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In 2019, the automotive market revenuekeep declining, the diesel engine market was volatile.Corporates faced an huge developmentuncertainty. Shengrui resisted the pressure and went up against the bad situation by vigorously implementing the innovation-driven strategy, acceleratingthe transformation from the traditional energy to new energy, comprehensively carrying out structural adjustments and institutional reforms, and taking the lead in getting out of the market predicament. Various business sectors rebounded in an all-round way, and the company achieved high-quality development .

Diesel engine parts Plant innovate the operation mode by merging the former No. 1 plant, No. 2 plant, and foundry company into one diesel engine parts company.Shengrui became a joint venture by uniting with 6 corporations, which is with a new industrial chain with light assets, low investment, a complete industrial system; Shengrui¡¯s A-line Intelligent Metal Forming Center was put into use, and both the equipment performance, process level and various indicators reached the design standards, which become the benchmark for the Chinesefoundry industry, and accelerates the intelligent transformation and labors replacement. The "Manufacturing Connected Intelligence" of blueprints has emergerd; the major customer development strategy has been very more effective, and been rated as an excellent supplier by many customers such as Weichai and Cummins. A large number of high-quality customers from all over the world have reached a cooperative relationship with Shengrui.

For automatic transmission part, we seize the firstopportunity year for hybrid model, and complete the HTCU system integration with P2 hybrid&8HTdual U integration, which push us into the field of new energy vehicles; Shengrui established a comprehensive strategic cooperation relationship with United Automotive Electronics, formed a collaborative innovation alliance, and seize new Energy motor and electronic control technology highland. All of which make it the China's complete hybrid-power assembly; Besides, a new product profile was formed by vertical rear-drive 8AT and vertical hybrid 8HT, whichmake us enter the pickup and light truck markets, and become the only one that can compete with foreign competitors in Vertical 8AT products;

Front-drive 8ATs include model of 250Nm, 300Nm, 380Nm and other series products. The quality of the second-generation 8AT has been recognized and praised by society, industry and consumers, won the National Quality Award for Outstanding Project Award, and was selected as a single champion in manufacturing industry; Three generations of 8AT successfully launched FAW Pentium T99, entered the "national team", received customer recognition, replaced foreign imports, reached China's first-class level, and the world's top ten transmissions; China's first intelligent production line with annual production of 300,000 hybrid automatic-transmission  has been put into use, and an annual production capacity of 600,000 8AT units has been normal state.

From 2020 to 2025, Shengrui will concentration on creating an industrial advantage full of confidence and will work with suppliers to move towards a new high-end trend. The diesel engine parts and components segment will increaseinvestment in research and development, shift its products from low-end to high-end ones both at home and abroad, and form strategic partnerships to build the Shengrui brand with high-quality products and services. The automatic transmission module with three major product platforms of new energy 8HT, front-front drive 8AT, and vertical rear-drive 8ATforms a full range of multi-variety product strategic layouts. While expanding the market of China's first-class market, it has been striving to enter the international market, formscale effect, become an internationally renowned brand, boost the confidence of the industrial chain, consolidate the pride of Shengrui people, and lay the foundation for Chinese pride.

In the next 5 years, Shengrui has the confidence, determination, and ability to build high-quality products, move towards the high-end market, and achieve the ultimate goal. Let's respect and trust each other in the new business format, build a complete industrial chain ,including suppliers, Shengrui, and customers, and creat an unbreakable destinycommunity . All shengrui people unitehearts, work together, unify thinking, goals, and action to work hard to build a new value chain and move towards a new high-end industry! .

Finally, I wish everyone a happy family, good health and good luck!


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