The Business Times
business-time-50

Hong Leong Asia expects diversifying engine product mix to improve margins

Yong Jun Yuan

Yong Jun Yuan

Published Thu, Feb 29, 2024 · 05:59 PM
    • Hong Leong Asia chief executive Stephen Ho said that the economic slowdown in China has contributed to a slowdown in demand for trucks.
    • Hong Leong Asia chief executive Stephen Ho said that the economic slowdown in China has contributed to a slowdown in demand for trucks. PHOTO: REUTERS

    INDUSTRIAL conglomerate Hong Leong Asia will better position itself for growth by looking beyond trucking and catering to other engine sectors, chief executive Stephen Ho said in an analyst briefing on Thursday (Feb 29).

    The strategic shift comes amid weaker demand in China for its powertrain solutions unit, China Yuchai International. The subsidiary primarily sells engines in the Chinese market.

    Pre-Covid, the Chinese market used to move an average of 1.3 million heavy-duty trucks a year. This fell to 700,000 units in 2022, and 900,000 units last year.

    hong leong asiaFinancial results

    TRENDING NOW

    Higher Singapore dollar rates should support the net interest margins of DBS, OCBC and UOB.

    Fed hike throws Singapore banks a margin lifeline; UOB most likely to feel impact

    From left: Pham Nhat Quan Anh, Pham Nhat Vuong, Pham Thu Huong and Pham Nhat Minh Hoang. The couple (centre) remain senior figures in Vingroup, with their children’s presence in the ecosystem growing.

    He built the Vingroup empire. Now South-east Asia’s richest man is handing some key roles to his sons

    Desmond Sim’s resignation comes almost 18 months after the merger of ETC and OrangeTee to form Realion.

    Real-estate veteran Desmond Sim quits from CEO roles at Realion, ETC

    Chagee's flagship store at VivoCity. The milk-tea brand is pivoting away from a franchise-heavy structure towards greater direct ownership.

    Chagee, Mixue and Luckin won the market. Sustaining their edge is the harder part

    Latest T-bills Treasury Bills Results & Interest NewsLatest SSB Singapore Savings Bonds NewsLatest COE Certificate of Entitlement News
    Latest Johor-Singapore SEZ NewsLatest BTO Build To Order & Sales of Balance NewsLatest STI Straits Times Index NewsLatest SGX Dividends, Share Price NewsLatest Bonds Market NewsLatest Singapore Stocks To Buy NewsLatest Singapore Economy News
    View More