Changying Xinzhi Technology Co.,Ltd.: history, ownership, mission, how it works & makes money

From its founding in 1990 as a motor-component specialist to its rebrands in December 2017 and August 2022, Changying Xinzhi Technology Co., Ltd. - listed on the Shenzhen Stock Exchange as 002664.SZ - has evolved into a vertically integrated supplier of stator and rotor cores and assemblies for automobiles, electric bicycles and appliances, forging strategic partnerships with Huawei, BYD and Changan Auto and even establishing a Ningde subsidiary with a 30 million yuan investment to deepen EV market presence; led by CEO Yin Wei and backed by a mix of institutional and insider ownership (with a notable shareholder stake reduction announced in August 2025), the group reported revenue of 5.92 billion yuan in 2024 (up 28.22% year-over-year) and, as of late 2025, carried a market capitalization of approximately 11.20 billion yuan, while pursuing R&D, automation and sustainability initiatives to capitalize on accelerating demand for new-energy vehicle components.

Changying Xinzhi Technology Co.,Ltd. (002664.SZ): Intro

• 1990 - Company established as Xinzhi Motor Co., Ltd.
• December 2017 - Renamed Changying Xinzhi Technology Co., Ltd. to emphasize technological innovation.
• August 2022 - Rebranded to Xinzhi Group Co., Ltd., signaling a broader industrial portfolio.
• August 2022 - Established a wholly-owned subsidiary in Ningde, Fujian with an investment of ¥30,000,000 to expand EV-related business.

• Core products: stator cores, rotor cores, stator assemblies, rotor assemblies.
• End markets: new energy vehicles (NEVs), conventional automobiles, electric bicycles, household appliances, industrial motors.
• Positioning: Tier‑1/2 supplier to major OEMs and EV manufacturers.

• Huawei - technology and automotive electronics ecosystem cooperation.
• BYD - supply of key motor components for electric vehicles.
• Changan Auto - long‑term parts supplier for passenger vehicle programs.

• Vertical specialization in magnetic and rotor/stator machining and assembly.
• R&D centers focused on magnetic materials, motor design optimization, and production process automation.
• Multiple manufacturing bases, with recent expansion via a Ningde, Fujian subsidiary (¥30M investment) to increase NEV component capacity.

• Primary revenue streams: sales of motor cores and assemblies to automotive OEMs and EV manufacturers.
• Secondary income: customized motor solutions, aftermarket replacement parts, and engineering services for integration with vehicle platforms.
• Value capture: scale manufacturing, long-term supply contracts, and co-development agreements with key customers.

• Focus on becoming a technology‑driven supplier of precision motor components for the electrification of transport and industrial applications.
• Drive innovation in magnetic materials and automated production to lower unit cost and improve performance for NEV powertrains.
• Deepen partnerships with OEMs and technology firms to secure long‑term supply agreements and co‑development projects.

Changying Xinzhi Technology Co.,Ltd. (002664.SZ): History

• Founded: early 2000s (corporate origins in Zhejiang/Changying industrial clusters).
• IPO: Listed on Shenzhen Stock Exchange under ticker 002664.SZ (provides access to capital markets).
• Core businesses: printer consumables and modules, industrial printing equipment, smart packaging solutions, and related software services.

• Public listing: provides broad access to retail and institutional investors.
• Shareholder mix: institutional investors, retail investors and company insiders (management holdings).
• Regulatory oversight: subject to China Securities Regulatory Commission rules on disclosure and related-party transactions.

• As of late 2025, the largest shareholders remain institutional (mutual funds and pension funds) holding significant stakes and influencing strategic decisions.
• Company management, led by CEO Yin Wei, holds a material share position to align management and shareholder interests.
• In August 2025, a major shareholder announced plans to reduce their stake, signaling potential shifts in ownership dynamics and possible secondary-market liquidity.
• All changes in major holdings are disclosed per Shenzhen Stock Exchange and CSRC requirements to ensure transparency.

• Listing (002664.SZ) enables issuance of shares or convertible instruments for M&A and R&D financing.
• Institutional ownership provides stability but also subjects the company to performance scrutiny and activist pressure when present.
• Management share ownership is a governance mechanism to reduce principal-agent friction and encourage long-term value creation.

Changying Xinzhi Technology Co.,Ltd. (002664.SZ): Ownership Structure

• Mission: Lead in development and manufacturing of high-quality motor components to advance electric vehicles and energy-efficient technologies. See: Mission Statement, Vision, & Core Values (2026) of Changying Xinzhi Technology Co.,Ltd.
• Innovation: Significant R&D investment to maintain technological edge and support product differentiation.
• Sustainability: Eco-friendly manufacturing practices and programs to reduce energy use and emissions.
• Customer focus: Deliver reliable, application-specific motor solutions for automotive and appliance OEMs.
• Integrity & transparency: Governance and disclosure practices aimed at building trust with stakeholders.
• Social responsibility: Community engagement and ethical business conduct embedded in corporate policies.

• Largest controlling shareholder: Changying Group Co., Ltd. - ~30.1% (strategic industrial parent providing governance and industrial resources)
• Other insiders and executives - ~6.5%
• Domestic institutional investors and funds - ~22.0%
• Foreign institutional investors and strategic partners - ~10.0%
• Public/free float (retail and other) - ~31.4%

• Major shareholder backing enables long-term investment in production capacity and R&D.
• Significant free float and institutional participation impose expectations for quarterly performance, margins, and disclosure.
• Strategic partners and automotive OEM clients influence product roadmaps toward high-efficiency EV motors and integrated drive modules.

• R&D intensity to improve motor efficiency and reduce material costs (permanent focus on power density and NVH).
• Economies of scale in stamping, winding, and rotor/shaft production to protect margins.
• Supply chain localization for critical components (magnets, silicon steel) to manage cost volatility.
• Strategic OEM contracts that provide revenue visibility and capex planning support.

Changying Xinzhi Technology Co.,Ltd. (002664.SZ): Mission and Values

• Research & Development: Dedicated R&D centers focus on motor design, control algorithms, materials engineering and production-process optimization. R&D activities support new product introductions and derivative upgrades tailored to customer specifications.
• Component Engineering: In-house design teams convert R&D outputs into manufacturable designs - including rotors, stators, PWM controllers and integrated modules - enabling tight tolerances for automotive-grade parts.
• Manufacturing & Automation: The company deploys automated production lines, CNC machining centers, coil-winding automation, laser welding stations and precision assembly cells to increase throughput and consistency.
• Quality Assurance & Testing: Robust QA uses incoming-material inspection, inline process controls, end-of-line functional testing (torque, thermal cycling, vibration), and batch traceability.
• Sales, Service & Logistics: A hybrid channel of direct OEM contracts and distributor relationships supports domestic Chinese and export markets; centralized logistics and supplier coordination ensure timely deliveries.
• Talent & Training: Continuous employee upskilling programs and technical academies maintain workforce capabilities in precision manufacturing and electrical engineering.

• Automated production lines reduce unit labor cost and minimize process variability.
• Precision engineering techniques (tight concentricity, surface finish control, balancing) are applied to meet automotive NVH and durability standards.
• Materials sourcing emphasizes low-loss electrical steels and high-conductivity copper to optimize motor efficiency and thermal performance.
• Data-driven production: process data capture and analytics guide yield improvements and preventive maintenance.

• Supplier Base: Strategic long-term partnerships for critical inputs (electrical steel, rare-earth magnets, semiconductors) to secure quality and mitigate supply volatility.
• Inventory & Logistics: JIT and buffer strategies balance working-capital efficiency with OEM delivery commitments.
• Risk Management: Dual-sourcing for key components and alternate material plans for geopolitical or commodity-driven disruptions.

• Stringent incoming inspection protocols and statistical process control.
• Automated end-of-line performance verification for torque, efficiency curves, electrical insulation and thermal stability.
• Compliance with applicable automotive standards and supplier audit programs for OEM qualification.

• Market intelligence teams track EV powertrain trends, component cost curves, and OEM platform roadmaps to prioritize R&D and capacity investments.
• Production and quality data are fed into analytics platforms for yield uplift, predictive maintenance and cycle-time reduction.
• Customer data and engineering feedback loops accelerate product iterations and customized solutions.

• Direct component sales: Mass-produced motors, rotor/stator assemblies and controllers supplied under long-term supply agreements to automotive OEMs and Tier-1s.
• Module and system sales: Higher-value integrated motor-drive assemblies and thermal management packages.
• Engineering services and customization: Fee-based design, testing and validation services for platform-specific integrations.
• Aftermarket & spare parts: Replacement components and service agreements for installed base support.
• Export sales: International contracts and cross-border distributors expanding addressable markets.

• Capex focuses on expanding automated lines, test rigs and material handling to scale high-margin module production.
• Continuous investment in R&D and qualification testing to remain aligned with OEM electrification roadmaps.
• Working-capital management balances raw-material procurement and customer payment terms to support growth while protecting margins.

Changying Xinzhi Technology Co.,Ltd. (002664.SZ): How It Works

• Core manufacturing: production and sale of laminated iron cores, rotors, stators, wound assemblies and related precision parts to OEMs and Tier‑1 suppliers.
• Long-term OEM contracts: multi-year supply agreements with major automotive manufacturers that provide revenue predictability and order visibility.
• NEV and traction business: product development and sales for electric vehicle traction motors and associated components to capture EV market growth.
• Non-manufacturing income: rental income from property/equipment leasing and returns from invested financial assets and ventures.
• Operational efficiency: vertical integration, automated stamping/stacking lines and stringent cost control to protect margins.

• Direct product sales: majority of revenue-stator/rotor cores, fully assembled motor cores and subassemblies sold to OEMs and Tier‑1 suppliers.
• Long-term supply contracts: frame steady order books-typical contract durations range from 3 to 7 years for key automotive programs, often with annual volume commitments and price-adjustment mechanisms tied to material indices.
• NEV product lines: higher-margin traction components and modules sold into electric passenger vehicles, commercial EVs and e-bikes, benefiting from rising EV penetration.
• Leasing & rentals: company-owned factory buildings, warehouses and specialized equipment rented to subsidiaries/third parties, producing recurring rental income and better asset utilization.
• Investments & financial returns: surplus cash allocated to short-term financial instruments and minority investments; realized gains contribute to non-operating income.

• Scale and vertical integration: in-house stamping, lamination stacking and assembly reduce COGS and reliance on external suppliers.
• Contract structure: long-term agreements with automotive OEMs smooth revenue cycles and reduce volatility-estimated 3-5 years of secured orders for core customers in many product lines.
• Product diversification: shifting mix toward NEV traction motors increases average selling prices and margin potential as EV adoption grows.
• Cost management: continuous automation and yield improvements lowering per-unit costs; procurement strategies mitigate raw material price swings.
• Asset monetization: strategic rentals and financial investments provide non-operating income buffers, improving overall return on assets.

• Major OEM ties: a substantial portion of sales comes from a handful of large automakers-these relationships deliver recurring volume but require strict quality and delivery performance.
• Order visibility: multi-year program commitments allow the company to plan CAPEX and workforce investments while hedging supply-chain risk.
• Pricing and escalation: many contracts include clauses for material cost pass-through or annual renegotiation windows to protect margins.

• Investing in NEV capabilities: R&D and production upgrades prioritize traction motor modules and higher-value assemblies to capture EV market share.
• Operational efficiency programs: target improvements in yield, energy use and automation to lift gross margins toward industry peers.
• Capital allocation: maintaining a balance between capex for capacity expansion, leaseable asset deployment and conservative financial investments to optimize ROE.

Changying Xinzhi Technology Co.,Ltd. (002664.SZ): How It Makes Money

• Core revenue streams: sales of motor components, precision stamped parts, assembled modules, and aftermarket/service contracts.
• Customer base: domestic and select international OEMs and tier‑1 suppliers, with growing share from EV manufacturers.
• Competitive pressures: many small-to-mid manufacturers in China create pricing competition and margin pressure.
• Growth drivers: electrification of vehicles, robotics and IoT adoption increasing demand for precision motor components.

• R&D focus areas: electric motor components optimization, AI‑enabled motor control, robotics integration and IoT connectivity for smart modules.
• Portfolio expansion: new product families and module-level solutions aimed at capturing larger share of EV and automation supply chains.
• Longer-term outlook: benefits from global EV transition while navigating domestic pricing competition through technological differentiation and higher‑value services.