Lifan buys Tritec factory

lifan520.jpg

The Lifan Group, a Chinese motorcycle manufacturer has recently ventured into the car business, with their US$9,700 Lifan 520 sedan. A recent move has shown this is not just a one-off shot at making a quick buck, they are in it for the long haul. Yup, Lifan has actually purchased the Campo Largo engine plant in Brazil from DaimlerChrysler and BMW AG, who jointly own the factory.

The Campo Largo factory in Brazil was built in the late 1990s and it employs the latest German and American technology to build 1.6 litre 16-valve Tritec engines. The Tritec engine is one of the most technologically advanced and fuel-efficient engines in the world. These 1.6 litre Tritec engines are used in the New MINI Cooper. They were also put into the Dodge Neon and the Chrysler PT Cruiser, though not anymore. Now DaimlerChryslers share of the output is sold to Lifan, Chery and a Mazda-Chinese joint venture. In its day, it was one of the most advanced factories ever built.

Developing such technology in China would be too expensive, so Lifan plans to buy the whole factory lock, stock and barrel, take it apart and ship it back in pieces. It will be re-assembled in China. It will be re-built on a vacant plot of land next to Lifans existing car assembly plant in Chongqing.

A plant in Brazil was chosen because comparable plants in the USA would likely be blocked by technology export laws. Brazil has much slacker rules on this.

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Paul Tan

After dabbling for years in the IT industry, Paul Tan initially began this site as a general blog covering various topics of personal interest. With an increasing number of readers paying rapt attention to the motoring stories, one thing led to another and the rest, as they say, is history.

 

Comments

  • Initial D (Member) on Feb 19, 2006 at 5:20 pm

    proton should considered this . buying engine factories overseas. NOw china wins again.

    china 2 malaysia 0

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  • outspoken (Member) on Feb 19, 2006 at 10:05 pm

    Proton Tanjung Malim plant is regarded as one of the best in the world ( as admitted by VW before the talks of collaboration broke down- well orang putih said so, so it must have been true?!!)). Why should we buy another foreign factories and create jobs overseas? Technology transfer? well, the chinese can dream on.. they might have the machinary/capability of the factory, but cutting edge technology is not something big companies will give up very easily. What did proton got from their partnership with MMC? well, they know how to assemble car parts,but develop their own engine?? emmmm even campro was done by lotus… people will agree with me that chinese bikes (comel nitro etc) are cheap , but no quality. people tall of China copycat japan design… it might look the same, but how about the material used. heat treatment, tolerances, surface finish? are they exactly the same? On paper, the chinese might have got themselves a bargain. but i think proton got themselves a better bargain when they bought LOTUS and MV AGUSTA (r.i.p :))

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  • HatukNgkau (Member) on Feb 20, 2006 at 5:34 am

    Behold… the might of the awakening giant!

    What if one day a china car company buy off Proton's Tjg Malim plant, buy the whole factory lock, stock and barrel, take it apart and ship it back in pieces and then re-assemble it in a vacant plot of land…

    hmm…

    oh, by the way, Lifan's core biz is not Cars, but Motorbike yet they dare take the plunge coz they're financially strong and got other partner's support…

    Our proton's core biz also cannot stand straight without crutches, went on & buy a Motorbike company, using rakyat's money, incur loss and then sell it off for 1 euro…

    so much for National Pride eh?

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  • nuggyn (Member) on Feb 20, 2006 at 6:39 am

    i don't want the car, gimme the girls.

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  • Initial D (Member) on Feb 20, 2006 at 7:11 pm

    nuggyn, gimme, gimme, gimme , what i want?

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  • Tourist (Member) on Feb 20, 2006 at 7:47 pm

    Many moons ago, people said the same thing about Japanese products being mere copycat and the byword for poor qualities. Of course, only the very elderly still remember those Jap products histories.

    I once read an article over a decade ago on an interview with Toshiba’s big boss on accusation that Japanese are merely good at being a copycat. His answer goes somewhat like this: When a person is hungry, he couldn't care less about innovation, creativity & qualities and what have you and all he wanted is to make money. It's not that this person doesn't possess any of those DNA for the above matters but you must have the priority right, ie, get the money to fill the stomach. Only when you had fulfilled your basic needs, then we can talk about innovation etc and the Jap can as good as anybody else. And history has proven him right.

    The same thing could very well be happening in China. And don’t forget, before the 16th Century, the Chinese were the worlds’ SOLE superpower in leaders in innovation. There is every reason to believe that those DNA are still intact and waiting to excel again.

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  • kody (Member) on Feb 20, 2006 at 11:44 pm

    Wahlaueh…

    You want to find a genius in a billion, it is easy & many genius are in China, innovation will never end… only time will prove how China will be… & the product quality… Remember the art works from China… they are sign of quality & wisdom… So, i believe sooner the major defect in China (quality problem) will reduce & it will not take as long as proton….20 years …. also no significant improvement….

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  • Akazamabamaboo (Member) on Aug 13, 2006 at 11:24 pm

    Those girls deserve to work with a more reputable company, or at least model for prettier cars…

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  • Hellblazer on Aug 17, 2010 at 7:16 pm

    Some of the words weren’t correct at the time: “Lifan has actually purchased …”.

    13.03.2008: Fiat Powertrain Technologies (FPT) signed an agreement with Chrysler L.L.C yesterday (Wednesday) for the total acquisition of the former’s Tritec Motors unit located in the city of Campo Largo in the south of Brazil.

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  • mahan on Dec 29, 2010 at 2:55 am

    mom darom
    soz
    lifan 520

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