of “Century-old BAIC”.