JAC plans to produce in Ukraine and the USA
 
To avoid large import taxes implemented in Ukraine, the Chinese carmaker Jianghuai Automobile (JAC) is partnering with the local carmaker Bogdan Motors to produce cars in the country and will be selling this year vehicles under license.

Bogdan Motors will produce JAC vehicles at its plant in Cherkassy (city in central Ukraine). Bogdan Motors also produces in this factory Lada vehicles and Hyundai brands. Initially a thousand JAC vehicles will be produced per year.

Moreover, Jianghuai Automobile will partner up with the American GreenTech carmaker to produce an electric model at Horn Lake (Mississippi). The vehicle will be based on the JAC sedan Rejoice and be equipped with a motor and batteries supplied by GreenTech. It will have a range of about 160 km.

The manufacturer plans to produce 2,000 vehicles a year in Horn Lake. According to GreenTech, an additional assembly plant in partnership with JAC is conceivable in the future, if car sales are successful.

The partnership between the two groups was announced at the last show in Shanghai.

13-23-7

Data source: File #101 - Worldwide production detailed by models

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Renault is going to sign the agreement with Dongfeng in July
 
 
Renault plans to sign an agreement with Dongfeng on the 25th of July in order to set up its first factory in China. The plant that both partners will build in Wuhan should initially have a production capacity of 150,000 cars per year.

Let us recall that Dongfeng already produce vehicles in Wuhan for the PSA Peugeot-Citroen group, but the agreement between Dongfeng and  Renault will of course not affect the agreement between Dongfeng and PSA, Chinese manufacturers are used to working for several foreign carmakers at a time.

Renault plans to produce in the plant from 2016 the replacement of the Koleos suv, Renault's best-selling model in China in 2012 (imported from Korea), along with sedans. These vehicles will benefit from platforms and engines from the range of Samsung cars and already used in the country by Nissan.

The production of electric cars is also being considered, responding to a request from the Chinese government that encourages carmakers to launch this type of engine.

Beyond China, Renault wishes to expand throughout Asia, not leaving his ally Nissan the sales monopoly in this area . Thus, Renault is gaining momentum in India and plans to set up a plant in Indonesia. Renault plans to double its sales in the Asia-Pacific region between 2012 and 2016, to more than 500,000 units per year.

13-23-5

Data source: File #101 - Worldwide production detailed by models

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The 2011 and 2012 top 25 European plants
 
 

The 25 largest European plants in 2011 and 2012 appear in the table below. The largest one (which manufactured most of the vehicles in 2012) is the Volkswagen plant in Wolfsburg, ahead of the Avtovaz Togliatti plant and the Nissan plant in Sunderland. Of the 25 plants, there are eight plants in Germany, three in France, three in Spain, one in England, two in Turkey, six in Eastern Europe (two in the Czech Republic, two in Slovakia, one in Poland, one in Romania) and one in Russia. If the limit the classification to the first 10 plants, five are located in Germany, two in Eastern Europe, one in Spain, one in England and one in Russia. Germany and Eastern Europe are indeed the most productive regions in Europe today.


Per carmaker, among the top 25 factories, eight belong to the Volkswagen group, four to the Renault-Nissan group, four to PSA, two to the Daimler group, two to the Hyundai-Kia group, two to the Fiat Group, two to the Ford group, and one belongs to the BMW Group. German groups are also featured in this category with eleven factories, in the top 25 while the French have eight groups, Koreans have two, Italian have two and American also have two. If we restrict the rankings to the first 10 plants, the Volkswagen Group has six, the Renault-Nissan group two and Daimler also has two.

13-23-4

Data source: File #101 - Worldwide production detailed by models

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BAIC is going to acquire Zhenjiang Automobile
 
 
BAIC (Beijing Automotive Industry Corporation) plans to acquire the small Zhenjiang Automobile Chinese carmaker, not in order to increase its volumes but to establish a production site in the province of Jiangsu. For now, BAIC has not communicated on the kind of vehicles that will be manufactured at this site.

BAIC would have entered into negotiations with the local government of this province, Zhenjiang being a carmaker 100% owned by the state, because of its strategic importance (lorries and specialised vehicle production ).

In Chinese law, a carmaker willing to produce in a province other than where its headquarters are, must first acquire a carmaker of this province, or merge with one. This regulation reminds the one concerning foreign carmakers who must partner with Chinese manufacturers to be able to produce vehicles in China.

Zhenjian Automobile has government certificates to produce all types of vehicles, except sedans. So this constructor manufactures trucks and specialised vehicles under the name Shenye.

Jinggong Zhenjiang Automobile Manufacture Co. Ltd. has two factories which are able to  manufacture 10,000 trucks and 5,000 specialized vehicles. One is located in Zhenjiang and one in Inner Mongolia.

The carmaker also has two redevelopment platforms of specialised vehicles in Hangzhou and Wuhan.


13-23-3

Data source: File #101 - Worldwide production detailed by models

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Volvo abandon its plans for a premium limousine
 
 

Within the Shanghai Show Hakan Samuelsson, the President of Volvo announced that the Swedish brand (owned by Geely) no longer plans to develop  in the short term a premium limousine (competitor of the Audi A8, BMW 7 Series Mercedes S-Class), and this even for the Chinese market.


One had indeed last year talked of a successor of the former S90/V90, based on the Universe design (2011). During this exhibition, Volvo also introduced the V40 5-door hatchback, which will be marketed in China by the end of the year, this model has already been marketed in Europe.


M. Samuelsson has confirmed that he initially wanted to start production of Volvo cars in China in the factory of its parent company Geely located in Chengdu. The Swedish brand has also planned to raise to 250 the number of dealerships in China over the next two years (against 150 currently).


Volvo's goal is to sell 200,000 vehicles a year on the Chinese market as from 2015, while it sold 23,000 in the first five months of 2013. The best-selling model in China is the S80, which is currently the top range of the Swedish manufacturer.


13-23-2

Data source: File #101 - Worldwide production detailed by models

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