Kenneth Yen, CEO of Yulon Group, the largest carmaker in Taiwan, recently claimed that his group`s LUXGEN own-brand cars would not only tap into the high-potential China market but also the global market.
At a recent press conference, Yen said that the Yulon Group is expected to make annual profit of about US$312.5 million this year.
In the past three years, Yen pointed out, Yulon encountered and weathered big challenges, such as the global financial tsunami, and uncertainties like waiting for the permission from Chinese central government for setting up an auto plant in China. Now, he added, Yulon`s LUXGEN own-brand car project is ready with Chinese government approval, allowing the set up of a joint venture with Dongfeng Group, the third-largest carmaker in China.
The chairman said that China, despite being the world`s largest automobile market, still has ups and downs like rising inventory in the second half this year; but Yen remains very confident of the LUXGEN own-brand car business in China for having core competitiveness within.
According to Yen, some 16 million new cars are expected to be sold in China this year, compared to less than 300,000 units in Taiwan. Yulon will try as hard as possible to win higher market share in China. Yulon`s venture with Dongfeng, Dongfeng Yulon Motor Co., Ltd., has planned an annual production capacity of 120,000 vehicles.
