Vietnam: Vinamotor plans to set up truck/bus assembly plants in South America
Tuesday, January 29, 2008, AutomotiveWorld.com
Vietnam Motor Industry Corporation (Vinamotor) plans to invest over US$200m to set up facilities in South American countries in 2008 for the assembly of light-duty trucks, buses, motorbikes and concrete mixing stations, according to Vietnam News Agency (VNA).
Vinamotor intends to establish a factory in Venezuela that will produce light-duty trucks (1,800upa), while two others plants will be set up; one to produce 100 concrete mixing stations and the other to build up to 100,000 motorbikes a year.
Vinamotor's plans for the Republic of Dominica include exporting 46-seater buses, and the establishment of a bus assembly facility, with an annual capacity of 5,000 units.
In October last year, TMT Auto, a Vinamotor group company, entered into an agreement with China National Heavy Duty Truck Group (Sinotruk) that now means Vinamotor holds exclusive distribution rights for Sinotruk vehicles in Vietnam. In all, the Chinese CV manufacturer will ship 2,500 trucks to the smaller Communist state.
In December 2007, commercial vehicle sales (including minibuses, buses, pick-ups and trucks) in Vietnam accounted for 7,050 units, up 295% compared with the 1,783 units sold in the same month in 2006. Sales of minibuses and buses increased by 140%, reaching 865 units, from 361 units in December 2006.
The most significant growth came in the pick-up/truck segment, where sales reached 6,185 units, up 335% from December 2006 figures of 1,422 vehicles.
Published on Tuesday, January 29, 2008
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