Shaanxi Auto '08 sales up 11.6% to 76,000 units

Shanghai, January 15 (Gasgoo.com) Chinese heavy-duty truck maker Shaanxi Automobile Group Co. reported its output and sales growth in 2008, up 11.6% to 76,000 units, Shanghai Securities News said today.

Shaanxi Automobile Group achieved exports sales of $550 million, surging by 120% from last year. The company has ranked 13th among the top 30 Chinese automakers in 2008, up five over its rank in 2007.

Fang Hongwei, director of Shaanxi Automobile Group, said the company is looking to expand production of medium trucks, buses, mini buses, key auto parts and special purpose vehicles besides heavy-duty trucks in 2009. The heavy truck maker is expecting to reduce operational risks by integrating its product lines of heavy, medium, light, mini vehicles and large buses.

Shaanxi Automobile Group is planning to inject capital of 3 billion yuan ($439 million) in 2009 to establish an automobile industrial zone in Baoji city, Shaanxi province to specialize in building special purpose vehicles, mini buses and auto parts. The total value of the industrial base will reach 30 billion yuan.

Shaanxi Automobile has become a famous domestic automobile manufacturer by keeping an average increase of 50% annually in recent years. In 2007, the group reached an output of over 68,000 vehicles, with 60,000 heavy-duty trucks which generated over 18 billion yuan in sales revenue.