• time;2025-04-09 19:17:00

What challenges will China's heavy truck industry face in 2025? How can enterprises break through the situation?

Recently, heavy truck industry chain enterprises such as FAW Jiefang, China National Heavy Duty Truck Group, Weichai Power, and Hanma Technology have successively released their 2024 annual reports. Multiple companies have warned in their annual reports that the heavy truck industry will face multiple risks in 2025, including intensified market competition, market restructuring, changes in policy environment, and international trade uncertainty.

Fangde.com combines annual reports with corporate strategies to deeply analyze the future changes in the industry.

Risk 1: Industry reshuffle intensifies

In 2025, the heavy truck industry may face more intense competition, and the industry reshuffle will further accelerate.

FAW Jiefang pointed out that the current commercial vehicle market is facing a complex situation of "domestic stock competition" and "overseas incremental competition" coexisting. Top enterprises have established a competitive system covering product pricing, differentiated marketing, financial solutions, and other dimensions, and industry competition is developing in depth.

Despite the domestic policy dividends and the release of updated demand in some overseas markets, the commercial vehicle market can only maintain a weak recovery trend in the short term due to macroeconomic pressures at home and abroad, as well as industry cyclical adjustments. Policy guidance combined with market pressure, industry concentration continues to increase, and the survival space of small and medium-sized enterprises is further compressed, "said FAW Jiefang.

Jianghuai Automobile also emphasized in its annual report that the increasing profit pressure on the commercial vehicle industry in 2025 may affect the healthy development of the industry. Hanma Technology also bluntly stated that as the heavy truck industry shifts from high-speed growth to stable growth, the competition mode continues to upgrade, and the market elimination competition will become even more brutal.

Risk 2: Changes in Market Structure

Under the wave of new energy transformation, the market landscape is undergoing reshaping, and enterprise transformation is urgently needed.

FAW Jiefang analyzed that the penetration rate of the new energy commercial vehicle market is rapidly increasing, and the trend of diversified technological routes is evident. The shift in policy orientation and diversification of demand have forced enterprises to accelerate their adaptation to new market structures. Currently, traditional car companies are accelerating their transformation, new forces are entering, cross-border players are entering the market, and market competition is surging

At the same time, consumers' requirements for the brand, performance, and service of new energy products are becoming increasingly stringent, coupled with the pressure of subsidy reduction under policy promotion. The competition for market share is becoming more intense, and the risks of price wars and profit compression are highlighted.

In response, FAW Jiefang proposed a "technology+service" dual wheel drive strategy: on the one hand, it deeply cultivates new energy and intelligent technology, and launches differentiated products; On the other hand, building a specialized and efficient service system to enhance user stickiness and avoid falling into low-level competition.

Risk 3: Policy adjustments and changes

The changes in policy environment add uncertainty to the industry, and enterprises need to respond dynamically.

FAW Liberation Analysis stated that the national level is guiding industry upgrading through multiple policies: on the one hand, strengthening compliance management, such as strictly controlling the quality of truck modification and accelerating the elimination of non compliant enterprises; On the other hand, policies such as trade in subsidies and support for new energy vehicle models can stimulate demand. The differentiated adjustment of local policies further exacerbates market volatility.

In this regard, FAW Jiefang suggests that enterprises establish an "agile response mechanism": by monitoring policy trends in real time, optimizing cost structures, and promoting technological upgrades, they can grasp policy dividends with flexible strategies while avoiding compliance risks.

Risk 4: Sudden increase in difficulty of going out to sea

Geopolitical risks combined with technological barriers may make it increasingly difficult for Chinese heavy-duty truck companies to "go global".    

China National Heavy Duty Truck Group warned in its annual report that in 2025, the world economy will maintain a moderate recovery trend, international trade will continue to recover, and global inflation will decrease, but it still faces complex changes and many uncertainties. For example, geopolitical conflicts, escalating trade tensions, and high borrowing costs in many parts of the world.

FAW Jiefang proposed the strategy of "globalization requires localization and deep cultivation": relying on the advantages of new energy technology, developing adaptive products for the target market; Improve overseas service network and enhance after-sales response efficiency; Steadily expanding market share in complex environments through brand influence and customized services.

In 2025, the competition in the heavy truck industry is destined to be a contest of "comprehensive strength". From transitioning from new energy to breaking through overseas, from policy response to cost control, enterprises need to find "opportunities" in the "changes". The top companies have given the answer - to solidify the foundation with technology, build barriers with services, and respond flexibly to fluctuations. For small and medium-sized enterprises, they may need to focus on niche areas and create differentiated advantages in order to survive in the reshuffle.

After all, the laws of the market have never changed: survival of the fittest, the strong always remain strong.

Article source: Reprinted from Fangde.com