China auto news this week(2007.07.23-2007.07.28)

This week, automakers are announcing their plans to launch new models successively, such as Changan Ford Mazda, Daihatsu Motors, Ford and Volvo etc.

Meanwhile, more and more auto parts makers are paying more attention to the booming Chinese market. Global auto parts enterprises such as Bosch and AvinMeritor are setting up plants or sign cooperation contract with Chinese enterprises.

The following are top news this week:

Daihatsu Move Custom to be made in China
 
By Ally   From:www.gasgoo.com  July 26 2007

Daihatsu Motor Co Daihatsu is considering producing its Move Custom, Mini Terios SUV as well as Copen Open in China at FAW-Jilin Automobile Co.

Daihatsu just launched in Japan a fully redesigned mini vehicle Move last June. Two models, the Move, based on the concept of "my energetic and versatile," and the Move Custom, which is based on the concept of "quality and mobile amenity" have been completely updated from the platform to the engine. But Move Custom to be introduced to China will be readjusted according the Chinese customers' preferences.

Daihatsu Move Custom will be equipped with 3 and 4-cylinder engines, while 4, 5-speed automatic transmission or a Continuously Variable Transmission (CVT) is also available for customers to choose. 




Auto parts output value in China to reach 1400 billion yuan by 2010
 
By Ally   From:www.gasgoo.com  July 26 2007

Statistics from Hong Kong media shows that mainland China has become the largest export hub for Hong Kong. In 2006 Hong Kong's exports to mainland China were valued at $1.56 billion, accounting for 1/4 of its total auto parts export volume.

In the first quarter of this year, Hong Kong auto parts exports to China were worth $87 million, accounting for 22.5% of total exports and were up 10.9% compared with the same period last year.

Huo Yiguang, President of China Federation of Industry and Commerce Auto& Motorbike Parts articles for use Chamber of Commerce, said recently production value of auto parts in China topped 400 million yuan, sales revenue and profit margins were 403.5 billion yuan and 23.6 billion yuan respectively. The output value is expected to hit 720 billion yuan by 2008 and 1400 billion yuan by 2010.

China's Standard Administration and Chamber of Commerce is making a draft on a new auto parts sales & export standard to regulate the auto parts industry, added Huo.




Ford leaps for a bigger Chinese market share
 
By Joanne   From:www.gasgoo.com July 24 2007

Ford Motor's sales in China rose 25 percent in the first half, thanks to the popularity of the Focus cars. While lack of enough competitive models loomed, Ford is considering make a giant leap by consolidating its joint venture.

early launch of new Mondeo

According to the earlier official announcement, Ford will launch its third generation Mondeo at the end of this year, but recently it's reported that the highly expected model will hit the market in Oct. or Nov..

Chang'an Ford Mazda Automotive Co Ltd, Ford's passenger vehicle joint venture, has announced a price-cut of the whole line of Ford Focus models, among which some are cut by seven percent.

"Ford can't wait to make the Focus as the only pillar, for this model couldn't sell like hot cakes all the time," analysts say, "after the new product hit the market, lack of capacity for the factory has to be buffered, so it's better to roll out the new Mondeo earlier than scheduled. "

The new Mondeo is set to target Toyota Camry and VW Magotan, both of which are highly competitive in the Chinese market. It implies Ford's most advanced DURETAC-HE2.3 engine, which is exclusively developed for the 3rd generation Mondeo and is produced by Ford's Nanjing factory. Noticably, the gearbox equipped on the new model is imported for the technology is still beyond the local facilities. 




Toyota gambling on China for sales reign
 
By Ally   From:www.gasgoo.com July 25 2007

General Motors Corp has been narrowing its sales gap with Toyota Motor Corp, where in the second quarter Toyota Motor Corp outsold General Motors by only a mere 40,000 units. GM sold 2.405 million vehicles globally, compared with Toyota's 2.367 million, in the second quarter, while in the first automaker Detroit-based automaker sold a total of 90,000 vehicles less than that of Toyota. In addition, Toyota is experiencing a decline of 9%-12% in Japan month by month during last three months ending on June 30.

Quake won't affect Toyota sales target

Toyota has reaffirmed its global sales target of 9.34 million vehicles for this year despite worries about plant closures after a recent earthquake in Japan. The automaker aims at an increase of 6% of its sales target compared with the same period last year.

Toyota has already resumed production on most of its auto assembly lines at its one dozen factories in Japan and will restart the remainder later this week, company spokesman Tomomi Imai said.

Analysts say the strong growth gained by Toyota on the emerging market in Asia and Latin America is more than likely to make up for the decline caused by the quake and a sluggish market in Japan.
　　
Aiming at China for sales reign

The two automakers are both seeking to boost sales in emerging markets especially in China. It is because a relative low sale in the Chinese market that made Toyota lag behind GM in terms of full-year sales in 2006.

Statistics from China Passenger Car Association show that GM's joint venture in China-SGM, sold 221,755 vehicles in the first half year, taking the sales reign year to date in this market. Though Toyota's sales figure is 111,541 for the period, Toyota is expected to catch up with GM relying on its Corolla, which is battling in the same range market with GM’s Buick. Toyota aims to sell 260,000 vehicles in 2007 and experts believe Toyota is set to become the sales crown if it achieves its target in China.




Ford Four models to be made in China
 
By Jorvan   From:www.gasgoo.com July 24 2007

After the 3rd generation of Ford Mondeo, Changan Ford Mazda will introduce four Ford sedans by the end of 2010, one of which will be introduced as early as next year and produced in its new plant in Nanjing City, Jiangsu Province.

Its Nanjing plant will start production in the 3rd quarter this year with a maximum production capacity of 160,000 units. the first batch of products produced here will be Mazda2, and more and more products will be built here, including the four models to be introduced in the near future.

On the other hand, Ford sale network have ever been improving since the cooperation of Changan Auto and Mazda Motor.