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Proton and Hawtai expected to ink collaboration deal soon

December 30, 2011 at 10:18 am By Anthony Lim Filed Under Cars, Hawtai, Malaysian Makes, Proton

Reports indicate that Proton and Chinese carmaker Hawtai Automobile are expected to sign an official collaboration agreement before Chinese New Year at the earliest.

According to an unnamed Hawtai executive, discussions have already reached a much deeper state, and the exec added that the two sides have also explored plans to establish a new team of around 30 people in Beijing, with Hawtai planning to send nine other employees to Malaysia.

In October, at the China-ASEAN Business and Investment Summit in Nanning, Guangxi, Proton and Hawtai agreed on a potential collaboration, aiming to establish a technology site – with each having a 50% ownership share – to research and develop new models and key auto parts.

Besides R&D, the venture is also to focus on engineering and technology support, quality assurance work, supplier management and other basic tasks. Additionally, work on developing new vehicles, including new energy cars, is part of the agenda.

The reports state that domestic production of the Exora MPV and the upcoming P3-21A sedan – to be assembled at Ordos City, Inner Mongolia – will be the first order of business. The two companies are currently exploring ideas on how to lower costs to export the vehicles – which comply with Euro 5 emission standards – to Europe and other markets abroad.

The cooperation between Proton and Hawtai is to be carried out according to a new business model that won’t be limited to just Malaysia and China, but will include different markets from across the globe, acording to Hou Haijing, acting vice president and director of Hawtai’s automobile division. The two companies will use a global platform to develop new vehicle technology, procure auto parts and finally expand into new foreign markets, he added.

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BYD-Daimler set to roll out electric concept at Beijing show

December 13, 2011 at 2:33 pm By Danny Tan Filed Under BYD, Cars, China, International News, Mercedes Benz

Last year, Daimler and China’s BYD started a 50:50 research and technology joint venture called “Shenzhen BYD Daimler New Technology Co Ltd” (BDNT) that will develop an electric vehicle in and for China. BDNT is now ready with its first concept, which will be shown at next year’s Beijing show in April.

The Beijing show will see BDNT showcase its green vision, the new brand’s identity, including brand name, logo and positioning as well as the Concept Car’s exterior and interior design. The production fully electric vehicle is scheduled to be launched a year later in 2013.

In fact, work on the production model has started. The Shenzhen-based JV is said to be making good progress, and work on building the first prototypes has started with the target to have them running by spring next year. The JV will use BYD’s battery tech and e-drive systems plus Daimler’s know-how in EV architecture and safety. BDNT says that Daimler’s quality philosophy has been incorporated from a very early stage.

Production of the new generation of compact to mid-size electric vehicles will be done with Daimler’s quality management experts and will “to a large extent” follow Daimler’s standardised production system for passenger cars. Supplier sourcing for the new vehicle is nearly completed.

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FAW launches new brand called Oley in China

November 29, 2011 at 12:46 pm By Anthony Lim Filed Under Cars, China, FAW, International News

Chinese automaker FAW Group unveiled a new brand called Oley (or Oulang, in Chinese) last week at the Guangzhou auto show. The small car brand is hoping to attract young consumers with stylish and sporty offerings.

It’s set to launch its first model, a sedan, next March, at a price of around 80,000 to 100,000 yuan (RM39,865 to RM49,830). The car, which according to some reports is based on a Mk II VW Jetta and is powered by a 1.5 litre engine and a choice of five-speed manual or four-speed auto transmissions, will be built at the FAW Car Plant II in Changchun.

The brand takes its name from the Spanish word Olé, which the company says is well known to Chinese consumers from the World Cup, adding that it has named the new brand as such to express ‘passion, vitality, fashion, sports,’ and it has even got a brand slogan which goes “Let’s Oley!” Yes, well, Oley on then.

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China to introduce tighter rules for new automakers

November 18, 2011 at 3:53 pm By Anthony Lim Filed Under Cars, China, International News

China is set to introduce new standardised rules for companies applying to start a car-making business in the country, in what looks like a bid to limit new entrants as sales begin to slow in the world’s number one automotive market.

According to reports, the rules – which are aimed at advancing industry reorganisation – state that these companies must meet certain criteria, including scale of production and development capacity, though no specific figures were mentioned. The country’s Ministry of Industry and Information Technology said on a statement on its website that the rules will take effect from January 1.

There are already more than 100 automaking companies in China, but that hasn’t stopped new players from attempting to get into the game – companies such as Pang Da Automobile, an auto dealer group, for example, have tried to expand into car production.

The reports add that auto sales growth in China will probably slow to less than 5% in 2011 after surging 46% and 32% respectively in the last two years, since the government has phased out purchase incentives, according to the China Association of Automobile Manufacturers.

Nonetheless, the combined sales targets of China’s largest automakers may exceed total demand by as much as 32% by 2015, with companies continuing to add capacity by investing in new plants, according to Bloomberg-compiled data.

In related news, other reports say that China is expected to begin an incremental push toward stricter auto emissions standards starting from next year and is also set to adopt fuel efficiency guidelines on par with those in industrialised countries by as early as 2015.

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Great Wall Motor forms JVs with Bosch and BorgWarner

November 15, 2011 at 5:25 pm By Danny Tan Filed Under Cars, China, Great Wall

Great Wall Motor, the latest automotive brand from China to enter Malaysia, announced that it has formed joint ventures with America’s BorgWarner and Robert Bosch GmbH of Germany to engineer key components. Both companies already supply parts to GWM.

The partnership with Bosch will develop engine management systems and brakes. In 2006, Bosch started supplying common rail fuel systems for diesel engines used in Great Wall’s Haval SUV and Wingle pickup, both of which are available in Malaysia.

The JV with BorgWarner is to design timing chains for transmissions and torque management systems. By the end of this year, Great Wall’s Haval H6 will be equipped with BorgWarner’s torque management system. BorgWarner has produced parts for Great Wall since 2005, supplying the privately owned carmaker with turbochargers and transfer cases.

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Youngman SUV spied in China – based on the Lotus APX?

November 9, 2011 at 10:43 pm By Anthony Lim Filed Under Cars, China, International News, Youngman

Over in China, a report says that a Proton SUV – supposedly based on the Lotus APX concept – will see the light of day in that market possibly sometime next year, through the Youngman brand. The APX made its debut in Geneva five years ago, but never went into production form.

The China Car Times – which has spyshots of the said vehicle – speculates that the Youngman SUV is not expected to sport a 3.0 litre V6 like that seen on the APX, but rather wear a more sensible four-pot 2.0 to 2.4 litre mill for economical reasons.

The report also says that the Chinese motoring press is predicting that the vehicle will enter the market anywhere between 90,000 RMB to 140,000 RMB when it arrives, and further speculates that the vehicle might possibly appear in concept form at the Guangzhou Auto Show in December, ahead of a Beijing Auto Show launch in April next year.

Earlier in the year, a Youngman Europestar SUV – being developed together with Lotus Engineering – was spied in China, though that one is said to be based on a GEN2 platform. Wonder exactly how different both are.

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Saab sale to Pang Da and Youngman to be reworked, after GM makes objections over the deal

November 8, 2011 at 11:15 am By Anthony Lim Filed Under Cars, International News, Saab, Youngman

According to reports, the rescue deal for Saab made by Pang Da and Zhejiang Youngman will have to be redone after General Motors made objections. “We have to go back to the drawing board,” said Viktor Muller, chief executive of Swedish Automobile.

GM said yesterday it had decided to sever ties with Saab, revoking its commitment to supply it with vehicle components and the 9-4X model because of the risks posed by the pending sale of the brand to Chinese owners, the report states.

An official statement from GM put the message across very clearly. “Although General Motors is open to the continued supply of powertrains and other components to Saab under appropriate terms and conditions, GM will not agree to the continuation of the existing technology licenses or the continued supply of 9-4X vehicles to Saab following the proposed change in ownership as it would not be in the best interests of GM shareholders.”

Last week, GM had stated that it would be difficult to support a sale of Saab if the transaction hurt its existing tie-ups in China or its competitive position in other markets. The US automaker still has preference shares in Saab and is a major supplier of vehicle components, and so must approve the Pang Da and Youngman takeover. At this point, the fate of the Swedish automaker continues to hang in the balance.

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BYD begins selling its e6 EV to individuals in China

October 28, 2011 at 5:13 pm By Anthony Lim Filed Under BYD, Cars, China, International News

Chinese automaker BYD, which is looking to lead the market for alternative-energy vehicles in the country, has begun selling its e6 electric vehicle to individuals in China, according to reports.

The five-seater crossover, with a claimed operating range of 300 km, is powered by a 75 kW motor and BYD’s proprietary iron-phospate FE battery, which can be fully charged in 40 minutes through a 100 kW fast-charging cabinet and six hours via a standard 10 kW charging pole. The car has a sticker price of 369,800 Yuan (RM178,700).

Buyers in BYD’s hometown of Shenzhen will however qualify for as much as 120,000 Yuan in subsidies – in 2010, China introduced sales subsidies of up to 60,000 Yuan for each electric car purchased in Shenzhen and four other cities, and e6 buyers in Shenzhen will get an additional local subsidy worth 60,000 yuan. The city has also set up more than 60 EV charging stations.

The reports add that the Chinese government aims to have a million EVs and plug-ins on roads by 2015, according to the Ministry of Science and Technology. As of July this year, around 10,000 EVs and plug-ins were running in 25 trial cities, according to the Ministry of Industry and Information Technology.

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Geely exports second batch of vehicles to Cuba

October 28, 2011 at 4:45 pm By Anthony Lim Filed Under Cars, China, Geely, International News

According to reports, Chinese automaker Zhejiang Geely has exported a second batch of Geely vehicles to Cuba, shipping 1,560 cars to the country last week. It’s the second time the automaker has done so, having exported 1,500 units in 2009, where they were used by government officials and the police, as well as equipping rental car fleets.

The shipment this time is made up of 1,310 Freedom Ship (or the Geely CK) sedans and 250 Emgrand mid-sized sedans, Geely said, and buyers for the cars include Cuba’s defense and tourism ministries, plus some other agencies.

Geely, which owns Swedish automaker Volvo, also began exports to other markets this year – it started exporting to Australia earlier in the year, and last month began selling cars in Saudi Arabia.

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Bufori debuts in China – first showroom to be in Shanghai

October 27, 2011 at 10:50 pm By Anthony Lim Filed Under Bufori, Cars, China, International News

Bufori Motor Car has launched the brand in China at the Top Marques Shanghai luxury show, where Bufori MD Gerry Khouri and Chinese superstar Liu Xiaoqing jointly unveiled a La Joya in front of the media and VIPs.

The company also announced the appointment of Bufori China as the exclusive distributor of the marque’s vehicles in the country. The company, which was formed in June this year, is a partnership with Jiaochen Group, which operates numerous automotive dealerships in the Ningbo region.

The first batch of three Buforis – two La Joyas and a MkII – were air-freighted to Shanghai in co-operation with MASkargo two weeks ago, and will be exhibited at the brand’s flagship showroom in Xintiandi, a prestigious district in the centre of pulsating Shanghai, when that opens in December.

Bufori China plans to set up additional dealerships in Beijing, Chengdu and Shenzhen by 2012, and the brand – which expects China to become its biggest market very soon – will also showcase its handmade luxury vehicles at the Beijing International Motor Show in April next year.

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