Beijing Auto Eyes 2 Million Sales a Year by 2010
BEIJING — Beijing Auto, which has joint ventures with Chrysler, Hyundai, Mercedes-Benz and Mitsubishi, is in the midst of a sweeping expansion that could see annual sales double to 2 million units by 2010.
The growth will come from acquisitions and increased production capacity, according to top executives. To help fund its expansion, Beijing Auto and subsidiaries such as Beiqi Foton plan to raise money on the Shanghai stock exchange.
Local media reports say Beijing Auto also has been seeking an alliance with Fuzhou-based Soueast Auto.
Beijing Auto’s ambitious expansion plan hinges in part on huge growth in its own brands, including Foton. The company’s proposal to sell a 24 percent stake in Beiqi Foton to Daimler was scuttled by the government late last year. Foton makes heavy trucks, as well as a line of utility vehicles and pickup trucks.
What this means to you: Yet another little-known Chinese automaker with world-class ambitions. — Paul Lienert, Correspondent