“The joint venture negotiations between Zhaifang and ZF broke.” Recently, the reporter learned of this “surprised” and “surprised” news. Then he called Zhang Yu, deputy general manager of Chongqing Qijiang Gear Transmission Co., Ltd. (hereinafter referred to as “Rongfang Gear”), and received his confirmation.

The “surprise” is because, under the impetus of the Chongqing Municipal Government, the joint venture agreement between the owner of Chongqing Dental Machinery (Group) Co., Ltd. and German ZF Company has reached a consensus and the establishment of a joint venture between the two parties is almost a foregone conclusion. In 2009, this newspaper reported on a joint venture between Zhaifang and ZF. In August 2010, Chongqing Electromechanical and even ZF signed an agreement of intent. This year, in the industry's view that Minfang had entered into a joint venture with ZF, it did not happen that the joint venture negotiations between the two parties were suspended.

The reason for saying "surprise" is that dental caries is the first brand of passenger car transmission in China. If it is a joint venture with ZF, it will inevitably fall into a situation where it is framed. The newspaper previously reported that the industry’s enterprises and experts have lamented their voices. At present, the joint venture between Zambia and ZF has been suspended and it has temporarily saved an important force that has maintained the independent development of China's transmission industry. It is reported that after receiving news of the suspension of the joint venture between Zhaifang and ZF, a bus company and transmission component suppliers are very pleased and very happy.

Controlling rights did not negotiate leading to the suspension of joint venture negotiations According to the reporter’s understanding, the joint venture negotiations between Zhaifang and ZF stopped from the beginning of this year because the two parties’ equity did not get together.

The controlling stake has always been the focus of the joint venture negotiations between Zhaifang and ZF. In fact, since the introduction of ZF's mechanical transmission manufacturing technology for the first time in May 1985, both parties are interested in joint ventures and cooperation. For more than 20 years, ZF has always wanted to control dental caries, turning dental caries into one of its production plants and seizing the Chinese passenger car transmission market. However, they hope to gain greater discourse power and autonomy. Therefore, there has been no substantive progress in the joint venture negotiations.

The turnaround took place in 2008. This year, the Chongqing Municipal Government proposed that "in the next five years, the total number of Fortune 500 companies to settle in Chongqing will reach 200." At that time, only 93 of the world's top 500 companies settled in Chongqing City. The task of attracting investment in Chongqing was very heavy. As a Fortune 500 company, ZF has a joint venture with Qiangfang, which has been strongly promoted by the Chongqing Municipal Government and has agreed to ZF's controlling requirements.

After the biggest obstacle to controlling shareholding was cleared, the joint venture between Zhaifang and ZF was imperative. In October 2009, a leader of the Chongqing Qianjiang County government told the reporter: “The joint venture negotiations between Zhaifang and ZF were basically completed, and only the environmental protection agreement was agreed. The county government has already provided a joint venture company with a production site.”

On August 6, 2010, at the Chongqing Forum of “Scientific Development and Social Responsibility” sponsored by the Development Research Center of the State Council and Chongqing Municipal People’s Government, ZF and Chongqing Electromechanics held a signing ceremony of cooperation intentions. The main content of the cooperation is Zaire. The company established a joint venture for a commercial vehicle transmission plant. At that time, the media predicted that the formal joint venture contract between the two parties will be held at the end of 2010.

However, when the time was transferred to 2011, Minfang and ZF still had no formal joint venture, and both sides' negotiations were suspended. Informed sources told reporters: “In 2010, the development of dental caries was very good, and the sales volume increased substantially. Chongqing Mechatronics did not want to hand over Zanba’s controlling stake to ZF. At the same time, there were concerns in the industry about ZF Holdings’ caries and more. Questioning has also prompted Chongqing to no longer sell its teeth."

â–  The development prospect of dental caries is optimistic. The current development trend of dental caries is indeed good. In 2010, Chaifang achieved a sales volume of 82,628 sets of transmissions, a year-on-year increase of more than 30%, and a sales revenue of more than 900 million yuan. Among them, 75838 passenger car transmissions were sold, a year-on-year increase of 43.6%. Since the beginning of this year, in the depressed automobile industry, caries have maintained rapid growth. In the first half of the year, the sales volume of toothed gear transmissions increased by 21.3% year-on-year, and the passenger vehicle market share increased by 11% from last year.

The relevant person in charge of caries tells the reporter that the advantages of dental caries in the transmission market of large and medium-sized passenger cars have been very obvious. The occupancy rate is about 70%, and now they are trying hard to open up the medium-sized bus market. At the same time, the development of the truck transmission market has also gradually improved. In addition, in the field of new energy vehicles that focus on the future, the electric vehicle transmission independently developed by Shanfang has been favored by many customers.

How can companies with such good operating conditions be easily given to outsiders, not to mention the first brand of Chinese passenger car transmissions? Regardless of the company’s own interests or the long-term development of China's auto industry, the idea of ​​Chongqing Electrical and Mechanical Co., Ltd. is unacceptable.

The joint venture between Zhaifang and ZF mainly aims to obtain technical support from ZF, but all joint ventures have shown that such a goal is difficult to achieve. If there is no joint venture and the insistence on independent development, what are the prospects for dental caries?

In this regard, some experts said that from the transmission industry in China, the joint ventures have not developed too well. Even if Caries has a joint venture with ZF, its prospects are not necessarily good. Adhering to independent development, having a good foundation and a certain amount of strength should be able to get out of a successful road.

â–  There may still be joint ventures in the future Reporters have learned that the recent suspension of joint venture negotiations between Zhaifang and ZF does not mean that there will be no joint venture in the future. "The accurate statement should be a suspension. This cycle of negotiations is over. It may be possible to talk in the future," the person familiar with the situation told reporters.

Zhang Yu told reporters that the joint venture between Zhaifang and ZF was in talks with Chongqing Electromechanical Co., Ltd. He himself did not participate in the negotiations, and the decayed teeth themselves cannot influence the development.

Regarding the suspension of the joint venture negotiations between Zhaifang and ZF, when the reporter asked Wang Hao, the general manager of ZF Sales & Service China, for confirmation, he said: “I have not heard of this.” Others of ZF failed to respond. The reporter has repeatedly contacted Chongqing Electromechanical and has not received a reply.

Industry analysts believe that the joint venture negotiations between Zhaifang and ZF continued for more than 20 years. Intermittent and intermittent situations have occurred from time to time. Therefore, the possibility of joint ventures between Zhaifang and ZF in the future depends largely on the attitude of Chongqing Electromechanical and Chongqing Municipality.