An Interview with CST Xiamen Group
With the implementation of the new national standard on electric vehicles in April this year, enterprises are ready to meet the challenge coming with this upgrade. At the past 19th North China International Bicycle and E-Bike Exhibition, CST released three new products, adopting brand-new technologies to fully respond to national policies and market changes. Recently, MEGA CHINAMOTOR, together with LOBO REPORT, China Motorcycle Ranking List and Topddc had the honor to interview Dr. Xu Zhiming, general manager of CST Xiamen Group.
MEGA CHINAMOTOR: At the new product release conference, we saw that all three new products adopted the new low rolling resistance G formula technology. What is your new direction of product development?
Dr. Xu:The new low rolling resistance G formula technology is customized and developed by CST in response to the demand of improving the range of the two-wheeled electric vehicles.
For the research and development of products, we are always keeping up with the market trend, and constantly trying to innovate products, upgrade technology and optimize product structure. In particular, the implementation of the new national electric vehicle standard further promotes the EV technology upgrade and market segmentation process, to adapt to the technical requirements of “light weight, long cruising range” for electric vehicles. Thus, we are actively adjusting the new product R&D layout and optimizing technologies.
MEGA CHINAMOTOR: How much do you invest in R&D every year? What is your focus?
Dr. Xu:Currently, our investment in research and development accounts for about 3%-4% of the Group’s total revenue. The focus of R&D is on three main aspects: OE enterprises, users and environment.
Take the EV tires as an example. At present, many of our EV tire series have been supplied to many assembling factories. As complete vehicle manufacturers, OE enterprises pay attention to users’ needs from the perspective of vehicle design. They pay more attention to product innovation. At the stage of research and development, we try to capture performance demands in advance and develop corresponding products.
Secondly, during R&D process, we attach great importance to user groups and focus on user experience. While ensuring the safety and comfort of products under normal conditions, we care much about the safety of users.
In addition, during the production as well as the R&D process, we have always implemented environmental protection principles, actively responded to the national environmental protection policies and relevant product standard rules, promoted “green factory and green production”, and adopted environment-friendly formula to produce products. While undertaking our green responsibility, we are making continuous optimization and upgrading to our new products.
MEGA CHINAMOTOR: What is your next development layout in the field of EV tires?
Dr. Xu:The implementation of the new national standard is bound to cause greater impact on the entire EV industry. Lighter weight and lower rolling resistance will sure be the trend of tire research and development. We will keep focusing on exploring technologies of these two aspects. At the same time, we will make technology improvement on run-flat tires.
MEGA CHINAMOTOR: You have recently held the opening ceremony of “CST North Logistics Service Center”, what is the impact on CST sales and service?
Dr. Xu:In response to the national environmental protection policy, the Group has decided to transform the Dafeng plant in Tianjin to be the northern storage and logistics service as well as market service base in 2019, and named it as “CST North Logistics Service Center”. Its establishment will further enhance our service function in the northern market, provide more timely and efficient product sales, logistics and transportation services for the Beijing-Tianjin-Hebei region and the northern market, and assist the headquarter of CST Xiamen Group in providing better market services for OE and RE customers.
2019 marks the 30th anniversary of CST Xiamen Group. At this time point, we expect to enhance our brand influence and deepen consumers’ understanding of Cheng Shin Tire through marketing promotion and publicity of exhibitions.