Dongfeng Motors invests $993 Mill. on own-branded sedan project

In a wave of self brand manufacturing among the Chinese automakers, Dongfeng Motor Cooperation (DFM) keeps a low profile.

Since the year 2004, DFM has kicked off its passenger car program, and not until this April did Dongfeng Passenger Vehicle Company gently came into being. The new company schedules to launch its first own-branded sedan, which bases on Elysee, a model from Dongfeng Peugeot Citroen Automobile (Dongfeng's joint venture with PSA).

Dongfeng, one of China's leading automakers, plans to invest 7.6 bill. RMB($993 Mill) in the passenger vehicle enterprise. At the frist phrase, the capacity will be 120,000 units in 2008, and it will double during the second phrase by 2010.

Placed as the top three auto groups in China, FAW (First Automobile Works), SAIC(Shanghai Automotive Industry Corp.) and Dongfeng all cast eyes on independent development after having secured stable market shares and business results from years of cooperation with foreign players. Comparing with the other two, Dongfeng avoids attracting attention.