Brilliance China Automotive Holdings Ltd, the Chinese partner of BMW AG, said yesterday it will need more than 6 billion yuan (US$858 million) to expand capacity and add new models in China by 2010, according to its chairman Qi Yuming.
The car maker plans to double production and sales to 600,000 units in China by 2010 while gaining sales revenue of more than 80 billion yuan, Qi said during an interview on the Auto China 2008 in Beijing.
The aggressive plan also included sales projections of 150,000 light trucks and the same amount of mini vans in China by 2010 in addition to a doubled capacity for its advanced engines for 600,000 units. The car maker plans to sell 1 million vehicles and net 100 billion yuan revenue in its second five-year plan ending 2012.
"The huge investment would be partly funded by the stock market and we are also looking forward to get more financial support from the government in terms of tax and loans,'' Qi said.
Shenyang-based Brilliance, the former light-vehicle specialist making Haise light buses and Jinbei light trucks, began to win more customers after moving into the booming passenger car market with its own nameplate in the world's second-largest auto market.
It launched several new self-branded models last year to boost sales. This included the Zhonghua Junjie sedan, using China's first self-developed 1.8T engine.
Like many other domestic makers, who are struggling in the face of overseas rivals, Brilliance is also considering to expand its product line-up from the mid-class sedan to cheaper pricing cars.
(Shanghai Daily April 21, 2008)
