In recent years, China's construction machinery manufacturers have been reaping the benefits of a booming market, yet they still face challenges in sourcing high-quality components. Deutz FAW (Dalian) Diesel Engine Co., Ltd. (known as Dachai) was established with the goal of addressing these issues and improving the supply chain for critical parts. As one of FAW Group’s core technology strategies, the project to introduce Germany’s Deutz engine technology began in 2003 when FAW Jiefang Automobile Co., Ltd. set up the Dachai branch. The initiative aimed to build a world-class power R&D and manufacturing base in China, and this vision led to the successful entry of Deutz FAW engines into the construction machinery sector.
With over a century of history, Deutz started by supporting construction equipment, and more than two decades ago, it used construction machinery as a key entry point to enter the Chinese market. To meet local demand, Dachai introduced nine models of Deutz construction diesel engines, ranging from 90 to 280 horsepower, meeting TIRE2 and TIRE3 emission standards. These engines are produced in parallel with Deutz in Germany and have been tested and verified by millions of users worldwide. In addition, Dachai adopted full German Deutz production technology, including five key production lines for cylinder blocks, cylinder heads, camshafts, inspection, and assembly. Building on its existing ISO/TS16949 quality system, Dachai integrated advanced quality control methods from Deutz AG, supported by Siemens tool monitoring, Marposs online inspection systems, and ABB anti-error technology, ensuring strict quality management throughout the production process.
From the very beginning, Deutz FAW (Dalian) Diesel Engine Co., Ltd. has promoted the slogan “World Class Service†to deliver “World Class Power.†Since 2000, it pioneered the “24 Hours 800 Free Service†and “Hotline†initiatives in the domestic industry. Within just a few years, Dachai’s service model evolved from “home service†to “brand service,†and finally to “world-class service.†Today, it offers a 24/7 global support system called “36024 Everywhere, No Time Limit.â€
This exceptional service has become one of Dachai’s key competitive advantages in the domestic construction machinery market. Major companies such as Xugong Group, Sany Heavy Industry, Zoomlion, and Zhanyang Power have all chosen Dachai products. For example, in August 2007, Sany Heavy Industry tested Dachai engines on mid-to-low-end products, and within months, moved to testing them on their top-tier models, eventually placing bulk orders. Similarly, Zoomlion launched DEUTZ FAW engines on its flagship concrete pump in February 2007, began bulk orders in April, and included them in their annual procurement plan. Zhanyang Power conducted an inspection in Dalian before Dachai was officially listed, and now the products are in the trial design stage, expected to be tested in February of this year. Xugong Group also included Dachai engines in its 2008 new product development project and is conducting prototype tests in March.
Beyond the domestic market, Dachai has successfully expanded internationally. For instance, 80% of Anhui Heli’s 3-ton forklifts are equipped with Dachai CA498 engines, with some units exported as complete machines. Hangzhou Yougao’s export products, which make up 80–90% of their total exports, rely on the CA498 model. Additionally, Dachai is collaborating with Foton Lovol Heavy Industries on Asia’s largest 265-horsepower tractor project, which is currently under development.
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