Dongfeng starts $96 mln new-energy bus project in Xiangfan

Shanghai August 23 (Gasgoo.com) Dongfeng Automobile Co ., Ltd. (DFAC), a light commercial vehicle producer under Dongfeng Motor Corp, started construction of its new energy bus project in Xiangfan city, central China's Hubei province on August 18, media reported Monday.

As one of Dongfeng Motor's 16 new-energy vehicle projects, the production base in Xiangfan will cost the automaker a total investment of 650 million yuan ($95.7) and be put into operation in 2012.

The new production base is expected to produce 2,000 vehicles and 5,000 chassis in the first half of 2011. By 2012, Dongfeng Auto plans to increase the annual production and sales from 1,000 vehicles to 8,500 vehicles.

Dongfeng Auto started from 2005 developing all-electric vehicles and has so far made 12 models including the all-electric bus, truck, MPV, SUV, pickup, minivan, Scooter, etc..

In addition, Dongfeng Motor, China's third-largest automotive group, recently announced plans to invest 3 billion yuan ($442.9 million) in the next five years in energy-efficient and new energy vehicle related developments.

Dongfeng Motor will be capable of making 50,000 electric vehicles by 2015, with cumulative output of green vehicles reaching 800,000 units by 2020, the company's Deputy General Manager Zhou Wenjie said.