· 92 car companies were “specially publicized” by the Ministry of Industry and Information Technology

92 car companies were on the "Special Publicity" list of the Ministry of Industry and Information Technology on December 4. The announcement stated that new product declarations from these companies will not be accepted within two years.
The “Notice on Establishing the Exit Mechanism of the Automobile Industry” issued by the Ministry of Industry and Information Technology said that enterprises with zero or few annual sales volume for two consecutive years will be publicized. Today, such companies are nicknamed "zombie companies."
After a lapse of two years, the Ministry of Industry and Information Technology once again lit a red light on the "zombie phenomenon" of the auto industry, and the number of public notices doubled, which means that the cleaning speed is accelerating.
For companies that are insolvent and have no hope of turning losses, it is logical to withdraw from the market through bankruptcy procedures. However, the reporter learned that some companies prefer to “dead” rather than withdraw, and fewer companies that quit the court through bankruptcy procedures.
Li Shuguang, director of the Center for Bankruptcy Law and Enterprise Restructuring of China University of Political Science and Law, told the Daily Economic News: "China has not yet formed a bankrupt market culture. The exiting enterprises cannot be withdrawn in an orderly manner, which will cause market information distortion and potential risks. ."
Investigation: Is the old car company now?
Beijing Zhongda Yanjing Automobile Co., Ltd. appeared in the first place on this public notice list. Inquiring about the Beijing industrial and commercial registration information, Beijing Zhongda Yanjing Automobile Co., Ltd. still displays the status of “in the business (opening) enterprise”, which is mainly engaged in the manufacture and sale of automobiles and parts. Its shareholders are Beijing Yanjing Automobile Factory and Zhongda Industrial Group Co., Ltd. . According to public information, after Zhongda Industrial Group took a stake in Yanjing Automobile in 2003, it was renamed Beijing Zhongda Yanjing Automobile Co., Ltd.
The "Daily Economic News" reporter went to the registration site of Zhongda Yanjing Automobile Co., Ltd. (approved time is September 15, 2011). At present, No. 8 Taiping Street has been transformed into a residential area. Not far from Taoranting Park, there is no shadow of a car factory nearby. The reporter inquired and learned that this place is the location of the original Yanjing Automobile Factory.
When the reporter asked where the Zhongjing Yanjing Automobile Company was, a property person said: "I don't know where Zhongjing Yanjing is. Here is the original Yanjing Automobile Factory. The employees have been laid off for the service. The original site. Sold to real estate agents."
The reporter obtained another address named "Beijing Zhongda Yanjing Automobile Co., Ltd." at the address of "Beijing Ciyun Temple No. 18" and dialed a contact number. The other party said that he is an employee of Beijing Zhongda Yanjing. He used to work in Beijing. Now the production qualification of Zhongda Yanjing is still there, but the production plant has moved to Yancheng, Jiangsu.
When the reporter asked the Ministry of Industry and Information Technology not to accept the business declaration of new products for public vehicles in two years, the person said that the Ministry of Industry and Information Technology advised the refit factory, but now the part of Zhongda Yanjing’s production of the chassis is still in production and will not be persuaded. Retreat.
In addition to the Zhongda Yanjing Automobile, another 91 companies appeared on the public notice list. Compared with the 48 companies that were publicized in 2013, the number of this time is nearly double that of two years ago. According to industry experts, this is actually a yellow card for the listed companies. From the last batch of companies that have been publicized, there are few companies that have regained their vitality.
According to the requirements of the Ministry of Industry and Information Technology, the new product declaration of the publicized enterprise will not be accepted within two years. After the expiration of the special publicity period, enterprises that have not applied for the admission conditions assessment and failed the assessment shall not apply for the change of the basic conditions such as renaming and relocation. According to industry insiders, this means that the “shell resources” of these enterprises are directly destroyed, which is conducive to mergers and acquisitions of enterprises, and allows some zombie enterprises that have lost hopes to accelerate their withdrawal from the market.
The saying: The bankruptcy law of China's withdrawal from China's bankruptcy law has been implemented since 2007. Since it has lost hope, why can't zombie companies go bankrupt or be merged by high-quality enterprises? In Li Shuguang's view, although some zombie companies have been unable to produce and operate, there are also "shell resources" available.
Li Shuguang said, "In 2014, the number of bankruptcy cases accepted by the national courts was less than 2,100, only 1998 in the previous year, but there were more than 700,000 enterprises that were canceled licenses in the Industrial and Commercial Bureau every year. This shows that enterprises that have now exited administratively accounted for The vast majority of companies that went bankrupt through legal channels were less than 0.3%. Why is the Bankruptcy Law almost idle? In Li Shuguang's view, China still does not have a bankrupt market culture. "The concept of some local leaders is relatively backward. It is considered that the bankruptcy of local enterprises is not a glorious thing. Even some zombie enterprises have been given unfair protection measures. In addition, Li Shuguang also mentioned that corporate bankruptcy involves the resettlement of workers, the disposal of land and equipment, and so on. There are many things that need to be coordinated, and there are many issues involved. Some courts are too troublesome and are not willing to accept bankruptcy cases.
I would rather be a "zombie" than a bankruptcy process. For local governments and enterprises, there are also "unspeakable secrets." A steel industry person once told the media that “a loss-making enterprise does not dare to stop production, because once the production is stopped, the bank will urge loans and die faster.” Hao Yufeng, director of the research department of the China Enterprise Confederation, said: “Local government generally It will not easily let the company go bankrupt. One is to protect taxes, and the other is to worry about a large number of unemployed. Not only will it not be bankrupt, but even if local companies are merged and restructured by foreign companies, because it involves taxation and economic statistics, this is Linked to local performance."
In addition, Hao Yufeng mentioned to reporters that during his research, he found that enterprises in some regions have formed a complicated financing guarantee chain. If a bankruptcy may even affect other enterprises with normal operations, local governments are also worried about systemic financial risks.
As a result, the local government’s rescue has become the main means for enterprises to be exempted from bankruptcy.
Recently, high-level intensive statements have made it necessary to increase the handling of zombie enterprises. Shandong, Zhejiang and other places have also launched a mapping action against zombie companies. Li Shuguang believes that the existence of a large number of zombie enterprises not only occupies resources, but also may cause market information distortion and potential risks. He said: "Now the Bankruptcy Law must be effectively utilized to allow the bankrupt enterprise to withdraw in an orderly manner in order to form a healthy market environment."

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