The dispute over the company’s shareholding has heated up.

　　Reporters He Hongyuan and Chen Sha report

　　Markets seem to welcome () "scramble".

　　On September 14, the company released the resolution announcement of the second extraordinary general meeting of shareholders in 2022. The meeting discussed five proposals on changing the use of the first share repurchase in 2021, the draft and summary of the 2022 employee stock ownership plan, and the management measures of Zhongju High-tech’s 2022 employee stock ownership plan.

　　Among them, the opposition to the first four proposals exceeded 50%, but none of them were passed.

　　According to the previous disclosure of the 2022 employee stock ownership plan (draft), the total number of employees participating in the employee stock ownership plan does not exceed 491 (excluding the reserved part), and the share source of the employee stock ownership plan is the company’s repurchase of the special securities account repurchased in the torch high-tech class A shares of common stock, the employee stock ownership plan transfer price is 18.14 yuan/share, the duration of 48 months.

　　The draft proposed performance appraisal requirements are: 2022-2024, the corresponding revenue target value is 5.50 billion yuan, 6.30 billion yuan, 8 billion yuan, respectively, an increase of 7.51%, 14.55%, 26.98%, net asset return target value of 13%, 14%, 15%.

　　On August 29, when Zhongju High-tech was reviewing the employee stock ownership plan, there was a big controversy. At that time, 9 directors passed the motion with 5 votes in favor, 3 votes against and 1 abstention.

　　According to relevant announcements, the dissenters were director Yu Jianhua, director Wan Hequn, and independent director Gan Yaoren. The main reasons for the opposition were unreasonable unlocking conditions, the nature of benefits was greater than the incentive effect, and the controlling shareholders received 1.83% of the voting rights through the committee, which affected the interests of the majority of small and medium shareholders. Exclusive director Qin Zhihua abstained.

　　It is worth noting that in the aforementioned plan, the revenue growth targets for 2023 and 2024 exceed the company’s performance expectations.

　　Since Yu Jianhua and Wan Hequn both worked within the Torch Group system, it may mean that the opposition was mainly Torch Group at that time, and the agreeing party was mainly Zhongshan Runtian controlled by the major shareholder Baoneng. Behind Torch Group stands the State-owned Assets Supervision and Administration Commission of Torch District, which is also the former major shareholder of Zhongju High-tech.

　　In fact, the company’s shareholding dispute has become intense. On September 14, the torch high-tech announcement showed that after the completion of the reduction plan, Zhongshan Runtian accounted for 17.72% of its total share capital, narrowing the shareholding gap with Torch Group to about 5%.

　　In terms of performance, Zhongju High-tech is still in the growth range. In the first half of the year, its revenue was 2.652 billion yuan, an increase of 14.52% year-on-year; the net profit attributable to the parent was 313 million yuan, an increase of 11.91% year-on-year.

　　On September 15, Zhongju High-tech received 33.07 yuan, an increase of 0.43%.

　　On the same day, the Shanghai Composite Consumption 80 Index closed at 5861.52 points, down 0.49%. Agriculture

　　 ITS: Malaysia exported 659,997 tons of palm oil from September 1 to 15

　　On September 15, according to the shipping survey agency ITS, Malaysia exported 659,997 tons of palm oil from September 1 to 15, an increase of 23.8% from the 53,050 tons exported in the same period in August.

　　Ministry of Agriculture and Rural Affairs: The average price of pork in the national agricultural product wholesale market fell by 0.4% from the 14th.

　　According to the monitoring of the Ministry of Agriculture and Rural Affairs, the "wholesale price index of agricultural products 200" on September 15 was 129.48, down 0.51 points from the 14th, and the wholesale price index of "vegetable basket" products was 131.63, down 0.60 points from the 14th. As of 14:00 on the 15th, the average price of pork in the national agricultural wholesale market was 30.72 yuan/kg, down 0.4% from the 14th.

　　Aonong Bio: The goal of fattening costs in 2022 is to drop to 17 yuan/kg

　　On September 15, () said at the 2022 semi-annual results presentation that the company’s piglets weighed about 8 kilograms and the fat pigs weighed about 115 kilograms. The company’s weaned piglets in the second quarter cost about 420-430 yuan/head, and the fattening cost is about 19.5 yuan/kg. The piglet cost is targeted to be reduced to less than 400 yuan in 2022, and the fattening cost is targeted to be reduced to 17 yuan/kg in 2022. Food and Beverage

　　Nongfu Spring established a supply chain technology company in Huzhou Anji

　　Industrial and commercial data show that Nongfu Spring (Anji) Supply Chain Technology Co., Ltd. was established, the legal representative is Rao Minghong, the registered capital is 30 million yuan, and the registered place is Anji County, Huzhou City, Zhejiang Province. The business scope includes supply chain management services; domestic cargo transportation agency; general cargo warehousing services; loading and unloading and handling, etc. The company is wholly-owned by Nongfu Spring joint stock company

　　Yonghui Supermarket: JD.com Bonneng and other shareholders’ shareholding changes

　　On September 14, () announced that on September 13, shareholders Jiangsu JD.com Bangneng Investment Management Co., Ltd. and Beijing Jingdong Century Trading Co. Ltd. signed the "Jiangsu JD.com Bangneng Investment Management Co., Ltd. and Beijing Jingdong Century Trading Co. Ltd. Share Transfer Agreement". JD.com Bangneng transferred 736,437,197 RMB ordinary shares of Yonghui Supermarket to Beijing Jingdong Century Trading Co. Ltd through the transfer of the agreement, accounting for 8.11% of the total share capital of Yonghui Supermarket. On the same day, Jiangsu Circle E-Commerce Co., Ltd. and Suqian Hanbang Investment Management Co., Ltd. signed the "Share Transfer Agreement between Jiangsu Circle E-Commerce Co., Ltd. and Suqian Hanbang Investment Management Co., Ltd.". Jiangsu Circle transferred 478,523,104 RMB ordinary shares of Yonghui Supermarket to Suqian Hanbang Investment Management Co., Ltd. through the agreement transfer, accounting for 5.27% of the total share capital of Yonghui Supermarket. The above changes in equity will not lead to changes in the company’s controlling shareholders and actual controllers. Entertainment Games

　　Tencent Music will be listed on the main board of the Hong Kong Stock Exchange by introduction

　　On September 15, Tencent Music announced on the Hong Kong Stock Exchange that it will be listed on the main board of the Stock Exchange of Hong Kong Limited by introduction, and Class A ordinary shares are expected to start trading on the Hong Kong Stock Exchange on September 21 (Wednesday).

　　Kuaishou international business organization adjustment

　　On September 14, according to Caijing, Ma Hongbin, senior vice president of Kuaishou, made a round of adjustments to the organizational structure of the department after leading the internationalization business for more than a month. In addition to maintaining its existing uses overseas, Kuaishou will only maintain small-scale growth investment for the time being, such as in the South East Asia market dominated by Indonesia and the Middle East market dominated by Turkey.

　　Netflix says ad-supported viewers could reach 40 million by the third quarter of 2023

　　Netflix expects its upcoming low-cost subscription plan with ads to gain about 40 million users worldwide by the third quarter of 2023, the company said on Sept. 14, citing a document Netflix shared with ad buyers. In its initial forecast, Netflix said it expects 4.40 million "unique viewers" worldwide to sign up by the end of the year, 1.10 million from the United States.

　　Microsoft’s acquisition of Activision Blizzard is facing an in-depth investigation

　　On September 15, according to media reports, Microsoft’s $75 billion acquisition of video game maker Activision Blizzard is facing an in-depth investigation by the European Union and the United Kingdom. Concerns are growing that the deal is anti-competitive and will deny competitors access to the best-selling game Call of Duty. According to two people familiar with the matter, the UK’s Competition and Markets Authority (CMA) is expected to launch an in-depth investigation this week after Microsoft decided not to offer any improvements at this stage.

　　The new Nintendo Legend of Zelda will be released in May 2023

　　On September 13, Nintendo announced that the latest installment of the popular game "The Legend of Zelda" will be released on May 12, 2023. The title of the work is "Tears of the Kingdom". The work is the sequel to the 2017 Breath of the Wild, which has sold more than 27 million sets since its release. Analysts at UBS Securities predict that the annual sales of the Breath of the Wild sequel are expected to reach 20 million sets.

　　 Jim Yang, the former head of Supercell’s global studio, has joined miHoYo.

　　On September 14, according to the LinkedIn profile of Jim Yang, the former head of the global studio of Finnish game developer Supercell, he has joined mobile game developer miHoYo in September 2022 as the president of its international division HoYoverse. Textile Apparel

　　 Inditex may continue its price increase strategy

　　According to media reports, Inditex, the parent company of Zara, said at the first half of 2022 financial report that the company will continue to raise prices in the autumn of 2022 to cope with the risk of rising raw material costs. In the six months ended July 31, 2022, Inditex sales climbed to 14.85 billion euros from 11.94 billion euros in the same period last year, and earnings before interest and tax rose to 2.43 billion euros from 1.69 billion euros in the same period last year. Luxury goods

　　Rolex second-hand transaction prices have rebounded

　　On September 14, according to the interface fashion news, the watch market monitoring platform WatchCharts monitored the performance of Rolex’s most popular 30 watches in the second-hand market for a period of time and found that one-third of the second-hand transaction prices of Rolex watches have not fallen but rose in the past month. The average second-hand price has only slightly declined by 1%, indicating that Rolex watches are close to bottoming out in the second-hand market. Second-hand prices of Swiss brand watches such as Patek Philippe and Audemars Piguet have also shown a trend of falling. Cultural Tourism

　　Shanghai Disneyland will resume operations at 10:00 on the 15th

　　On September 15, the official Weibo of Shanghai Disney Resort announced that as the intensity of Typhoon "Plum Blossom" weakened in Shanghai and according to the current weather forecast, Shanghai Disney Resort will resume operations on September 15 (Thursday). Shanghai Disneyland will operate from 10:00-20:30 on the 15th, Disney Town will operate from 10:00-21:30, and Star Wish Park will operate from 10:00-18:00.

　　[Global Network Technology Report, Reporter Chen Jian] In recent years, the development speed of China’s technology has changed with each passing day. China’s technology industry has also led the transformation from "Made in China" to "Created in China". Today, a group of Internet companies represented by Xiaomi have emerged in China. They focus on quality, so that "Made in China" gradually gets rid of the traditional impression of low price and low quality in the eyes of the world.

　　In 2017, Xiaomi rose against the trend

　　2017 was a year of fruitful results for China’s technology industry. A large number of representative major scientific and technological innovations such as Jiaolong, Tianyan, Wukong, Mozi, Huiyan, and large aircraft have emerged one after another, constantly refreshing the public’s scientific and technological perception. Quantum regulation, iron-based superconductivity, and synthetic biology have entered the world’s leading ranks, continuously enhancing people’s sense of scientific and technological pride. But after all, these cutting-edge things are still far from people’s lives, and people still feel the progress of science and technology from daily consumer electronics. The update and iteration of mobile phones, TVs, and other products have made people feel the strength and confidence of domestic brands. Even in many regions around the world, people are eager to enjoy the experience brought by Chinese electronic products.

　　2017 was not an easy year for the mobile phone industry and the TV industry. In the field of home appliances, according to the total data of Aowei Cloud Network (AVC) omni-channel push, the retail sales volume of the color TV market in 2017 was 47.52 million units, a year-on-year decrease of 6.6%. The increase in panel prices from the end of 2016 to 2017 caused many color TV companies to increase costs, and their net profits fell one after another. Coupled with the decline in market capacity and sales, many companies experienced negative growth, which was miserable. Even the extremely hot Internet brands have lost their voice, and some Internet brands have even suffered "premature death".

　　In the field of mobile phones, according to the data, the domestic market shipments 491 million in 2017, down 12.3% year-on-year. Especially in the fourth quarter of 2017, the decline in shipments exceeded 20%, and the market reshuffle was further intensified. Due to the acceleration of the industry reshuffle in 2017, the concentration of mobile phone brands was further enhanced; China, O, V, and Mi grew rapidly, ranking three to six in the global TOP10 brand shipment rankings in 2017, followed by Samsung, iPhone.

　　In the context of the global downturn, Xiaomi, which was sung bad in 2016, suddenly made a comeback and hit a lot of people in the face. According to data from Oviyun.com, Xiaomi TV 4A 32 inches was officially mass-produced from July 10, 2017, and 1 million units were officially offline on March 9, 2018. Xiaomi TV 4A 32 inches reached the sales volume of 1 million units in only 8 months. This data is of great significance in the TV field, because at present, in the domestic TV sales, only another Internet TV 40-inch and 50-inch TVs have reached a single product sales of over one million, but it took 13 months and 24 months respectively. And Xiaomi mobile phones have re-entered the top five in China.

　　Xiaomi TV is applauded at home, and Indian rice noodles are even more crazy for it

　　The reporter looked at the evaluation of major e-commerce platforms, and the Xiaomi TV 4A 32-inch has a high praise rate of 99% on Suning.com, and even 100% in JD.com. And according to the reporter’s survey, the repair rate of Xiaomi TV has been controlled to 0.43%, far below the industry average of 2.5%, and the good quality has led the industry by a large margin. The quality control of any product is also the key to the success of this product.

　　In overseas markets, taking India as an example, Xiaomi’s TV has also achieved impressive results. On the day of Xiaomi TV’s first sale in India on February 22, Xiaomi TV 4 55-inch 10-second lightning sold out. After the release of Xiaomi TV 4 A series 32-inch and 43-inch new products, it was snapped up by Indian fans, even to the extent of exaggeration than in China.

　　India’s TV market is also in a period of transition. Many ordinary users can only choose expensive international brands or relatively low-priced but outdated models. After the thousand-yuan Xiaomi TV products enter India, they can fill the gap in the market. As an Internet company, Xiaomi also makes localized customizations for local users in India.

　　While Xiaomi TV is recognized by Chinese consumers, it will once again go out to the world as a representative of new domestic products. Not long ago, the news of the Sri Lankan brother grabbing Xiaomi TV and flying home was still vivid in my mind. On social platforms, Indian netizens also expressed a kind of love for Xiaomi. Some Indian netizens even said that "when they see Xiaomi TV, their eyes can’t move".

　　Xiaomi wants to enhance the global influence of the "Made in China" brand

　　It is precisely because of the emergence of companies like Xiaomi that the "foreign brand" life of the mobile phone and TV market is miserable. As a global hegemon, Samsung once occupied the first position in the Chinese market in the mobile phone field. In just a few years, due to the rise of domestic manufacturers, Samsung’s current market share in China has been less than 1%. In the field of home appliances, Samsung, LG, Sony and other TV manufacturers are currently unable to compete with Xiaomi and Hisense in small-size TVs, so they have to focus on the high-end market above 55 inches.

　　Wang Chuan has said many times: "Adhering to high cost performance and saving every penny for users is the core value of Xiaomi." In an interview with reporters, Wang Chuan of Xiaomi TV said that Xiaomi has a saying that always believe that good things are about to happen. Wang Chuan believes that as long as everyone does their best to make the product really good, and then is willing to be kind, willing to learn from Lei Feng to do good things, and provide it to customers, they will definitely win the love of users. Although I did not expect to achieve 1 million in such a short time, it is actually a natural thing. As Bezos said, there is a company that reduces costs by forcing itself to continuously improve efficiency, and then provides users with better and cheaper products. This is the case with Xiaomi.

　　According to the reporter’s understanding, Xiaomi TV will also explore more markets this year, bringing the excellent experience of Xiaomi TV to the world. The only major difficulty currently plaguing Xiaomi TV is the issue of production capacity.

　　Lei Jun recently proposed at the two sessions to enhance the global influence of the "Made in China" brand and comprehensively improve the level of Chinese design. In recent years, the MIX series designed by Xiaomi has been collected by three major museums around the world, and Xiaomi TV and its ecological chain products have repeatedly won international design awards. On the road of practicing innovation, Xiaomi has been at the forefront and has been recognized by the global market.

China Consumer News Fuzhou News(ReporterZhang articleIn order to deeply understand the relevant situation of e-commerce enterprises, grasp the real situation of the quality of goods and services they provide, safeguard the legitimate rights and interests of consumers, and enhance the sense of service and social responsibility of the e-commerce industry. The Fujian Provincial Consumer Committee actively builds a "zero-distance" communication bridge between enterprises and consumers, carries out "safeguard safe and unimpeded consumption" fresh food e-commerce, large-scale supermarket consumption observation activities, and strengthens social supervision.

On March 9, the Fujian Provincial Consumer Committee, together with the Fuzhou Municipal Consumer Committee, the Gulou District Consumer Committee, and the Cangshan District Consumer Committee, organized consumer rights protection volunteers, consumer representatives, and news media to enter the Yonghui Supermarket Binjiang Jinrong Store, Yonghui Life APP Binjiang Jinrong Warehouse, Walmart Sam’s Club Store, and Sam’s Club APP online delivery and picking warehouses to carry out "zero-distance" consumption observation activities around fresh food e-commerce and large-scale supermarket food safety, personal information security, convenient consumption, care for elderly consumers, and consumption upgrades.

On March 12, the Fujian Provincial Consumer Committee and the Putian Municipal Consumer Committee organized a group of more than 30 consumer representatives, consumer rights protection volunteer representatives, media representatives, and government department staff to walk into the Xingsheng Preferred fresh food e-commerce Fujian Station. Consumers were concerned about "how to deliver fresh dishes quickly" and "how to ensure the quality of goods and food safety". Representatives of the observation team communicated with enterprises one by one on issues such as logistics distribution, quality control, fruit and vegetable pesticide residues, and handling of returned goods that consumers are concerned about. Combined with the experience, they put forward opinions and suggestions for enterprises.

Community fresh food e-commerce, as an emerging sales model, has been accepted by more and more consumers, but consumers are still relatively unfamiliar with how enterprises operate, whether the quality of goods is controlled, whether logistics distribution is timely, and whether after-sales services can be guaranteed. Through the fresh food e-commerce and large-scale supermarket series of consumer observation activities, the Fujian Provincial Consumer Committee has opened the door for consumers to observe and supervise, and consumers have directly communicated their problems and needs to enterprises, which has enhanced the mutual trust between consumers and enterprises. Consumers have exercised their right to know and supervise through "zero-distance" observation and supervision, not only understanding the relevant knowledge of fresh food e-commerce, but also boosting their confidence in consumption with confidence. At the same time, it also further urges operating enterprises to build a solid safety bottom line, abide by the law and operate with integrity, promote the formation of a consumer safety consensus in the whole society, and promote the sustainable and healthy development of the consumer market.

In order to further supervise e-commerce enterprises to operate in accordance with the law, strengthen the sense of corporate responsibility, and improve the effectiveness of early warning and resolution of consumer contradictions. On March 14, the Fujian Provincial Consumer Committee and Meituan Company signed a strategic cooperation agreement. The two sides reached a cooperation consensus on jointly carrying out anti-food waste publicity and advocacy work, building and maintaining a green channel for the handling of consumer disputes, conducting research and early warning on hot issues of online consumption, conducting research on consumption big data in the field of life services, and enhancing the influence of consumer rights protection work in Fujian. Meituan (including Meituan takeaway, Meituan Preferred, Meituan Wine Brigade, Meituan to the store catering) made a solemn commitment to the majority of consumers on the same day: to further enhance the merchant’s food safety awareness, optimize distribution safety, and promote high-tech contactless distribution methods such as smart dining cabinets; to formulate the "Meituan Preferred Platform User Service Agreement", "Return and Exchange Policy", "Meituan Preferred Genuine Guarantee Specification" and other systems, promising to provide consumers with platform services such as "bad fruit return" and "lightning refund", establish a professional customer service team, and timely intervene to deal with various complaints between consumers and merchants; jointly guide platform merchants to enhance consumer rights protection awareness, and improve the quality of Meituan platform enterprise after-sales services Efficiently handle issues reported by consumers.

The "2024 China Beverage Industry Trends and Outlook" report released by Nielsen IQ shows that with the development of social economy, the beverage industry as a whole continues to lead the fast-moving consumer goods market. Entering 2024, the consumption scene, consumer demand, and sales channels of China’s beverage market are becoming increasingly diverse, and the future beverage market will also have the potential to "cycle through". At the same time, "quality-price ratio" replacing "cost performance" is becoming a new consumption concept recognized and pursued by a considerable number of consumers. Faced with such an obvious consumption trend, how can brands seize the opportunity and seize the market?

Under the trend of quality-to-price consumption, Big Kiln Beverages continues to gain the favor of the market and consumers by relying on an efficient and high-quality process that guides product design with demand insights.

The representative "big soda" product line of Dayao Drinks has three flavors: classic guest flavor, lychee flavor, and orange flavor. Recently, 520mL of pineapple flavor and PET series of lime flavor, pineapple flavor, and frozen pear flavor have been added, which are widely welcomed with outstanding taste. For example, Dayao frozen pear, the taste not only retains the freshness and sweetness of the frozen pear itself, but also combines the carbonated bubbles to make the taste more refreshing and rich. Return to Erbin’s Frozen, and continue to harvest a good mood.

In addition, in 2024, the big kiln beverage soda product will be upgraded to the juice version, integrating the original classic taste with the juice demand, and continuously upping the ante juice soda category on the basis of retaining the core characteristics of "refreshing atmosphere" to meet the diversified needs of consumers.

Product performance is outstanding, and quality requires strength to escort. Dayao Beverage has always attached great importance to product quality, and strictly checked from raw material procurement to production process. In terms of production, Dayao Beverage has opened up a full-link digital journey from channels, commodities, marketing, orders, payment to delivery with the help of digital technology, driving cost reduction and efficiency through digitalization. In March this year, Dayao Beverage organized various factories to hold a production mobilization meeting, and conducted a full range of process, operation, quality and other training for production front-line employees to improve the quality control awareness of operators, and ensure product quality while increasing production. Each factory carried out process standard implementation investigation and error prevention landing investigation, improved 41 control measures, strictly grasped the implementation of standards, and carefully guarded product quality.

While ensuring product quality, Dayao Beverage also reduces costs and increases efficiency, improving the competitiveness of enterprises. Since 2014, Dayao Beverage has continued to build production bases in Hohhot, Shenyang, Liaoning, Siping, Jilin, Shizuishan, Ningxia, Baoji, Shaanxi, Tai’an, Anhui, and Fuyang, covering North China, Northeast China, Northwest China, Central China, East China, and South China, narrowing the distance between the production end and the consumption end. Under the condition of ensuring product quality, it reduces transportation costs and channel distribution costs, and provides consumers with higher quality and cost-effective products, such as 520mL of large glass soda, which is comparable in price to about 330mL of conventional soda on the market. Many consumers say that Dayao soda is very enjoyable to drink when serving meals, and the price is also very reasonable.

In this way, Dayao Beverage adheres to market-oriented, consumer demand-oriented, steady innovation, and is committed to bringing consumers higher-quality products, leading the national soda into a new era of quality.

(Member contributions)

Andy Lau "kissed" with Big S in public, claiming to yearn for "polygamy"

　　　　　　　 Andy Lau was Big S’s idol for many years. When he learned that he was going to cooperate with Andy Lau, Big S was very nervous, and it happened that the first scene between the two was a kiss scene. Looking back on the scene at that time, Big S still remembered it vividly, "My sister and my mother knew that I was going to shoot a kiss scene with Andy Lau, and they all excitedly asked to watch it.

　　　　　　　 In the interactive game at the scene, Andy Lau had to satisfy the fan’s request to "offer a kiss". When Xu Jiao and Shi Yunpeng, two young actors, kissed him instead of the fan, Andy Lau took the initiative to ask Big S to kiss him, "Don’t Big S come up? I want to kiss her." Facing the invitation of the idol, Big S was a little shy, but he didn’t expect Lau Dehua to "anxiously" go forward and kiss Big S, but, cunning, he used his hat to block both of their faces and offered a fake kiss by borrowing. In the film, Andy Lau from the future and Big S have only been in a relationship for 30 days, and he has never forgotten his dead "wife" Fan Bingbing. The affectionate Liu Tianwang wants to have two "lovers" at the same time, "I can’t choose between them. The future world I envision has resumed’polygamy ‘."

　　　　　　　 On the same day, Andy Lau brought the ambiguous part of the film with Big S to the scene, not only acting very gentleman, but also often humorously showing "love" to Big S. When asked about the type of girl he likes the most, Andy Lau confessed that it is a girl with long hair, "Big S now has long hair, but it used to be short hair, like a boy. It’s just that we met too late. This is all fate." When Big S revealed his penchant for eating peanuts, Andy Lau said, "Because of my high cholesterol, I have quit for a year." Then he did not forget to add a sentence, "Alas, I quit after I separated from Big S. It’s pointless to do anything without her." A humorous "confession" amused the audience with laughter and screams.
　

　　How big is the market for new energy vehicles going to the countryside? Recently, the China Association of Automobile Manufacturers (hereinafter referred to as the China Automobile Association) issued the "Notice on the Application of New Energy Vehicles Going to the Countryside in 2022" (hereinafter referred to as the "Notice"). According to this document, in order to continuously eliminate old and discontinued models and promote more new energy models that adapt to rural consumption characteristics into the model catalog for going to the countryside, car companies need to make a unified declaration for the models participating in the going to the countryside. The deadline for declaration is March 10, 2022.

　　Fu Bingfeng, vice-chairperson and secretary-general of the China Automobile Association, said: "This is a critical period for the promotion of new energy vehicles. It is very important to sink into the fourth and fifth tier markets and help rural consumption upgrade. This is an incremental market."

　　According to the data of the China Automobile Association, the cumulative sales volume of new energy vehicles to the countryside in 2021 was 1.068 million, an increase of 169.2% year-on-year. In addition, among the 66 models of new energy vehicles to the countryside in 2021, the vehicles were mainly small and mini vehicles with a price of less than 100,000 yuan and a cruising range of less than 300 kilometers. It is generally believed in the industry that the small and micro models of new energy vehicles to the countryside will replace low-speed electric vehicles such as "Laotou Le" and have good prospects in the rural market.

　　Sinking or normalization, replacing rural "old man music"

　　In recent years, the income growth and consumption expenditure growth of rural residents in China are faster than those of urban residents, and their motorized travel needs are urgent, but the overall vehicle penetration rate is low. The electric vehicle utilization rate of rural residents is less than 1%, which is only 1/3 of that of urban residents, and has sufficient room for growth.

　　In the industry’s view, the current auto growth area in our country has begun to expand and transfer from the east to the central and western regions, from first- and second-tier cities to third- and fourth-tier cities, and from cities to rural areas. According to the "China Rural Electric Vehicle Travel Research" released by the China Electric Vehicle 100 People’s Association, by 2030, the number of cars per thousand people in rural areas in our country will reach 159, and the total number of cars will be 70.01 million; this figure also includes the rigid demand of consumers in rural areas for the first purchase, and also includes the replacement demand for low-speed electric vehicles. The industry believes that the electrification of the rural market has great potential.

　　From the demand of third- and fourth-tier cities and rural markets, consumers travel radius is small, more than 80% of households overall average daily travel mileage of less than 50 kilometers, short and medium range new energy models will be able to meet the needs of mainstream consumer groups; from the product and price span, the mileage of 120 kilometers to 400 kilometers, the price of the model between 30,000 – 80,000 yuan is more in line with market demand; from the rural market as a whole, due to the driving license, driver’s license and other restrictions, commonly known as "old man Le" low-speed electric vehicles in the rural market more popular.

　　Therefore, among the 66 models of new energy vehicles to the countryside in 2021, the vehicles are mainly small and mini cars with a price of less than 100,000 yuan and a cruising range of less than 300 kilometers, and the car companies make profits ranging from 3,000 yuan to 8,000 yuan.

　　Xu Haidong, deputy chief engineer of the China Association of Automobile Manufacturers, believes that new energy vehicles have done better in terms of quality, handling, etc., with higher comfort and safety. The low cost of the A00 class, which focuses on the rural market, has also been highlighted to the greatest extent.

　　The industry generally believes that A00-level new energy passenger vehicles are a substitute for low-speed electric vehicles such as "Old Man Le", and have a good development prospect in the rural market. Cui Dongshu, secretary general of the National Passenger Car Market Information Association, also has the same view. He believes that A00-level new energy passenger vehicles have a good market prospect in the rural market and can also help improve the travel environment in rural areas.

　　Li Jinyong, president of the New Energy Vehicle Branch of the Automobile Chamber of Commerce of the All-China Federation of Industry and Commerce, once said, "In 2021, unrestricted cities contributed 70% of the sales of new energy vehicles, of which 58% of users purchased A00-class electric vehicles. A00-class electric vehicles will take the lead in replacing fuel vehicles of the same level based on the advantages of more than half the travel cost of fuel vehicles. If the lack of core is not serious, the production and sales will reach 1.50 million to 2 million vehicles in 2022."

　　The industry believes that, although there are fewer A00-class models currently available, due to the fact that they have attracted more attention under the impetus of new energy going to the countryside, car companies are also harvesting sales performance in new energy vehicles going to the countryside, so there may be more products developed for third- and fourth-tier and township rural areas.

　　The industry expects that in the next few years, if the motorized travel needs of rural residents can be met, it is expected that a 500 billion-scale super car market will be successfully leveraged, among which small economical electric vehicles will become the main new products in the rural market, or will be formed in third- and fourth-tier cities and rural areas.

　　Sales of new energy vehicles to the countryside are growing faster than the overall market

　　2022 is already the third year for new energy vehicles to enter the countryside.

　　In July 2020, MIIT, the Ministry of Agriculture and Rural Affairs, and the Ministry of Commerce jointly issued the "Notice on Launching Activities of New Energy Vehicles to the Countryside", which proposed to carry out activities of new energy vehicles to the countryside in China; thus also opened the curtain of new energy vehicles to the countryside. In March 2021, MIIT, the Ministry of Agriculture and Rural Affairs, the Ministry of Commerce, and the Comprehensive Department of the National Energy Administration jointly issued the "Notice on Launching Activities of New Energy Vehicles to the Countryside in 2021", which made it clear that activities of new energy vehicles to the countryside would be carried out from March to December. In 2021, the area of new energy vehicles to the countryside will be further expanded, from 5 provinces in 2020 to 11 provinces.

　　From the recommended list of two batches of new energy vehicles going to the countryside in 2021, the main enterprises and models are independent brands and new car-making forces, including SAIC Motor Group, Dongfeng Motor, Great Wall Motor, BYD, Jianghuai Automobile, Chery Automobile, Weimar Automobile, and Zero Run Automobile.

　　According to the data of the China Automobile Association, the cumulative sales volume of new energy vehicles to the countryside in 2021 was 1.068 million, an increase of 169.2% year-on-year, and the growth rate was about 10 percentage points higher than that of the overall new energy vehicle market.

　　From the beginning of 2022, new energy vehicles going to the countryside will once again be included in the key tasks of various ministries and commissions.

　　In early January, the "Opinions" jointly issued by the National Energy Administration, the Ministry of Agriculture and Rural Affairs, and the National Rural Revitalization Bureau mentioned that it is necessary to guide charging business operators and new energy automobile enterprises to build charging and swapping power stations in large villages and towns, tourist attractions, and public parking lots. Priority is given to promoting the use of electric vehicles in official vehicles, buses, and taxis in counties, and promoting the application of new energy vehicles in tourist attractions and characteristic towns. Promote new energy vehicles to become an important part of rural microgrids, and vigorously support local development of new energy vehicles and home appliances to the countryside.

　　On January 21, the National Development and Reform Commission and other seven departments issued the "Implementation Plan for Promoting Green Consumption", which proposes to carry out in-depth activities of new energy vehicles to the countryside, encourage automobile companies to develop and promote new energy vehicles that are suitable for the travel needs of rural residents, of high quality and low price, advanced and applicable, and promote the improvement of the rural operation and maintenance service system. Reasonably guide consumers to purchase lightweight, miniaturized, and low-emission passenger vehicles.

　　According to the latest "Notice" issued by the China Automobile Association, the declared models of new energy vehicles going to the countryside still need to meet four conditions. First, the product quality is stable and suitable for rural consumption scenarios. Second, the price range of the model is basically the same as that of rural consumers. Third, there will be no suspension of production or sales of models in the next six months. Fourth, there is a suitable after-sales and sales network.

　　The shortcomings need to be made up, and the supporting measures should also be submerged into the countryside

　　It is generally believed that there are independent courtyards in rural areas, and the charging demand of new energy vehicles is relatively easy to meet. Consumers in rural areas can charge at home through slow charging. However, with the increase of vehicle mileage and driving radius, public charging piles also have an addressable market demand in rural areas.

　　At present, domestic charging piles are mainly concentrated in first- and second-tier cities, while the proportion of public charging piles in rural areas has been hovering at a low level; at the same time, the power grid infrastructure in rural areas is relatively weak. Cui Dongshu said that the entire infrastructure and supporting services in the rural market are still lacking, and a large number of charging equipment needs to be built.

　　In addition, the "Rural Electrification Survey Report" released by the China Electric Vehicle 100 People’s Association pointed out that although there are many models and versions of new energy passenger vehicles on sale in the domestic market, the sales of new energy vehicles to rural areas are still very limited. Existing models are greatly misaligned with the expectations of rural residents, and at the same time cannot meet the demand for light cargo in rural areas.

　　Not only that, after-sales is also a major problem. From the perspective of after-sales network installation, fuel vehicles are more complete, while the after-sales network of pure electric vehicles is more complete in first- and second-tier cities, while rural areas are still relatively lacking.

　　Xu Haidong said, "Car companies should further understand the needs of rural consumers, do a good job in cost control and quality control; in the current situation with a small number of outlets, do a good job in after-sales services and build infrastructure in rural areas."

　　In addition, the level of subsidies will also become a factor affecting the deployment of new energy vehicles to the countryside. Xu Haidong analyzed that there is currently a lack of directly quantified state subsidies; while local government subsidies vary, and many fuel vehicles and new energy subsidies are not separated, and the time is not uniform. All of the above will reduce the degree of incentive for consumers.

　　Although there are many shortcomings in new energy vehicles that need to be filled, it is undeniable that the third- and fourth-tier markets and rural markets are small in size but have great potential. They are one of the future incremental markets for new energy vehicles and will become a "booster" for the growth of the new energy vehicle market.

　　Memorabilia of new energy vehicles going to the countryside

　　● July 15, 2020

　　MIIT, the Ministry of Agriculture and Rural Affairs, and the Ministry of Commerce jointly issued the "Notice on Launching New Energy Vehicles to the Countryside", proposing to launch new energy vehicles to the countryside in China.

　　● March 26, 2021

　　MIIT, the Ministry of Agriculture and Rural Affairs, the Ministry of Commerce, and the General Department of the National Energy Administration jointly issued the "Notice on Launching New Energy Vehicles to the Countryside in 2021", specifying that new energy vehicles will be launched from March to December.

　　● January 7, 2022

　　The National Energy Administration, the Ministry of Agriculture and Rural Affairs, and the National Rural Revitalization Bureau jointly issued the "Implementation Opinions on Accelerating the Transformation and Development of Rural Energy to Help Rural Revitalization", which mentioned strong support for local development of new energy vehicles to the countryside.

　　● January 21, 2022

　　The "Implementation Plan for Promoting Green Consumption" issued by the National Development and Reform Commission and seven other departments proposes to carry out in-depth activities of new energy vehicles to the countryside, and encourage automobile companies to develop and promote new energy vehicles suitable for the needs of rural residents.

　　February 17, 2022

　　The China Association of Automobile Manufacturers released the "2022 New Energy Vehicle to the Countryside Model Declaration Notice", launching a new round of new energy vehicles to the countryside in 2022.

　　Wang Linlin, Shell Financial Reporter of Beijing News

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