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Geely, the mainland parent of Hong Kong-listed Geely Automobile Co Ltd, yesterday forecast a 20-fold increase in annual output by 2015 with two-thirds to be sold in the international market.
The group, owned by Li Shufu who is listed by Forbes as one of China's richest people said it aims to boost output to 2 million cars a year by 2015 from 100,000 units last year.
Of that, 1.4 million cars are expected to be exported or manufactured overseas by then, Geely said.
To parade its prowess to the world, Geely will display five self-developed new car models during the 61st Frankfurt International Motor Show from September 13 to 25.
This will be the debut of Chinese car makers at one of the world's top car exhibitions.
The five models include the 1.0-litre right-steering Haoqing 203A, the 1.5-litre Freedom Cruiser, the 1.8-litre FC-1, the 1.8-litre China Dragon and the 1.8-litre Maple Marindo 303H.
"We want to prove Chinese car makers don't copy foreigners by showing off our own designs during the Frankfurt motor show; and also hope to attract international publicity," Li said in a statement.
Geely, a motorcycle producer which entered the car industry in 1998, is one of only a few independent Chinese car makers. Most of the country's major automakers, such as First Automotive Works Corp, Shanghai Automotive Industry Corp and Dongfeng Motor Corp, assemble foreign-brand cars.
Geely, which has three car plants in Shanghai and east China's Zhejiang Province, has sold cars to some 30 countries and regions.
This year, it aims to produce 125,000 cars, including 10,000 units for export.
Benjamin Asher, an analyst with Automotive Resources Asia Limited, a consultancy with offices in Bangkok and Shanghai, said: "Geely is China's most entrepreneurial automotive company. Its resolve to export should not be underestimated.
"But to sustain its momentum, it must lift its quality, safety and emissions levels to international standards."
Zhao Jie, Geely's vice-president responsible for overseas operations, said the company would start to produce the Freedom Cruiser in December at a joint venture plant in Malaysia. Output is expected to reach 10,000 units next year.
"We are also preparing to enter the European and US markets," Zhao told China Daily.
China's exports of cars, including those built abroad with domestically-made spare parts, have been growing rapidly in recent years with domestic manufacturers speeding up efforts in the international market. But most of them are to Southeast Asia, the Middle East and Africa.
The nation exported 9,600 cars in the first half of this year, a surge of 183 percent from a year ago.
Chery, another independent car maker in Anhui Province, plans to produce its cars in Iran later this year.
The company also plans to exports its cars to the United States through Visionary Vehicles LLC, a US auto trader, starting from 2007 with a planned annual volume of 250,000 units.
In April, China Brilliance Auto, BMW's partner in Liaoning Province, agreed with an Egyptian partner to produce its Zhonghua sedans in the African country.
However, Jia Xinguang from China Automotive Industry Corp, warned of price wars between domestic car makers in overseas markets, possible anti-dumping charges and other safeguard measures.
"As new players in the international market, Chinese car makers should pay close attention to these problems," Jia said.
(China Daily September 8, 2005)
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