Business Development Asia LLC
South East Asian Automotive News
Issue 4, December 1997
REGIONAL
Asian Honda Motor, will introduce the first Low-Emissions Vehicle (LEV) for ASEAN countries by the end of 1998. The LEV technology will reduce emission levels by 90%, and will not compromise engine performance. This car will be the first car in Asia outside of Japan with the ability to reduce emissions to this level. (October 20th 1997)
Ford Motor Co. is implementing a plan called 'Ford 2000' in an effort to broaden name recognition and increase sales within Thailand, Malaysia, China, India and Vietnam. Ford Motor also announced that it expects to increase the number of dealerships in the region from 200 to 600 by the year 2000. (October 21st 1997)
Ford Motor Co and the Chinese company, Jianling Motors Corp., have introduced a new passenger van designed for the Chinese market, the China Transit. The JV has plans to export the vehicle after its introduction to China in 1998. Initial production will be for 20,000 units, although the factory has a capacity to produce 60,000 vehicles annually. (November 27th 1997)
Honda Motor Corp. has signed an agreement with Guangzhou Auto Group Corp. and Dongfeng Motor Corp. to establish a JV to produce Accords at the former Peugeot facility in China. Honda intends to begin production in 1999 at a rate of 30,000 cars a year. Half of the US$200m capital was supplied by Honda. (November 17th 1997)
With the recent bankruptcy of Kia Motors, the fate of its truck subsidiary, Asia Motors, is uncertain. The South Korean Government has taken a controlling interest in the company in an effort to prevent job losses and facility closures. Daewoo, South Korea's fourth largest conglomerate, is interested in purchasing Asia Motors if possible. Daewoo is South Korea's second largest car maker, but only enjoys 5% of the domestic market for commercial vehicles. (December 4th 1997)
Tata Engineering and Locomotive Co., currently India's largest truck manufacturer, is poised to enter the small car market. It will begin production of a two-door hatchback next year when a manufacturing facility is completed. Currently the Indian small car market is dominated by Maruti Udyog Ltd., a joint venture between Suzuki Motor Corp and the Indian government which enjoys about 80% of the passenger car market. (November 21st 1997)
Recent News: Indonesia, Singapore, Malaysia, Philippines, Thailand, Vietnam Focus: Fast Moves in South East Asia
Business Development Asia LLC, The Economist Building,
111 West 57th Street, Suite 405, New York, NY 10019
Tel (212) 265 5300 Fax (212) 265 4300 E-mail bdallc@aol.com
A limited liability company incorporated in the State of DelawareHome | Introduction | Services | Skills | Management | Contact | Newsletters