ZHENGZHOU, CN. – Yutong currently has four manufacturing plants for buses, trucks and vans in China, and a fifth plant is under construction to expand its manufacturing capacity.

Although the original equipment manufacturer already has nearly a thousand buses circulating in Mexico, and a good number of cargo vehicles in testing for the last mile segment, the automaker has decided that, for the moment, it does not plan to install a plant on Mexican soil .

“Setting up a plant requires a huge investment and a company must always find a balance between this investment and its return. In this sense, Yutong, a responsible company, analyzes this step in depth and carries out feasibility studies,” explained Michael Ren, general manager of Yutong Mexico.

He said that the Chinese company’s policy is not to install plants that are not sustainable in the long term, which, in addition to not being profitable, put at risk the sources of employment that may be generated .

“We do not want to invest in the markets and then have the plant not be able to maintain normal operations because it does not have continuous orders or lacks the right product for the markets. We cannot have staff turnover because that would be irresponsible,” he said.

However, since Mexico is the country on the American continent with the highest sales volume, Ren explained that since the beginning of 2024 the manufacturer has already been conducting a study in Mexico and a verification of the market .

The general manager of Yutong Mexico explained that the brand has a greater presence in the country every day, its sales have been growing progressively and this year it will close sales of around 600 units and projects that for the next few years it will reach an average of sales of a thousand buses annually.

“If we have continuous orders, we can guarantee the normal operation of the plant and this would be the basis for the investment. We believe that in 2025 we can have a strategic decision to invest in an assembly plant with the right form and the appropriate model for Mexico, because more than an investment, it is an action of responsibility for the brand,” said Ren.

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The status of 5,862 new energy buses, including 4,141 electric buses, 1,282 hybrid buses and 423 hydrogen buses, dedicated to the city’s public transport service, is monitored at this site. Yutong has more than 22 charging stations with 2,795 chargers available to charge the buses.

In addition, statistical data is verified to carry out the analysis and study of all vehicles that circulate daily to maintain high efficiency in the fleet and provide the best service to users .

The Yutong Fleet Management Center is the general monitoring base, however, the brand has six satellite centers around the city, with this the bus brand ensures comfortable and intelligent mobility, which benefits users.

Michael Ren, general manager of Yutong Mexico, explained that they have two maintenance service workshops and a training center to service the buses.

More than 400 routes covering 5,610 kilometers are controlled from the main base of the Fleet Management Center . In 2023, the total capacity was 547 million passengers, and on a daily basis these routes mobilized more than 1.5 million people with a daily distance of more than 760 thousand kilometers.

The case of Mexico

Ren explained to T21 that in Mexico there is also a monitoring center for both the Trolleybus and Metrobus electric transport systems . To date, Yutong has more than 500 buses operating in the country on these transport systems.

“The smart buses operating in Mexico have integrated telemetry to access all the information. Although this system is not as complex as the one operating in the city of Zhengzhou, it does have access to operational and maintenance data on the units, as well as statistical information to help with fleet management,” said the executive.

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ZHENGZHOU, CHI.- Yutong opened the doors of its manufacturing plant located in this city, capital of the Henan province in China, one of the four manufacturing complexes that the original equipment manufacturer currently has in its country of origin.

The plant has a maximum production capacity of 400 high-end vehicles per day on eight production lines and is capable of producing various types of units , from urban and intercity buses to light trucks and tractor-trailers, as well as passenger vans, all destined for foreign markets.

The Zhengzhou plant can manufacture units with various engines : diesel, hybrid and electric, however, the latter is the most common due to its high demand.

The complex also has a test track where each of the units produced is subjected to various operating scenarios, for example, high speeds, turning radius, driving on 45-degree slopes and extreme rain and flood conditions. It also has a state-of-the-art, 100% automated paint booth.

The plant has a technological research centre in engineering with seven test pavilions, among which the adaptability of the units to different temperature conditions stands out, ranging from 20 degrees Celsius below zero to 55 degrees Celsius. In addition, energy absorption tests in the event of a collision , to ensure the safety of the vehicle occupants.

The research center also has a specific area where the sound insulation of the units is tested.

“We use different materials for the manufacturing of the units, both for the roofs and for the floors and windows to isolate the engine noise, with the aim of guaranteeing a more comfortable environment for the occupants,” said Gustavo Yu, Yutong’s new energy promotion manager for the Latin American market.

The specialist explained that the noise and vibration test room not only tests the materials from which the vehicles are made, but everything as a whole. “At the Yutong plant in Zhengzhou we have the largest test room in Asia that is capable of testing vehicles up to 18 meters long that travel at a speed of 135 kilometers per hour . The data obtained from these tests serve to improve the design of the powertrain, so that a better experience is provided to users,” he said.

Another important area is the electromagnetic performance room, since electric buses require the installation of multiple electronic devices, for example, cameras, sensors and radars that are necessary for assisted driving.

“There are problems with the coexistence of different devices because they send electronic waves into the environment, which can cause mutual effects. That is why we carry out all kinds of tests to find out if there is any kind of problem. If so, our team of engineers optimizes the design so that they work perfectly,” he said.

Yutong also thoroughly tests its power batteries to verify their safety and reliability. They are subjected to various extreme situations such as: overturning, falling, burning, immersion in water, mechanical vibration, penetration of objects, among others.

“ Yutong’s four plants in China represent around four million square meters of surface area ,” Michael Ren, general manager of Yutong Mexico, explained to T21.

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In order to meet the demand for last-mile logistics, Yutong Mexico has added a new five-ton light truck to its product portfolio, the T5 electric truck that sets sail from China and disembarks at the port of Mazatlán . To date, 50 units have arrived in Mexico and are now available in Mexico City, Guadalajara and Monterrey.

To ensure the arrival cycles of the units, Yutong has partnered with an efficient supplier for the movement of vehicles. It is worth noting that from the time the order is placed, the vehicles leave China and until they reach the distributors, approximately four months pass.

As a result of the pandemic, the last mile is an important area of ​​opportunity, e-commerce has increased exponentially and in order to respond to this dynamism, the brand incorporated T5, which is added to T2 and T3 that are already operating in the country.

Jeremy Zung, Commercial Director of Yutong Trucks Mexico, shared in an interview that the new member offers an average range of 250 kilometers (km) per charge with a 100.46 kilowatt battery with an eight-year or 400 thousand km warranty with a useful life of 15 years. He explained that to date the brand already has T5 units on loan with some clients in Mexico.

To serve the entire ecosystem of the new T5 truck, Yutong has a comprehensive strategy that considers both the sale of units and the ease with which customers can access charging points and/or the facilities to install chargers in strategic locations, Michael Ren, general director of Yutong Mexico, explained to T21.

For his part, the Commercial Director of Yutong Trucks Mexico, pointed out that for Yutong it is not just about selling the units, but rather offering an integrated solution for customers. “We offer the chargers and the installation of the infrastructure to avoid any potential problems that may arise.”

Regarding after-sales service, Anel Hernández, Director of Operations for Yutong Trucks in Mexico, explained in an interview with T21 that the Chinese manufacturer has six years of experience in the national market, which has contributed to solidifying a network of maintenance services.

“We have locations to carry out after-sales services and attend to collisions, on the other hand, we have specific sites to have spare parts in the areas where they are needed. Our parts logistics is anticipated, that is, we carry out orders with effective planning, based on the study of the spare parts or collision parts that will be needed. Today we have eight points for after-sales service in Mexico City and we have a certification scheme for customer workshops,” said Hernández.

For Yutong, the path towards electromobility in freight transport will continue, as it will launch its electric van in March 2025 and towards the end of that year it will integrate the seven-ton T7 truck.

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Having inadequate infrastructure is the main barrier to electromobility in Mexico, according to specialists during the Logistics and Last Mile Transport Technology panel at LATAM Mobility & Net Zero Mexico 2024 , where they analyzed all the challenges that sustainable mobility brings with it .

In that sense, leaders of companies such as Mercado Libre , Huawei Digital Power Latin America , Estafeta and more offered their perspectives on how to overcome the barriers of infrastructure, regulation and organizational culture to adopt electric fleets .

Ernesto Tatay, District Director at Estafeta, highlighted that one of the biggest obstacles is the lack of charging infrastructure that guarantees safety for operators.

“The main barriers we see have to do with the paradigm shift and the ability to have adequate charging stations, security of spare parts, pieces, training of mechanics, is another barrier,” Tatay explained.

He also mentioned that while the initial cost of electric vehicles is high, in the long term it can result in significant savings. However, access to charging stations in remote areas remains a critical limitation.

For his part, José Milla, director of Transportation at Mercado Libre, highlighted that although large cities such as Mexico City, Guadalajara and Monterrey are making progress in infrastructure, there are still regions in the country where this technology is inaccessible.

“At Mercado Libre we already have one of the largest electric fleets in Latin America, but we need more charging stations to keep up with the pace of growth required by e-commerce,” Milla said.

Along the same lines, Santiago Canales, regional vice president of Motive , pointed out that the use of data will be key to the success of the transition towards electromobility.

“Technology should not only serve to replace the fossil fuel-based model, but also to improve operational efficiency. It is necessary to use data to optimize routes and reduce the number of vehicles in circulation,” Canales said.

Meanwhile, Francisco Cabeza Santillana, Commercial Director of EV Chargers at Huawei Digital Power Latin America , also highlighted the importance of technology and gave the example of the company he represents, since according to him they are developing fast charging solutions .

“They can reduce operating costs by 30%, which is crucial for business models based on electric fleets to be sustainable,” Santillana explained.

Also, Fausto López, CEO and founding partner of Yutong Guadalajara , emphasized that it is necessary to continue promoting the culture of electromobility in the country .

“There is a fear of change and a lack of knowledge about the technologies available. What we need is to demonstrate, through pilot projects and tests, that electric mobility is viable and profitable in the long term,” López said.

They also agreed that despite the challenges, electromobility in Mexico has a promising future.

“The last mile is the sector where electromobility can have the greatest impact, both in reducing carbon emissions and noise pollution. However, closer collaboration between the public and private sectors is needed for this to happen,” said José Milla.

Regarding government incentives , the panelists said that this is a key factor for the transition to electromobility. They called for public policies to offer more incentives for companies that opt ​​for electric mobility.

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