Company News | Changjiu Logistics was invited to participate in the 20th anniversary celebration of the establishment of Dalian Automotive Terminal

Company News | Changjiu Logistics was invited to participate in the 20th anniversary celebration of the establishment of Dalian Automotive Terminal

21 Feb 2024, 15:28 p.m. EDT

 

The grand opening of the 20th anniversary celebration of Dalian Automotive Terminal took place on January 29th in Dalian. Esteemed leaders from the China Federation of Logistics and Purchasing, along with representatives from prominent domestic OEMs, Ro-Ro terminals, and Ro-Ro shipping companies, gathered to mark this remarkable milestone in the industry. Among the distinguished guests was Mr. Yan Chao, the renowned rotating general manager of Changjiu Logistics, who had the honor of attending the ceremony and accepting a prestigious commemorative medal on behalf of our company.

Dalian Aotomotive Terminal 20th Anniversary Commemorative Trophy

In 2023, China’s auto production and sales volume both exceeded 30 million units, a record high, ranking first in the world for fifteen consecutive years, and China’s auto exports for the first time exceeded Japan to rank first in the world. The Northeast is an important automobile production and manufacturing base in China, with an automobile production capacity of more than 4 million units, which will be promising in the future. As the only maritime automobile port in Northeast China, Dalian Automobile Terminal, after two decades of construction and development, has an annual throughput of more than 800,000 vehicles, and is the northern hub of north-south maritime transport of domestic commercial vehicles, and the basic port for foreign trade import and export of commercial vehicles in Northeast China. Long-term logistics started in the Northeast, and after years of development, the company has a wealth of customer resources and complete service capabilities in the Northeast, always committed to the cause of the Northeast revitalization to contribute to the strength of the company.

Since 2004, Changjiu Logistics and Dalian Automobile Terminal have cooperated to open up the water transport business of FAW cars for its first domestic trade water transport cooperation logistics business, the two sides have been maintaining close cooperation for the past 20 years.The rapid development of the company’s water transport business is inseparable from the all-round support and help provided by Dalian Automobile Terminal, and we look forward to future cooperation between the two sides can continue to create a win-win situation and contribute to China’s automobile industry.

Dalian Automotive Terminal Port

Summit Forum | Zhu Jingwei: “Openness – Integration – Sharing” to Promote High-Quality Development of Auto Logistics Industry

Summit Forum | Zhu Jingwei: “Openness – Integration – Sharing” to Promote High-Quality Development of Auto Logistics Industry

Dec 15, 2023, 09:25 a.m. EDT

The “2023 Annual Meeting of the Automotive Logistics Industry” took place in Shiyan on November 16th. This grand event was hosted by the China Federation of Logistics and Purchasing (CFLP) and the Dongfeng Automobile Group Corporation (DFMC) and was undertaken by the Automotive Logistics Branch of the CFLP, the Dongfeng Logistics Group Corporation (DFLG), and the Shiyan Municipal Government.With the participation of over 800 representatives from nearly 300 enterprises, including automobile manufacturers, parts manufacturers, automobile logistics enterprises, logistics equipment enterprises, research institutes, and colleges and universities, the meeting was a true gathering of industry leaders. The main focus was to discuss the current situation of the automobile logistics industry, interpret relevant policies and regulations, analyze its development trend, share successful cases of advanced technology and excellent management experience, and ultimately drive the industry towards digitalization, greening, and sustainable development.The event was highlighted by the remarkable speeches delivered and the warm exchanges that took place, further strengthening the bonds and collaborations within the industry.

Zhu Jingwei, Vice President, General Manager of Vehicle Division, Beijing Changjiu Logistics Co.

Personal Profile:

Mr. Zhu Jingwei, born in August 1985, graduated from Changchun University in 2010 and is an intermediate logistician. He joined Changchun Logistics in July 2010 and has served as manager of Jinan Branch of Jilin Changjiu Logistics Company Limited, general manager of Jinan Changjiu Logistics Company Limited, general manager of Shandong Company in the North China Region of Changchun Logistics, director and general manager of Shandong Long Heavy Duty Truck & Bus Logistics Company Limited, and general manager of Shandong, Luyu and Shaan Regions of Changchun Logistics. He is currently the vice president and general manager of the vehicle division of Beijing Changjiu Logistics Co.In 2017, he was awarded “Excellent Manager” of Beijing Changjiu Logistics Co., Ltd, member of the 9th and 10th Chinese People’s Political Consultative Conference (CPPCC) of Changqing District, Jinan City, Shandong Province, and “Top Ten Outstanding Youths” of the 9th Changqing District, Jinan City, Shandong Province.

Focusing on the new development trend of automotive logistics industry, Mr Zhu Jingwei, Vice President of Changjiu Logistics, delivered a wonderful speech with the theme of “Openness-Integration-Sharing to Promote the High-Quality Development of the Automotive Logistics Industry”, in which he analysed the positive trend of China’s automotive facing the great change that has not been seen in a hundred years and believed that multimodal transport is more in line with the trend of international automotive logistics, and elaborated the development pain points of the automotive industry in terms of the differences in the structure of the north and the south, overloading and irrational cost-control. He also elaborated on the pain points in the development of the automotive industry and called for increased supervision to create a benign competitive environment. Adhering to the development concept of “openness, integration, and sharing”, Changjiu Logistics is willing to promote the high-quality development of the automotive logistics industry together with its peers.

I.
China’s automotive development has continued for a hundred years without a major change in the positive trend, China’s car companies, to take advantage of the trend, has entered the localisation of the development stage, making multimodal transport more in line with the future trend of automotive logistics

From a global perspective, our automotive industry has gone through the course of 100 years. Developed countries have formed a very high degree of industrial relevance and market concentration. In the context of the country’s vigorous development of new energy, fuel, and new energy vehicles, the trend is irreversible, and the industrial chain system is experiencing a profound transformation.According to the State Information Centre and the Automobile Industry Association data, due to the new energy and export market pull, China’s auto sales in 2023 is expected to reach 30.59 million units, the growth rate has reached the highest in recent years of 14%, China’s auto exports are expected to be 4.82 million units in 2023, a year-on-year growth rate of up to 55%; and China has become the world’s top auto exporter.


In the dual-carbon background, the penetration rate continued to rise to 37% in October, with the consumer tide leading new energy vehicles to continue to innovate. In the next two years, new energy vehicles will continue to maintain a high growth momentum; in 2023, new energy vehicle sales will reach 9 million; in 2025, new energy vehicle sales may reach 17 million; the penetration rate will be around 50%.
With the rapid development of China’s auto market and the pull of auto exports, the company will develop in the direction of supply chain management integration, containerisation, platformization, and diversification, and at the same time strengthen cooperation with countries and regions along the “Belt and Road” to expand overseas markets, achieve a global layout, and run towards the future of the stars and oceans!Chinese automobile enterprises are sailing against the wind, taking advantage of the momentum, and overseas investment and plant construction have become the choice of more automobile enterprises. China’s auto exports are changing from vehicle export mode to overseas investment and plant construction mode; the proportion of vehicle exports will gradually decline, and the proportion of KD parts exports will climb year by year. The final realisation is the localization of China’s auto production overseas. Changjiu Logistics is also willing to work with customers to broaden the overseas supply chain. According to the experience of the international automotive logistics industry, multimodal transport is more in line with the trend of international automotive logistics.

Ⅱ.
Structural differences between the north and south, overloading and irrational cost-control remain huge challenges to automotive development and pain points in the industry

Due to the unbalanced development of production and market in the automotive industry, the north-south structure of the industry’s resources is significantly different, and this change in the structure of resources is a greater challenge for vehicle logistics. From the point of view of 2022 automobile production data, the total annual output of Chinese car enterprises is 27.476 million units, landing distribution of the north and south of a serious imbalance, has more than 2:1. 15 provinces in the south of the production of 18.772 million units, accounting for 68%. The 12 northern provinces is 8.74 million units, which is a huge challenge to vehicle logistics north-south capacity resource flow planning, idle rate is unavoidable, the cost of empty driving increased.

Non-compliant capacity not only poses safety hazards, but also leads to an inefficient use of funds. Consider this: the car carrier trailer can hold up to 27 cars, while there are a minimum of 17 or 18 cars. Just two days ago, I witnessed an OEM plant installing 29 cars of upper and lower two-tier plates at their entrance. This presents a significant challenge for our compliant logistics companies, and also highlights one of the biggest obstacles that the industry faces in driving high-quality development.

 

Ⅲ.

Changjiu Logistics advocates for the high-quality development of the sector through regulatory oversight, strategic planning, openness, and integration, fostering a positive competitive environment.

Given the current development challenges and industry issues, we are confident that collaborating on promoting high-quality development in the automotive industry can yield significant results.

Industry co-operation with the relevant departments to regulate the imperative: we have been advocating the relevant departments to eliminate non-compliant capacity, but also hope to establish an orderly and rational price guidance system for the industry, at present, we are in the whole resource acquisition in the use of “suicidal price cuts”, but it is really difficult to survive after the price cuts, this is a common pain point faced by all of us! This is a common pain point that we all face, which is also the significance of today’s discussion and call for high-quality development with all colleagues.

Rational planning to achieve reasonable cost reduction and efficiency: rational planning is to control costs by constantly seeking more reasonable logistics solutions to achieve the optimal solution for the vehicle logistics business of the host plant. At the same time, it is also necessary to strictly implement the vehicle logistics supplier access standards to ensure that the supplier’s service capacity, service quality and legal compliance. We call on automotive vehicle logistics industry colleagues to rationally control costs, through the overall comprehensive consideration of the development of the appropriate pricing mechanism. Nowadays, customers pay more and more attention to the timeliness of logistics, especially the delivery centre of the new car-making forces, whose requirements for timeliness are basically “T+0, T+1”, which almost does not give the vehicle logistics enterprises to set aside resources for the loading time, so that the vehicle logistics enterprises in the transport process of timeliness management and cost control there is a certain contradiction. Traditional vehicle logistics enterprises need reasonable resource allocation time and route planning to achieve cost reduction and efficiency, so this is a common challenge faced by enterprises in the industry.

Open integration, co-creation and coexistence: I hope that all peers in the industry can open their arms to share resources and information, break down barriers in the industry, and realise complementary advantages and co-creation and coexistence in the direction of co-operation, integration and multimodal transport. Call on us to rationally compete in the market, resolutely put an end to the low price competition and non-compliance competition, and jointly maintain the healthy development of the industry.

 

Ⅴ.

Changjiu Logistics adheres to the development concepts of openness, integration and sharing, and is willing to promote the high-quality development of the automotive logistics industry together with its peers.

Changjiu Logistics is willing to open up and share with the industry with its own resources and capabilities accumulated over 31 years of development. At present, we provide logistics and industry chain services with three business divisions to jointly achieve synergistic development of the industry. We are committed to providing the whole industry chain services for China’s automotive industry, focusing on logistics + new energy field to create a comprehensive ecological closed loop.
The finished vehicle division focuses on trunk logistics, multimodal transport, social vehicles, warehousing services, etc.. The international business includes international railway, international sea transport, international air transport, customs declaration, customs clearance and value-added services. The new energy business focuses on energy storage, battery recycling, new energy logistics, etc., helping host factories to complete carbon emission reduction.

Finished Vehicle Business: Efficient Operation, Sharing, and Building Industry Standards: There are 18 companies in the country to effectively support the annual road shipment of 3 million units or more, with 60+ car brands in cooperation, covering 80% of the country’s car brands. In the whole process of complying with the development of the capacity, Changjiu still retains 2,000+ compliant transport vehicles and has made its own responsibility and obligation for the industry’s compliance. In terms of water transport, Changjiu Logistics owns a number of ro-ro ships and has recently purchased a 7,000-vehicle ocean-going vessel from Norway, which will be formally launched on the entire ocean route on 4 December.

International Business: Moving forward and firmly developing on “One Belt, One Road” Actively responding to the national initiative, we have launched an international strategic layout, striving to become a forerunner in automotive supply chain services for global automotive brands. In maritime transport, we have two ocean-going ro-ro vessels and maintain close cooperation with shipping companies; in railway transport, we have profound resources and have reached cooperation with a number of ports. In terms of road transport, ADAMPOL Poland, a joint venture company, has a capacity of nearly 300 coupes. In terms of cross-border road transport resources, Changjiu is also the first to have passed the TIR qualification and has the ability to provide cross-border road transport resources.

New Energy Business: Ready to meet new challenges, new energy is our new market segment. In the energy storage business, we have mature household storage products, occupy a certain market share in the South African market, and are actively expanding the “Belt and Road” countries and the domestic market. Industrial and commercial energy storage cabinets and 4S dealership optical storage, charging, checking, and discharging projects have also been promoted to the ground. We are also actively exploring many application scenarios, such as battery recycling and laddering, and building a closed loop of the whole industrial chain of battery recycling with the group’s recycling network of more than 80 self-owned and 20,000 cooperating 4S dealership stores. In April this year, the Group also made a joint venture with Dido in Guangdong Province to do overseas energy storage and follow up the development of our new energy business in the direction of overseas industrial and commercial energy storage. Meanwhile, Changjiu Logistics has extended its business on the basis of its advantages in vehicle logistics and made breakthroughs in the forward and reverse logistics projects of new energy power batteries and photovoltaic and wind power bulk logistics projects, thus perfecting the map of its logistics business.

“With the wisdom of the people, one can conquer any challenge, and by harnessing the power of the masses, no obstacle is insurmountable. Whether it pertains to the automotive industry or the field of automotive logistics, the progress and stability of these sectors rely on the shared comprehension of their development by all colleagues involved,Mr. Zhu Jingwei said. In our 31 years of growth, Changjiu Logistics has assumed the duty and commitment to collaborate with each and every one of you in upholding the principles of openness, integration, and sharing. Together, we will drive forward the advancement of the automotive logistics industry, ensuring its high-quality development.

Exclusive Interview | Bo Shijiu: Starting the “Second Rise” on the Changjiu Three Business Sector “Troika” (Part 2)

Exclusive Interview | Bo Shijiu: Starting the “Second Rise” on the Changjiu Three Business Sector “Troika” (Part 2)

Dec 4, 2023, 14:17 p.m. EDT
2
Accelerate the expansion of international markets
Helping Domestic Automobiles “Go Global”
This year marks the 10th anniversary of the “One Belt, One Road” initiative. Changjiu Logistics has consistently led the automotive logistics industry in countries along this initiative. With our unmatched expertise, we have played a pivotal role in helping Chinese automotive brands expand globally and facilitate the import of international brands.
The international block train(Harbin-Zeebrugge) arrives in Belgium in 2017
“Changjiu Logistics has been proactively assessing customer preferences and driving advancements in serving Chinese auto brands going global and facilitating international brand imports.” Bo Shijiu cited the debut of the Harbin-European liner, the layout of international Ro-Ro ships, the cross-border car carrier wagon program, and other innovations, all of which are important expansions made by Changjiu Logistics based on customers’ demands and business needs to satisfy the different needs of customers in a timely and efficient manner through a richer range of logistics solutions.
2023 Changjiu Logistics “Jiuyang Fortune” North America Service in Mexico
There has been a significant increase in the export demand for new energy vehicles, along with the remarkable expansion of independent brands overseas. This demand extends beyond traditional fuel vehicles, with a growing logistics need for KD parts exports and other related activities stemming from the establishment of overseas factories. Additionally, the new energy industry chain is rapidly expanding its presence in Europe and other regions, where major battery factories and raw material factories are gathering. As a result, there is a considerable demand for cross-border logistics in the new energy sector.Customers today are mainly worried about international logistics delivery time, alternative routing solutions, and supply chain resilience due to geopolitical issues and other factors. These are the areas where Changjiu Logistics excels.
Taking Ro-Ro business as an example, in 2020, Changjiu Logistics observed that the Ro-Ro market had entered the low point of the Ro-Ro shipping market cycle. At the same time, many partners are also planning to increase their efforts to expand overseas markets. Therefore, after in-depth research, Bo Shijiu decided to lay out the Ro-Ro business in advance and purchased the ocean-going Ro-Ro ship “Jiuyang Fortune” that year.
The photo of Changjiu Logistics “Jiuyang Fortune” Ro-Ro Ship
“The Jiuyang Fortune is the first ocean-going Ro-Ro ship invested by Changjiu Logistics, which is of strategic significance for our company’s international logistics business segment and is a milestone for the opening of Changjiu Logistics’ international Ro-Ro shipping.” Bo Shijiu further introduced that in the past few years, we have also been actively acquiring space resources from our partners, seizing the opportunity of the outbreak of the export of Chinese-branded cars in the past two years.

This year, the export volume of Chinese brand cars broke through a new high again, with more than 400,000 cars exported in a consecutive month. Changjiu Logistics once again expanded its international shipping capacity according to its business needs and purchased a 7,000-car Ro-Ro ship, which significantly increased its own capacity. Expanding on our previous achievements, our company will remain committed to partnering with other entities in order to expand our customer base and further promote the success of domestic vehicles on a global scale.

Changjiu Logistics is committed to the development of a comprehensive international logistics intermodal transport system. This includes enhancing the infrastructure for maritime, railway, cross-border highway, and international air transport, ensuring seamless connectivity and efficiency. By expanding our capabilities in these areas, we aim to provide a truly holistic solution for our clients’ logistics needs on a global scale.

Chnagjiu Logistics Finished Vehicle Yard in Chengdu—International Business Segment
In terms of cross-border highways, Changjiu Logistics will deepen the use of the logistics and transport resources of Adampol S.A., a subsidiary of Changjiu Logistics, in Europe and the Far East and give full play to its geographic location advantage of radiating the European market so as to expand the local distribution and cross-border transport services in the European region. In addition, the company is also expanding its business in Central Asia. “Not long ago, Changjiu Logistics acquired a cross-border highway order for SAIC-GM-Wuling’s export to Uzbekistan. “The company plans to support the high-quality development of the ‘Belt and Road’ in the next decade, responding to the national call and tapping into the great potential of the Central Asian market.”Bo Shijiu said.
Changjiu Logistics Successfully Entered Uzbekistan Market in 2023
(Source:China Securities Journal)
In terms of airfreight, Changjiu Logistics has recently officially become a member of the International Air Transport Association (IATA). “After obtaining the IATA qualification, we can co-operate directly with airlines.” Bo Shijiu said that this is an affirmation of Changjiu Logistics’ airfreight service capability and the company’s longstanding and continuous efforts, and that Changjiu Logistics will work hand in hand with its customers.
Changjiu Logistics officially became a member of IATA International Air Transport Association
3
Focus on New Energy Business
Creating the “second growth curve”
From the domestic automotive logistics market pattern, the leading enterprises and the similarity among automobile manufacturers in the market emphasize the strong dependence of automotive logistics on these upstream manufacturers. Consequently, automotive logistics managers are faced with the challenge of devising strategies to stand out in the stock market.
The Ministry of Industry and Information Technology, along with eight other departments, has recently released a notice regarding the pilot work of the comprehensive electrification of public sector vehicles. This initiative aims to expedite the adoption of electric vehicles in the public sector, thereby providing a significant impetus for the rapid growth of new energy vehicles. Additionally, this effort, coupled with the bolstering of consumer demand, will propel the development of the electric vehicle industry even further.

The exponential growth of new energy vehicles will greatly boost the advancement of the new energy vehicle industry chain in the aftermarket. According to Bo Shijiu, the distinct characteristics of new energy vehicle power batteries will trigger a “retirement wave” within the next two to three years. If these retired batteries are not handled properly, it will not only result in the squandering of valuable resources but also contribute to environmental pollution and various other concerns.

Changjiu Logistics 2023: New Energy Strategy Launch
How to properly deal with retired power batteries is not only an industrial and technical issue but also a major social issue that, in the future, will also give rise to a huge volume of the market. “Whether from the perspective of the company’s development or as a listed company to assume social responsibility, the power battery recycling cut into the new energy market is the optimal choice.” Bo Shijiu firmly believes that in this new track of new energy business, Changjiu Logistics will draw its own “second growth curve.”
In addition, Bo Shijiu predicted that with the rapid development of technology, the range of new energy vehicles will continue to increase, and the popularity of supercharging and fast charging will be a general trend, which will impose a great burden on the power grid. After sorting out and researching, Changjiu Logistics decided to launch in-depth cooperation with LYNKVERTX (www.linkutec.com) in the field of V2G (vehicle to grid). Specifically, Changjiu Logistics will take advantage of the group’s 4S dealership store resources to participate in the distributed energy storage segment with the C-suite’s offline outlets and big data system. While expanding the company’s business, this initiative is also bound to be able to contribute to the construction of the country’s new power grid.
However, it is worth noting that the power battery recycling industry is savagely expanding at the same time due to the lack of relevant legal norms caused by a number of hidden problems that are also gradually exposed. For example, “small workshops” have become one of the main recycling channels due to their low cost, but there is no guarantee for safety and environmental protection, which has become a new social problem.
“As a listed company that actively undertakes social responsibility, Longevity Logistics also hopes to promote the high-quality development of the industry and subsequently expects the relevant departments to continue to promote the introduction of more management methods and related rules, leading the industry towards healthy, standardized, and intensive development.” According to Bo Shijiu, based on the large amount of practical experience accumulated in power battery recycling and reverse logistics, Changjiu Logistics is well aware of the industry’s pain points. Therefore, our company participated in the preparation of the “Requirements for Logistics Traceability Information Management of Used Power Storage Batteries for New Energy Vehicles,” which has already been enacted, in the hope of enhancing the level of logistics traceability information management of used power storage batteries in China, ensuring that these batteries can be recycled and processed safely and effectively, and boosting the development of the industry in a standardised manner.

Exclusive Interview | Bo Shijiu: Starting the “Second Rise” on the Changjiu Three Business Sector “Troika” (Part 1)

Exclusive Interview | Bo Shijiu: Starting the “Second Rise” on Changjiu Three Business Sector “Troika” (Part 1)

Original Yang Yunfei China Journal of Logistics & Purchasing 2023-11-28 12:55

Dec 1, 2023, 10:45 a.m. EDT

Mr. Bo Shijiu Chairman of the Changjiu Logistics Group

 

Established in 1992, ChangJiu Logistics (CJL) has dedicated over three decades to serving the automotive industry. Throughout this time, CJL has experienced remarkable growth and played a pivotal role in shaping China’s automobile sector.

Group photo of the 30th anniversary of the establishment of the company

In 2016, Changjiu Logistics made history as the first A-share-listed third-party automotive logistics company in China. As a leader in the industry, CJL has consistently delivered exceptional performance. According to the latest financial report, the company achieved an impressive operating income of 2.858 billion yuan in the first three quarters of 2023, along with a net profit of 89.82 million yuan, marking a staggering nearly 30-fold increase year-on-year.

Changjiu Logistics was successfully listed on the Shanghai Stock Exchange in 2016

Between 2019 and 2022, CJL faced numerous challenges in the market, including the combined pressures of highway control, epidemics, and OEMs’ cost reductions. However, the company successfully navigated these obstacles and continued to thrive despite the circumstances, further solidifying its position as a reliable partner in the ever-evolving landscape of vehicle logistics.

“This year, 2023, the company has experienced a significant increase in net profit, primarily due to the gradual recovery of market vitality.” Recently, Mr. Bo, chairman of Changjiu Logistics, said in an interview with China Logistics & Purchasing Magazine that under the layout of its own railway, sea transport, air transport, and other kinds of capacity, we have seized the windfall of the export of automobile complete vehicles as well as the export of spare parts to push up the substantial profit growth.

Changjiu Logistics Finished Vehicles Warehouse

In the ever-evolving market environment, it takes entrepreneurs with a sharp strategic vision to navigate the right path for enterprise development. This year, in May, Bo Shijiu spearheaded a remarkable strategic upgrade for CJL. The company is determined to uphold its corporate vision of becoming a top-tier service provider in the automotive industry. With a clear focus on three major business segments, “Troika”—vehicle  business, international business, and new energy business—Changjiu Logistics is ready to embrace the future with unwavering determination.

This transformation is defined by Bo Shijiu as the “Second Rise” of Changjiu Logitics.

1. Insight into Market Trends
Diversified layout of vehicle logistics business
The boom in the automotive logistics industry is linked to the production and sales of automobiles. According to the National Bureau of Statistics, the value added of the automobile manufacturing industry above scale in 2022 increased by 6.3% over the previous year, higher than the growth rate of value added of the manufacturing industry in the same period by 3.3 percentage points. Also, according to the China Association of Automobile Manufacturers data, in the first three quarters of this year, China’s automobile exports reached 3.388 million, higher than last year’s total exports.
The double rise in production and sales means that the demand for vehicle logistics will also gradually become larger. “China’s auto market is slowly recovering its vigor after being affected by various factors, including the shock of the epidemic and tension in the global supply chain.” Bo Shijiu emphasized that the government’s implementation of various stimulus policies, such as purchase tax reductions and subsidies for new energy vehicles, has greatly contributed to the flourishing development of the automotive industry. This, in turn, has presented immense business prospects for the whole-vehicle logistics sector.
However, both opportunities and challenges exist. According to the International Automobile Manufacturers Association (OICA), since 2021, the automotive logistics market size has declined to the level of 2015, and the competition within the industry has been transformed from incremental market competition to stock market competition, which is characterised by both sides of the equation. This means that the industry has entered a phase of elimination.
In terms of the current competitive landscape of the domestic automotive logistics industry, firstly, there are large automotive manufacturers holding or participating enterprises; secondly, there are third-party automotive logistics enterprises that are independent of automotive manufacturers and have a considerable scale; and lastly, there are numerous small and medium-sized transport enterprises.
In addition, it is worth noting that in the whole car transport industry, although the state implemented GB1589 in 2017 to regulate the size of the road transport coupe and the number of loading units, but with the increasing cost of road transport, the soaring price of fuel, making the whole car logistics road transport costs further increase, in order to be able to increase profits, some unscrupulous companies are desperate to take the risk of lengthening and modifying the vehicle, illegal The circulation of modified vehicles in the market hinders the healthy development of the industry, causes bad money to expel good money, and triggers vicious competition in the transport industry.
Changjiu Logistics Vehicle Yard
“Compared with the automotive supply chain enterprises of the OEM system, the ‘three-party’ attribute of Changjiu Logistics (CJL) is particularly prominent.” Bo Shijiu admitted that based on the attribute of “third party,” the business scale and business categories of LCA are in the leading position in the field of automotive logistics. It is also based on these advantages that CJL is able to take a step ahead of the automotive supply chain enterprises in the system of OEMs in the layout of diversified businesses.
Changjiu Logistics currently covers most of the OEMs in the market, serves more than 60 brands, and has an annual shipping volume of up to 3 million vehicles. It can be said that it is in a leading position in the domestic third-party automotive logistics industry.
Changjiu Logistics carries out international railway transport of finished vehicles projects
“With the rapid development of new energy vehicles and the increasing penetration rate of new energy vehicles, the company is serving more and more new energy and new power brands, and the proportion of new energy vehicles carried is also increasing, which is one of the most obvious changes in the customer structure.” Bo Shijiu further introduced that, in addition to this, CJL has followed the development trend of the new energy industry and made use of its transport qualification for large and dangerous goods to expand the business of large logistics such as wind turbines and blades, as well as the logistics related to dangerous goods such as raw materials for power batteries, and it is expected to gain more customers in the future in the new segmentation field.

Changjiu Logistics Competitive Advantage: Technology-based, Channel synergy to Create An Ecological Closed Loop of Battery Recycling

Aug 2, 2023,14:36pm EDT

1.New Energy Division of Changjiu Logistics to Create A Second Growth Revenue Engine

In 2022, the Company has exciting plans to establish a cutting-edge “New Energy Division” that will revolutionize power battery recycling services. By 2023-2025, our strategic goal is to create a comprehensive nationwide power battery recycling network. We will achieve this by combining self-built initiatives with strategic mergers and acquisitions. Our focus will be on the dynamic field of new energy gradient energy storage, where we will invest heavily in pioneering power battery management technologies like BMS/PCS. Our ultimate aim is to provide a complete and unparalleled solution for the after-market.

2.”Recycling Distribution Sales” Multi-End Synergy, to Build Omni-Channel Reverse Logistics Capabilities

Recycling section: Leading third-party automotive logistics company, creating omni-channel reverse logistics capabilities. At this stage, power battery recycling channels mainly include B2B channels (battery factories, OEMs, vehicle operating companies) and B2C channels (automotive retail terminals).

China Euorpe CR Express Volvo Westernbound Loading Site

B-side(B2B):Changjiu Logitsics has been dominating the automotive logistics industry for over 30 remarkable years. With a staggering presence of 18 provincial companies and a whopping 90+ shipping outlets spread across the nation, our extensive network seamlessly covers the Northeast, North, East, Central, Northwest, and South regions in China. We take great pride in providing comprehensive automotive logistics solutions that cater to the diverse needs of numerous OEMs throughout the country. Our illustrious clientele includes over 60 renowned automotive brands such as BMW, Volvo, BYD, Mercedes-Benz, Tesla, and Li Auto.

Changjiu Shida Self-Owned Jaguar and Land Rover 4S Car Dealership in Beijing

C-side (B2C): The company’s controlling shareholder, Changjiu Group, possesses extensive resources in the automotive industry, including over 80+ 4S dealership stores and tuning factories. It offers a comprehensive array of services, including automobile insurance, vehicle replacement, second-hand cars, and automotive finance, among others.Relying on the platform of Changjiu Group, the company is expected to accelerate the layout of C-end recycling channels.

Sales side: Relying on multimodal transport system, promoting synergy of overseas sales channels.

Circulation side: Multi-dimensional capacity structure and hazardous chemical transport qualification further raise the channel barriers.”Optical storage, charging and inspection” integration synergy, strengthening the recycling channel stickiness. In May 2023, the company signed a strategic cooperation framework agreement with China Automobile Circulation Association to cooperate in the development of optical storage, charging and inspection integration projects, battery recycling channel construction, power battery data platform and other areas.

3. Technology Research and Development first + Industrial Resources Alliance, Accelerating the Industrial layout of Battery Recycling Research and Development and Innovation First, Continuously Improving theTechnology Chain.

Changjiu Logistics’ Strategic Co-operation in the Battery Recycling Field

  • GCL-Poly Energy Technology Company Limited (03.2022)
  • Beijing Circue Energy Technology Co.,Ltd (02.2023)
  • Jilin Changjiu Industrial Group Co., Ltd (05.2023)
  • China Automobile Dealers Association(CADA) (05.2023)