China Auto News of the Week (October 18 - 22, 2010)

SAIC to launch Roewe 750 mild hybrid sedan at year-end

Shanghai October 18 (Gasgoo.com) China's largest auto maker SAIC Motor Corp will launch self-made Roewe 750 mild hybrid sedan, 20% fuel saving, at the end of this year, as well as the Roewe 550 plug-in strong hybrid and an all-electric A00 hatchback in 2012, the Beijing Times reported Monday.

Meanwhile, the automaker will fulfill the task of providing 1,000 new energy vehicles for the World Expo 2010, consisting of all-electric, ultracapacitor, fuel cell and hybrid vehicle.

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New Chevrolet Spark coming to China in December

Shanghai October 18 (Gasgoo.com) The all-new Chevrolet Spark micro car will go on sale in the Chinese market at the end of December, starting at around 80,000 yuan ($12,000), bitauto.com reported Monday.

The Spark is General Motors's global strategic model, which is also the reason the car will not be locally produced in China. While the last generation Spark has achieved full localization in the country, under the Chinese name "Le Chi".

Renault to have over 80 dealerships in China next year

Shanghai October 19 (Gasgoo.com) Renault plans to independently develop new dealers in China and will follow in Volvo and Land Rover's footsteps to gradually halt the regional distribution system as its vehicle sales pick up rapidly in the world's largest auto market, NBD.com.cn reported Tuesday, citing relevant sources in Renault's exclusive agency in China.

The French automaker will establish an independent sales company in Beijing next year, and after construction of the new dealership is completed, the number of Renault's dealerships in China will increase to more than 80. Renault is currently rebuilding its 52 dealerships across the country,  said Chen Guozhang, CEO of Renault Greater China, adding that the reconstruction project is schemed to be finished before next February.

Selling cars online not quite realistic in China: Ford China vice president

Shanghai October 19 (Gasgoo.com) Selling cars online is not quite so realistic in China for the moment, Ford China vice president Nigel Harris said at the Global Automotive Forum held in Chengdu on September 16-17 when asked about his opinion on Geely's move to sell cars through Chinese B2B web portal Alibaba, qichegongshe reported Tuesday.

Having four years of working experience in China, Nigel Harris said the automobile industry has more than 100 years of history and is facing many challenges now. It, however, is still developing in the most traditional franchise model that may continue to be used in the near future. Ford may start selling cars online in the future as well, but it would be a very big challenge.

Great Wall eyes 8% of world SUV market

Shanghai October 20 (Gasgoo.com) Great Wall Motor will ramp up investment in research and development in the future, aiming to grab around 8% of the global SUV market, jumping into segment top 3 by 2020, its Chairman Wei Jianjun said in a interview with YNET.com. recently.

The Baoding-based automaker sold 258,414 vehicles in the first nine months, up 79.9% from a year earlier, exceeding industry average, according to latest data.

Changan launches $1.73 bln new-energy vehicle project in Beijing

Shanghai October 20 (Gasgoo.com) Chinese automaker Chang'an Automobile Group recently broke ground on a 11.5 billion yuan ($1.73 billion) plant in Beijing, where it will make own brand mid- and high-end sedans and new energy vehicles, Jiefang Daily reported Wednesday.

The new plant is located in the Fangshan Doudian Industrial Base of Beijing, and will be capable of producing 500,000 vehicles and 500,000 engines per year after going into operation.

BMWX1 compact SUV likely to be produced in China

Shanghai October 21 (Gasgoo.com) The BMWX1 compact SUV is very likely to be produced in the new plant of Brilliance BMW, the German automaker's joint venture with Brilliance China Automotive, Mr. Dai Lei (sound), Senior Vice President of Marketing for the joint venture, said at the launch ceremony of the new BMW 5 Series Li on October 18, wccdaily.com reported Thursday.

In the first three quarters of this year, BMW Group delivered 121,826 BMW and Mini vehicles to customers in mainland China, hitting fresh record high after it broke the 100,000 sales mark in the first eight months, Mr. Dai Lei said. Introduction of new models to the Chinese market has also been put on the agenda, he added, claiming that the Group has already completed its full-year sales target for 2010.

PSA's market value in China expected to grow nearly 20% in 2010

Shanghai October 21 (Gasgoo.com) PSA Peugeot Citroe, Europe's second-largest car manufacturer said yesterday its market value in China increased 17.7% in the third quarter and is expected to grow nearly 20% this year, Xinhua News Agency reported Thursday, citing a company statement.

PSA's market share in China has gained 30.9% over the same period last year to 3.4%. In the third quarter, it signed an agreement with China Changan Automotive group to make light commercial and passenger vehicles, and meanwhile defined new corporate governance guidelines for its joint venture with Dongfeng Motor Corp. Through these initiative, the French automaker plans to give the joint venture additional resources to speed its growth in the Chinese market and raise its market share to 5% by 2015, according to the statement.

GTZ, Chinese Automotive Technology to jointly promote new energy vehicle industrialization

Shanghai October 22 (Gasgoo.com) German Agency for Technical Cooperation (GTZ) signed on October 20 the "Sino-German cooperation in electric vehicles and climate protection project implementation agreement" with China Automotive Technology & Research Center (CATARC) to jointly promote new energy vehicle industrialization in China, sohu.com reported Friday.

The agreement points out cooperation in four major fields, including research on effect of industrialization of new energy vehicles, formulation of relevant standards and policies for new energy vehicles, research on battery recycling and exploration of business models of new energy vehicles through a combination of pilot program. GTZ and China Automotive Technology plans to put the project into implementation during 2011-2013.

Dongfeng Yueda Kia aims to break into Top 10 automakers in 2011

Shanghai October 22 (Gasgoo.com) Dongfeng Yueda Kia Motors Co., Ltd., a joint venture between Dongfeng Motor Corp, Kia Motors and Jiangsu Yueda Investment Co., posted record year-to-date sales of 250,000 units in China, surpassing total sales in 2009, its General Manger Cui Chengqi said recently in an interview with Shanghai Securities News.

When asked how he thought about the prediction that the company's profit per vehicle will more than double 2008's as the auto output increases, Cui said we have made it a clear goal to sell 430,000 vehicles in 2011, with which we aim to break into China's Top 10 automakers.