Chinese Automobile Finds Indian Market As Low-cost Export Base
Published On Jun 14, 2010 05:32 PM By CarDekho
Chinese automobile and component manufacturers are getting ready to drive into the Indian market which is the second biggest market after China itself. Chinese automobile sector is sees India as a
low cost export base. The Indian automobile industry has already marked its superb performance with 30% growth in its car sales during the new launches in the month of May .
FAW, Foton, SAIC, Chery, Geely and Great Wall are some of the Chinese companies which are all ready to introduce all kinds of models in the Indian market. Some of the Chinese companies have already made deals through their global alliance while the others are still looking for the partners from India. The GM India has a three way alliance with SAIC and Wuling in China. Other than the minivans, GM India has also got plans for introducing trucks from the Chinese JV partner, FAW. Karl Slym, President of GM India said, “We have selected a few light commercial vehicles for introduction in India. We are open to other options that could make sense down the road,”
Foton is also one such Chinese company which is looking for a successful business in India. The company has plans for investing about $200 million which will be invested for a 100,000-unit factory. The locally-sourced components will be used in this. The executive vice president of Shanghai General Motors , Joseph YH Liu said “SAIC and GM both bought equal stakes in a holding company in Hong Kong which now owns GM India. Later we will expand this model to markets like Thailand, Indonesia and Malaysia,”.
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CarDekho
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