Motor Vehicles and Parts News
- DaimlerChrysler to set up van venture
Date: 5-Jan-2007 Sources: (Shenzhen Daily)
CARMAKER DaimlerChrysler AG has received government approval to set up a joint venture to manufacture vans in China, the Shanghai Securities News said Thursday.
The company's Mercedes-Benz brand will form a venture with Fujian Auto Industry Group and Taiwan's China Motor Corp. in which the firms will invest more than US$262 million, the newspaper reported, citing sources.
The creation of the venture, which is expected to have an annual output of about 40,000 mid-sized and light cars, had been approved by the Ministry of Commerce, the report said.
The firms expect to start manufacturing DaimlerChrysler's Viano and Vito minivans and Sprinter transport vans by the end of 2008, it said.
DaimlerChrysler, which competes in China with General Motors and other top global automakers, already produces Mercedes-Benz cars and other car models in China with Beijing Automotive Industry Holding.
Mercedes-Benz will hold 33.78 percent of the venture, the report said.
Chrysler said last week it had signed a pioneering deal with China's Chery Automobile Co. to produce a new small car that would be made in China and marketed around the world.
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