In the past few days, Hongxin Group has been taking emergency measures in response to the latest EU machinery treaty, and relevant measures have also been introduced in the international community.

The United States was the first to react, and three days later, the U.S. Department of Commerce issued a new policy. As many as 405 industrial technologies and equipment are listed as sensitive technologies and equipment, and sales to the outside world are prohibited.

Developed countries such as island countries that have mastered precision industrial manufacturing technology have also made some changes accordingly. For a time, Huaxia's domestic precision industrial equipment and imported spare parts for the automobile industry began to increase in prices to varying degrees, and some began to fall into shortage.

Some of China's industrial enterprises and the automobile industry are complaining. Their production costs will inevitably increase, and the competitiveness of enterprises and products will naturally decline.

Pengyun Automobile has been affected even more. Automobile products, which are already in short supply, are directly facing the crisis of production suspension!

Germany, Stuttgart, Robert Bosch GmbH. It is one of the world's top precision mechanical and electrical engineering companies, and is also the world's largest auto parts supplier.

Meng Ziping, a business representative from Huaxia Pengyun Automobile Group, and several colleagues were visiting Bosch's headquarters factory. At the same time, they were also responsible for discussing the latest cooperation in the supply of auto parts.

In an automated factory, complex and sophisticated industrial robots and instruments are working in an orderly manner.

"Our machine can make parts accurate to the nanometer level, and the quality of all parts is the highest standard in the world!" Bosch executive Fran proudly introduced.

In terms of precision manufacturing, their technology has been leading Chinese enterprises for more than ten years, and Chinese entrepreneurs who visit Bosch will be amazed every time.

Mencius is no exception. He has worked in the auto industry for nearly ten years. Before coming to Pengyun Auto, he was the vice president of a Sino-foreign joint venture auto parts company.

Compared with the Bosch Group, their industrial level is simply insignificant and not worth mentioning! Even the precision of one millimeter is a huge technical obstacle in industrial manufacturing!

And there is no such powerful numerical control system in China at all, which can support systematic industrial production and manufacturing.

"It's really amazing." Meng Ziping said with emotion, while he was talking, the smartphone he carried with him had translated his words into German.

"Mr. Fran, we have always recognized your company's products very much. You are our largest auto parts supplier for Pengyun Auto in Germany. This time I came to Germany to re-determine our supply relationship."

Fran kept a smile and said, "We are happy to provide the best products to our friends in Huaxia."

Having said that, when it comes to specific matters, the Bosch Group has not retreated.

"I'm sorry, affected by the ban, we cannot authorize these 'sensitive' technologies. But we can guarantee that the products are still open to you! It's just that some adjustments need to be made in terms of price." The German side's attitude is very simple. No longer open, but selling products to make money, they are very happy.

"The price increase ratio has reached more than 10%, plus the relevant tariff adjustments from the EU, we cannot accept such a price!" Meng Ziping argued with reason.

The German negotiator shrugged and said, "Mr. Meng, this is not a problem that my little negotiator can solve. This is a decision of the European Commission, and regulations have been issued. We must abide by it!"

...

In Huaxia, Pengyun Automobile headquarters, unfavorable news came one after another.

"The German Bosch Group rejected five technical support, and the price increase of parts and components reached 12%."

"The spare parts supply plan proposed by Johnson Controls in the United States is 14.8% higher than our budgeted cost!"

"French Faurecia has adjusted the three spare parts it has supplied to sensitive products, and will stop supplying us in a short period of time."

"The island country's suppliers are not very satisfied, and their asking prices are also not low."

The impact of these negative news is not only that, the reaction caused by the industrial and automotive industries is even stronger.

There has been news in the auto industry that from next month, some domestic cars will be affected and their prices will start to rise, and the cost performance will be lower than that of foreign cars.

The most affected is Pengyun Automobile. Pengyun Automobile 4S stores in various places have almost stopped booking new cars. The inventory has been decreasing, but the production capacity has been decreasing.

This caused many users to complain and question the production capacity of Pengyun Automobile.

And some experts and media in the automotive industry have also begun to speak out, calling it Shuipengyun Automobile.

Voice of Cars Media: "Pengyun's self-driving car, which has been popular for less than two months recently, has encountered Waterloo before reaching its peak. It is reported that, affected by the latest automobile regulations such as the European Union, the United States, and island countries, Pengyun Auto's parts suppliers have Price hikes or out of stock.”

"According to the survey, since this month, half of Pengyun auto dealers have suspended new car reservations, which will greatly dampen the enthusiasm of consumers and the production and supply of Pengyun automobiles."

Experts also analyzed: "Starting with the current form of the auto industry, there are only two ways for Pengyun Auto. One is to increase the price and completely turn Pengyun Auto into a luxury car, which is separated from the consumption level of the general public."

"The second is to replace suppliers and low-profile parts, which will undoubtedly lead to a reduction in the performance and grade of the car. According to this speculation, Pengyun Automobile is likely to produce new mid-to-low-grade cars to deal with the crisis."

...

Such analysis results also arrived at Lu Zixin's desk. Faced with the established facts, Pengyun Auto can only actively change. After all, they can't force others to lower prices or provide technical support.

"Mr. Lu, there are several new technologies and products. We Pengyun Automobile are almost the only domestic car brands in China that use them. But every one of them is listed as sensitive technology and products!" Jiang Xunmei said She said indignantly that the company encountered a roadblock as soon as it reached the road, and she was so overbearing and arrogant that she felt uneasy.

In her previous career, she had never encountered or heard such a thing, a company was regarded as a threat by those developed countries, and there were special regulations to restrict it.

Lu Zixin smiled, and said proudly, "I can't believe that our Red Letter Group has such influence now!"

Jiang Xunmei couldn't understand his thinking, isn't this bad news? First of all, Pengyun auto dealers in various places are asking the headquarters every day when they will be able to supply. The headquarters is also considering how to adjust the supply chain to minimize losses.

One thing is for sure, car companies will definitely be greatly negatively affected.

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