ABT Chapter 0114: Caught by the Throat

Although Anning and Li Fanyu had differences regarding the establishment of the factory, ultimately, it was all for the sake of giving ZGX888 a broader future. It was just their different ways of thinking that led to different starting points.

Anning was accustomed to the mode of production she had been running, so she didn’t feel anything wrong with the supporting production model. However, Li Fanyu felt that this approach placed too high demands on the company's quality inspection and acceptance capabilities. Currently, he didn’t have a reliable inspection team, and if any link went wrong, it wouldn’t be fun.

Moreover, deep down, he was still a bumpkin; he didn’t feel comfortable assembling parts that he couldn’t control into a whole machine. So, after careful consideration, he still felt that there should be their own headquarters. This headquarters didn’t need to produce all the parts of ZGX888, but at least the main parts like cylinder heads and blocks should be produced independently. The parts would be supplied by supporting factories and assembled under their own supervision. They were aiming for nothing else but to ensure the quality of the products to the greatest extent.

After returning to Zhengxin, Li Fanyu and Anning listed out all the pros and cons, and in the end, it was Old Zhang who acted as the judge and believed that Li Fanyu's idea was more conducive to development.

With the tone set, progress sped up. Almost like lightning, the motorcycle factory by the seaside changed hands to Zhengxin and was officially renamed Zhengxin Power.

The owner of the factory was afraid of a change of heart and transferred the factory ownership in the quickest time possible. To ensure that nothing went wrong, Li Fanyu specifically hired a lawyer to sign a very rigorous transfer contract.

After everything was settled, Li Fanyu found Sun Guoyi. He felt that although this person was reserved, he was a genuine manager. Currently, he was short of people, and if he couldn’t manage product quality control well, everything would be nonsense. Sun Guoyi, who was responsible, capable, and knowledgeable about factory equipment production, was exactly what he needed.

Of course, Sun Guoyi was more than willing. He immediately said that some of the good hands from the old factory were not doing well now. If the factory lacked people now, he could recruit them all back.

With the headquarters established, it was time to recruit. Li Fanyu readily agreed. It turned out that these few people were really good, although they were a bit older, their skills were unquestionable.

Motorcycle engines weren’t much different from car engines; if anything, car engines were more complex in structure and had higher technical requirements.

Fortunately, the processes were the same, and making an engine was not difficult apart from those intricate small parts.

For now, due to the limitations of the factory's scale, the output was relatively small. There was no way around it; without sufficient capital, there was no way to increase production.

However, Li Fanyu still spent several days working with Sun Guoyi and others to establish strict production and quality inspection processes.

How strict? Take the cylinder block, for example; after grinding, it had to be inspected under a microscope.

After a week, the access qualification from the Ministry of Industry and Information Technology came through, and at the same time, the trial batch of machines from the factory officially went offline. Li Fanyu joyfully caressed the gleaming engines. This batch of machines, manufactured through normal assembly line operations, held a different significance for him. It was a product of self-reliance, without relying on Xapp or external forces. Every step was personally involved, and every process was strictly controlled. Due to the small output and strict supervision, the quality rate reached one hundred percent.

That day, Zhengxin officially announced through the news channels that ZGX888 had officially entered the mass production stage. At the same time, Anning, through the Automotive Industry Association, invited national vehicle manufacturing companies to negotiate the supply of ZGX888 powertrains.

However, after two full days passed, all Anning received were congratulatory calls, and not a single company came forward to discuss cooperation — this was highly unusual. Previously, Anning had conducted a detailed market investigation and knew that at least seven automakers had a demand for 1.8-2.0L displacement engines in their new models. In desperation, she had to take the initiative to contact them.

Only then did she find out that Mitsubishi had made a move.

Three days ago, Mitsubishi announced in the Chinese market that new models using the Mitsubishi G-series engines would receive a ten percent price discount. The 1.8T and 2.0L engine series would all have a fifteen percent price reduction.

Taking the G642.0L as an example, the previous supply price was twelve thousand yuan per unit, and after the discount, it approached ten thousand yuan.

Simple, brutal, yet directly aimed at ZGX888's Achilles' heel.

It's said that Mitsubishi had been closely monitoring Li Fanyu's movements during this period. After Li Fanyu acquired the motorcycle factory, he calculated the factory's production capacity and product costs. In fact, these things couldn’t be concealed from professionals. The scale of Zhengxin Power was there, and based on the already exposed engine technology, one could roughly estimate the structural and component costs. Without large-scale production lines, it was almost manual work, with a daily output of no more than fifty units. When Mitsubishi's senior management held this report, they were ecstatic, even exclaiming that there was nothing to fear. It was precisely because they saw this point, they took advantage of the price advantage, and Mitsubishi struck a blow at Zhengxin Power's ribs.

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