Xuchang Yuandong Drive Shaft Co., Ltd.
远东传动
002406
Shenzhen Stock Exchange
Company Profile
1. Customer resources and brand advantages After years of accumulation in the field of transmission shafts, the company has accumulated rich customer resources. The customer base covers most commercial vehicle and construction machinery enterprises. The company has established stable supply relationships with China National Heavy Duty Truck Group Jinan Commercial Vehicle Co., Ltd., Beijing Foton Daimler Automotive Co., Ltd., Shaanxi Heavy Duty Truck Co., Ltd., SAIC GM Wuling Automobile Co., Ltd., Jiangling Motors Co., Ltd., and has been rated as an "excellent supplier" by vehicle manufacturers for many consecutive years. The company has maintained a stable supporting relationship with vehicle manufacturers, which has enabled the company to obtain long-term stable orders; On the other hand, due to the high requirements of downstream customers for the stability of supply quantity, product quality, and after-sales service, some host companies also require automotive parts companies to have certain synchronous design and research and development capabilities. Therefore, the stable and in-depth cooperation between the company and customers over the years has increased the conversion costs for customers and raised the entry barriers for competitors. The non constant speed transmission shaft products produced by the company have been widely recognized by industry customers in terms of quality, application effectiveness, and technical services, shaping a good brand image. 2. Technological innovation advantages The company is a leading enterprise in the production of non constant speed transmission shafts in China and one of the industry standard setters. The company has always regarded technological innovation as one of the core driving forces and has carried out a large amount of research and development work in the field of transmission shafts, forming a series of core technologies with the following technological innovation advantages: ① The company's main products and technologies are based on independent development and have independent intellectual property rights. As of June 30, 2025, the company has 197 valid intellectual property rights of various types (including 31 invention patents, 162 utility model patents, and 4 software copyrights); ② The company is a national high-tech enterprise. Through long-term technological accumulation, it has developed leading transmission shaft manufacturing technology in China and has been nominated for the "China Industry Award". It is also a "National Manufacturing Single Champion Demonstration Enterprise", "National Green Factory", and "National Green Supply Chain Management Enterprise". The company has research and development platforms such as the "National Recognized Enterprise Technology Center", "National Postdoctoral Research Workstation", "Henan Automotive Transmission Shaft Engineering Technology Research Center", "High Performance Lightweight Transmission Shaft Henan Engineering Laboratory", and "Henan Industrial Design Center". 3. Scale advantage of non constant speed transmission shaft At present, the company has achieved large-scale production of non constant speed transmission shafts and can produce more than 8000 varieties. It is a professional manufacturer of non constant speed transmission shafts with a wide range of varieties and specifications in China. It has advanced and specialized production and testing equipment, and has a clear competitive advantage in the non constant speed transmission shaft market. Its comprehensive market share has remained at the top of the industry for many years. 4. Advantages of industrial chain ZTE Forging, a wholly-owned subsidiary of the company, specializes in providing raw materials for the main components of transmission shafts, which helps the company save production costs and shorten the development cycle of new products. It also facilitates the synchronous development of molds by ZTE Forging and the design and development of new products by vehicle manufacturers, improving the company's ability to quickly respond to the requirements of large vehicle manufacturers for new product development. The company's pipe manufacturing factory can provide high-quality steel pipes specifically for transmission shafts used in commercial vehicles, engineering machinery, and passenger cars. It can also use iron filings and forged scrap materials from the company and its subsidiaries as raw materials to produce precision cast steel components required for the company's transmission shafts. Beneficial for extending the company's product industry chain, reducing production costs, enhancing the company's sustained profitability and market competitiveness. 5. Marketing service advantages The company implements the strategy of "lean production zero distance, automobile base construction factory", invests in building factories around major automobile production bases in the country, improves the market network strategic layout, brings convenient services to customers, and establishes long-term strategic partnerships with well-known domestic automobile manufacturers. The company has a large number of high-quality customer resources in the industry; Simultaneously participating in the synchronous development of new products by vehicle manufacturers, meeting customer needs, enhancing market competitiveness, the company has established a comprehensive after-sales service system, and can quickly respond to the after-sales requirements of vehicle manufacturers. 6. Management advantages The company has a mature, stable, and professional management team. After years of production and operation, through continuous improvement and optimization, a set of internal management systems suitable for the company's own development has been summarized, providing a guarantee for the company's production and operation and steady development, enabling the enterprise to maintain a leading position in the industry for many years in fierce market competition. The company has established a strict quality control and assurance system, and has passed the IATF16949:2016 quality management system certification, GB/T24001-2016/ISO14001:2015 environmental management system certification, and ISO45001:2018 occupational health and safety management system certification, making the company's product quality assurance system reach the international advanced level. A professional management team, lean production management, and strict quality control system enable the company to provide high-quality products at low cost and high efficiency.
Full description
The company is mainly engaged in the research and development, production, and sales of non constant speed transmission shafts, constant speed drive shafts, and related components. The company's main products are non constant speed transmission shafts and constant speed drive shafts. Non constant speed transmission shafts cover four major series of heavy, medium, light, and construction machinery with multiple varieties, mainly used in commercial vehicles, construction machinery (loaders, cranes), special vehicles, etc; Constant speed drive shafts are mainly used in passenger cars. The transmission shaft industry is an important component of the automotive parts industry. At present, domestic transmission shaft production enterprises have the basic ability to develop and produce non constant speed transmission shafts for commercial vehicles, construction machinery, and other vehicles, as well as drive shafts for mid to low end passenger cars. They also have the ability to introduce and digest production technology for drive shafts for mid to high end passenger cars. The variety of domestic transmission shafts can almost cover all application fields of transmission shafts, meeting the needs of rapidly developing construction machinery and automotive production and maintenance services. The periodicity of the transmission shaft industry is mainly influenced by the periodicity of downstream vehicle manufacturers, and the production and sales volume of downstream vehicle manufacturers directly affects the production and sales of the transmission shaft industry. Transmission shaft production enterprises mainly target large vehicle manufacturers, while the production and sales volume to end retail customers is relatively small. Therefore, a business model of production based on sales and ordering based on production has been formed. Usually, transmission shaft production enterprises must obtain the recognition of supporting large vehicle manufacturers and obtain sales contracts before organizing production and purchasing according to production needs; Another part of the transmission shaft products have entered the maintenance service market through the parts repair industry. After years of development, the company has grown into a leading enterprise in the production of non constant speed transmission shafts in China, with a comprehensive market share that has remained at the top of the industry for many years. It is also one of the standard setters in the transmission shaft industry.