Shaanxi Auto Heavy Truck Industry Base Settled in Urumqi to Capture Leading Advantage in Xinjiang Market
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On April 13, 2011, the Xinjiang Urumqi Development Zone (Toutun River District) and Shaanxi Automobile Group Co., Ltd. held a signing ceremony, marking the official establishment of the Shaanxi Automobile Group's 50,000 heavy-duty truck industry base project in the Urumqi Economic Development Zone. River area).
The total investment of Shaanxi Auto Urumqi Base is 1.36 billion yuan. The overall plan is to produce 50,000 heavy trucks per year, which will be constructed in two phases. The first phase of the project will be completed by April 2012, with a production scale of 20,000 heavy trucks annually. 10,000 special vehicles; the second phase project was completed at the end of 2014. 
It is understood that as early as 2009, Urumqi negotiated with Shaanxi Zhongqi on the establishment of a heavy truck production line in the Urumqi Economic Development Zone. Shaanxi Automobile, however, considered that the timing was not mature enough and the project was temporarily stranded. Afterwards, with the convening of the Central Xinjiang Work Conference, Xinjiang entered a period of major planning and construction. One company after another will extend its tentacles here. The demand for heavy trucks in Xinjiang is increasing, becoming a key area for heavy truck sales by various manufacturers.
In 2010, Shaanxi Automobile produced and sold more than 100,000 heavy trucks, of which, as a key area, it sold more than 6,000 vehicles in the Xinjiang market alone. At the same time, the market share in Xinjiang has exceeded 50%, and it can be said that Shaanxi Automobile Group has established a mature heavy truck industry base in Xinjiang. Since 2011, sales of Shaanxi Heavy Duty trucks in Xinjiang have become increasingly popular. As of April 2011, Shaanxi Automobile sold more than 5,800 heavy trucks in Xinjiang, which is expected to surpass sales in 2010 for less than six months.
With the assistance of Xinjiang and the infiltration of multilateral trade relations among the 19 provinces and municipalities across the country, the economy of Xinjiang is bound to usher in a golden opportunity for historical development. Xinjiang has become an important market for heavy trucks. At this time, the establishment of a plant in Xinjiang can provide Xinjiang users with first-rate solutions for heavy-duty mobile services, creating maximum value for users. The signing of the Shaanxi Auto Urumqi project will lay a solid foundation for the company to develop Xinjiang and the surrounding markets. In the future, the company will also increase its investment and achieve new development performance.
Obviously, the purpose of Shaanxi Auto is not just to stay focused on Xinjiang, but rather to rely on the geographic advantage of Xinjiang’s proximity to the Central Asian market to compete in the Central Asian market. It is reported that Shaanxi Automobile once created sales of more than 5,000 heavy trucks a year in Kazakhstan, which is only a country in the Central Asian market. For this reason, Shaanxi Auto's production line in Xinjiang can be expanded at any time as needed to expand production capacity.
Shaanxi Automobile Group, as a leading company in the domestic heavy truck industry, integrates product development, vehicle production, marketing, and parts production. It has outstanding innovation capabilities and strong economic strength. The project has settled in Urumqi Economic Development Zone. It is of great significance to change the mode of development and enrich the modern industrial system in Toutunhe District.