Dongfeng Opens Its First Powertrain Plant in China

China’ truck manufacturer Dongfeng Commercial Vehicles Co Ltd. (DFCV) on May 11 announced that its first powertrain plant opened in China. The powertrain plant is merged into by the former engine plant and transmission plant. Based on a Profit Center Management, the new plant will mainly develop and manufacture engine and transmissions, under the brand Dongfeng.

The establishment of powertrain plant is a massive step for Dongfeng in the solid implementation of reform measures. In earlier 2018, Dongfeng has set up the Commission on Deepening the Reform and proposed to optimize factory business and merge subsidiaries, aiming at taking a lead in domestic CV market. Dongfeng has been making an effort in recent years to integrate old and new factories, optimize organizational structure, resource allocation and business processes so that they would be able to establish an efficient powertrain system to boost Dongfeng’s competitive capability.

The former engine and transmission plants have a history of 50 year and have contributed a lot to Dongfeng’s development. As more and more attention is being given to the powertrain as a whole, instead of just engine or transmission, the merging of two plants become a must. It is a great adjustment to the organization structure, as well as an inevitable choice of history establish powertrain plant.

The objective of the powertrain plant is to provide valuable back up to Dongfeng’s competition and become a core profit source under modern management framework and operational processes. (www.chinatrucks.com)

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