Following on the heels of Beiqi Foton which, earlier this year, announced plans to enter India, Jianghuai Automobile Company which figures among China’s Top 10 automakers is eyeing the Indian market.
Based in the central Chinese city of Hefei, it is reportedly the country’s largest and best-established truck exporter and the country’s second largest truck-maker.
Its range includes pick-ups to prime-movers, and well as buses and passenger cars. JAC’s has an annual production capacity of 700,000 units and in 2010, sold 460,000 cars, trucks and buses – up from 310,000 in 2009.
The company entered into passengers cars more recently than trucks and will reportedly look at launching some models here, media reports suggest. So far, GM-SAIC has announced plans to bring its Wuling brand of CVs to India under the Chevrolet brand.
The local Anhui provincial government based in Hefei is a major shareholder in the company, which has R&D centres in Turin, Italy, and Tokyo, Japan.
The Turin and Japanese operations are jointly credited with designing the JAC Multivan, with Turin in charge of the exteriors and Tokyo being responsible for the interior.
As a result of increasing interest rates, India’s truck sector sales may be impacted in the current fiscal. However, given the sheer pace of infrastructure activities, it may initially target specific sectors such as mining and raod construction. Price tags and service set-up will have to be carefully planned.