Proton Gen.2 Set To Enter China's Automotive Market
Proton Holdings Bhd is set to tap China, the third largest automotive and fastest growing market in the world, with shipments of the first batch of 348 completely built-up units (CBUs) of Gen.2 Friday.
The initial shipment of 60 units was delivered earlier this month and a total of 1,600 units of Gen.2 are scheduled to be shipped to China by the end of next month, said Proton's head of China business, Teo Aeng Kyet.
"The car will carry the EuropeStar brand with endorsement as well as engineered by Lotus. It will be sold as a sporty hatchback and compete with other brands in China," he told reporters at the Proton Gen.2 shipment to China ceremony here.
Also present was Youngman Automobile Group's quality director Ma Wei Dong who said the car will be launched on Jan 9, 2008.
The first batch of Gen.2 left Proton Tanjung Malim for Port Klang and will be shipped to Shangai, China. Later, a total of 1,500 units of Gen.2 will be shipped monthly over next 20 months to facilitate the 30,000 units order made by China-based Youngman Automobile Sales Co Ltd and Youngman Automobile Group Ltd Co.
Teo said the car had underwent six months of stringent testing in China, such as build quality, crash test, safety, fitting and component test, and successfully obtained the China Compulsory Certification in order for the car to be on Chinese road.
"The car has received overwhelming positive response from the China market," he said when asked on the feedback from China's car buyers on the Proton Gen.2, adding that 1,600 units had been booked so far.
Though the automotive market in China is considered tough with Proton having to compete with American, European, Japanese and Korean cars, Teo said China was an important market for the national carmaker to boost exports.
He said car ownership in China was currently at only one percent of the population but the total industry volume was about seven million units annually.
With the middle-income group growing, spurred by economic growth expected to be above eight percent annually, the car market is expected to expand by 20 to 30 percent annually in the next few years, he added.
Teo also said that Proton was in talks with Youngman to double sales in the next two or three years.
He, however, did not elaborate.
On July 13, the national carmaker inked a business transaction agreement with Youngman to offer its products and services in China.
Under the agreement, Youngman will import 30,000 units of Gen.2 CBU and resell under its own EuropeStar brand as well as develop a new range of made-in-China EuropeStar cars with engineering services through Proton.
Another deal involved the technology licensing of the Gen.2 platform Campro engine for Youngman's new EuropeStar cars and supply of genuine spare parts.
Teo said the first shipment of spare parts worth RM2 million had been delivered.
Source From : bernama
http://www.bernama.com.my/bernama/v3/news_lite.php?id=304875
The initial shipment of 60 units was delivered earlier this month and a total of 1,600 units of Gen.2 are scheduled to be shipped to China by the end of next month, said Proton's head of China business, Teo Aeng Kyet.
"The car will carry the EuropeStar brand with endorsement as well as engineered by Lotus. It will be sold as a sporty hatchback and compete with other brands in China," he told reporters at the Proton Gen.2 shipment to China ceremony here.
Also present was Youngman Automobile Group's quality director Ma Wei Dong who said the car will be launched on Jan 9, 2008.
The first batch of Gen.2 left Proton Tanjung Malim for Port Klang and will be shipped to Shangai, China. Later, a total of 1,500 units of Gen.2 will be shipped monthly over next 20 months to facilitate the 30,000 units order made by China-based Youngman Automobile Sales Co Ltd and Youngman Automobile Group Ltd Co.
Teo said the car had underwent six months of stringent testing in China, such as build quality, crash test, safety, fitting and component test, and successfully obtained the China Compulsory Certification in order for the car to be on Chinese road.
"The car has received overwhelming positive response from the China market," he said when asked on the feedback from China's car buyers on the Proton Gen.2, adding that 1,600 units had been booked so far.
Though the automotive market in China is considered tough with Proton having to compete with American, European, Japanese and Korean cars, Teo said China was an important market for the national carmaker to boost exports.
He said car ownership in China was currently at only one percent of the population but the total industry volume was about seven million units annually.
With the middle-income group growing, spurred by economic growth expected to be above eight percent annually, the car market is expected to expand by 20 to 30 percent annually in the next few years, he added.
Teo also said that Proton was in talks with Youngman to double sales in the next two or three years.
He, however, did not elaborate.
On July 13, the national carmaker inked a business transaction agreement with Youngman to offer its products and services in China.
Under the agreement, Youngman will import 30,000 units of Gen.2 CBU and resell under its own EuropeStar brand as well as develop a new range of made-in-China EuropeStar cars with engineering services through Proton.
Another deal involved the technology licensing of the Gen.2 platform Campro engine for Youngman's new EuropeStar cars and supply of genuine spare parts.
Teo said the first shipment of spare parts worth RM2 million had been delivered.
Source From : bernama
http://www.bernama.com.my/bernama/v3/news_lite.php?id=304875
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