Gasgoo.com (Shanghai July 10) - Following an agreement signed last year, development work on the upcoming joint venture between Jianghuai Automobile and US truck manufacturer Navistar has reached a new phase, auto.qq.com reported today, citing a statement from the Chinese manufacturer. Now, the two companies only need to gain official approval from the State-owned Assets Supervision and Administration Commission before the JV officially begins operation.
The two enterprises' partnership dates back to 2009, when JAC signed a cooperation framework agreement Navistar subsidiary JV company NC2 Global in Anhui's capital of Hefei. JAC and NC2 Global agreed to establish an Anhui-based Sino-foreign JV company manufacturing and selling medium and heavy trucks and related auto parts.
The following year, JAC signed an agreement directly with Navistar to establish a new JV specializing in engine development. That agreement proposal gained official government approval in July 2012. A month later the two companies held a ceremony in Beijing for the establishment of the company. An Jin, JAC's board chairman at the time, pointed out that his company's cooperation with Navistar will not only be limited to domestic truck and engine production, but will also cover sedan manufacture as well as truck production and sales in the Americas.
JAC sold a total of 226,026 vehicles over the first six months of this year, up 21.01 percent from the first half of 2012. Medium and heavy trucks are still key contributors, accounting for 121,480 of its sales made in the first half of the year.
