Seat mulls a foray into Chinese market

Shanghai, March 28, 2008 (Gasgoo.com) Volkswagen group's subsidiary Seat is reported to be eying entry into the fast growing Chinese market, Shanghai Securities Journal reported today.

Seat's chairman, Erich Schmitt said on Thursday that the brand owner was discussing a possible foray into the promising Chinese market with Volkswagen's local partners, with another meeting scheduled in China next week, a Reuters report said.

Schmitt's own experience weights in favor of the possibility. He has been a member of the Management Board of FAW VW in 1995 and since June 1997 he has been responsible for Purchasing on the Management Board of AUDI AG and for the VW Group's activities in China.

Analysts also say Seat's hot selling Ibiza compact car and Leon are what FAW VW lack in its current product portfolio. Currently the joint venture has no A0 segment cars in production except the existing Golf, Bora, Sagitar and Magotan models.

In a separate interview, Qin Huanming, deputy General Manager of FAW-Volkswagen, didn't deny such a possibility, saying no brand can lose a market as important as China. Qin was on a journey to Seat's headquarters in Barcelona recently following his participation in Audi's annual meeting.

The maker of the Ibiza compact car and Toledo saloon has a lofty goal of nearly doubling sales to 800,000 units in 2018 by entering eight new segments including minivans and station wagons, and selling a brand image of sportiness, craftsmanship and design-consciousness.