Zongshen 宗申产业集团有限公司

[MJH]

The engine in the RX3 is Zongshen’s NC250, same as the engine used in the SSR 250 motocross, the SSR is an AsiaWing copy of a Honda CRF450 frame.





The SSR is being sold in the US for about $3,300.00.

[MJH]

I would like a green one….

[MJH]

The rumored price of the GS250GY-3 is 29000 RMB in China, $4,725.00 USD.


I gleaned that bit out of this article on Chinamotorworld; titled WINGS ARE SPREADED (SIC), is that bad grammar, to me it came off as that, not a commonly accepted form of the verb.

[MJH]

That link to the interview makes some claims, such as growth in sales at 35% for 2013, production is actually not sales, however negative or marginal year on year growth rates in prodcution does not or should not be ever forecasted into double digit positive growth rates. Not unless there is a merger or acquisition? Simply put it is not happening in reality for 2013 the year forecasting of 35% growth is not happening.


The growth for the first quarter of 2013 is actually negative.

No.	Company	This month cumulative (units)	Last year Cumulative (units)	Accumulated over the same period Growth (%)	This month cumulative total ratio (%)
6	Zongshen Industrial Group Co., Ltd.	356679	359204	-0.7	4.86

Making more does not mater as much as the margins made on each unit, that translates into profit margins.
It is entirely possible to make less and make more profit, that’s a matter of better offerings that sell for more. But in order to be profitable then all costs are allocated across all units of production.
The total unit(s) revenue less the total unit(s) cost. The revenue for one less the cost to make that one represents the profit on each one.


Thing is that once an erroneous claim is made, like a 35% growth and then it does not happen, then the statement discounts all else that is said.


Any additional costs, such as advertising or technical documentation, warranty accounts all add costs to each unit. So in that the use of technology and manufacturing process management linked into such systems makes the value chain and all related functional departments more efficient. The added cost to each unit becomes less when the system is the best it can be.


They, that being all of these manufactures cannot take giant leaps without refining the process first. If they do they will not grow profits they will likely get displaced in the market by the companies that are doing it correctly.


Thats about quality control and also after market support systems. It has to be a coded system from the onset in production that is used down the line into sales, they have to track it all intelligently. The results all displayed in real numbers.

[culcune]

I was happy to see that Mr. Zhu acknowledges that the industry in China needs to take a look at itself, which he has been doing. I liked how he rode his own product, and a 'lowly' scooter at that, in the contest on the fastest way around the city.

I think he was hinting that several of the bigger players in China lack passion for their product. I remember 'Crazy Carl' mentioning this on his trip to Qingqi a few years ago; the company run by people who did not use their own products. Of course, this attitude could have to do with how motorcycles were perceived in China as being predominantly poorer peoples' transportation, at least a few years ago. Which again, makes Mr. Zhu riding a scooter, a fairly big deal.

[MJH]

M1NSK is offering the new Zongshen as their TRX300, it is selling for 4000 USD.
They are currently selling them for a rally across Russia. (click on the ad)

[MJH]

Its interesting, Zongshen has some good partnerships.


In Brazil they are involved in a JV with Hyosung through Kasinski, they assemble in Brazil.
Brazil is a highly regulated market and in that prices are inflated, inflated meaning unreal as in not grounded in real economic forces. Too much regulations have a racketing effect, in that they are inflationary.


The price of this 150cc Dual Sport….in Brazil is $2,850.00 USD. The only viable solution is allowing direct foreign investment and also lowered corporate taxation. governments need to be more streamline and more efficient, they need to back off industry taxes. Brazil does not have high median wages, so when prices are high they end up paying more as a percentage of income, then demanding more to buy more. That is inflationary, it is a racketing effect.



Lowering wages seems counter-intuitive, but actually if done comprehensively it actually can increase each individuals purchasing power. If mitigated with tiered taxes on profits that can mitigate, could even ground profits to percentages, then making more is the only way to earn more. In that the underclass gets addressed.


Raising wages is counter productive, seeking a grounding point based on multivariate equations or purchasing power and related necessities is progressive.

The value of the Real is falling, which is bad for importing and good for exporting.
The CB300R is selling for 11900 Reals in Brazil, that is about 5k USD.


Article from last year….
http://www.forbes.com/sites/kenrapoz...best-to-worst/


Brazil Honda could export the CB300R, to the USA, EU and even China? They certainly cost less then 5K American to make and all things being equal (parity), the selling of the Kawasaki’s could theoretically be followed with Honda importing its Brazilian models. They should and Honda should market them as the Real Deal.

[MJH]

Zongshen is advertising these on Taobao for about 2k USD.

[culcune]

These bikes seem more interesting to me than their sport tourer they had in the US a few years ago. They sold a few here primarily to newcomers to sports bikes, which seemed to coincide with the popularity of the 'stunting' trend here at the time.

I like that Minsk partnership bike; that would make for an interesting bike worldwide, provided the price remains "Chinese" whatever that translates into the various countries.

I hope that Mr Zongshen keeps with his credo of increasing quality while keeping the price point low enough. I am still impressed that he rode one of his company's scooters in that PR stunt contest of the quickest way around. He could have used one of his more high end bikes, but used a scooter instead.

[MJH]

they even copied the Honda color scheme.