Mitsubishi Fuso Truck and Bus Corporation (MFTBC) today announced it has finalized contracts for the manufacturing of light buses for sale in China with Jiangsu Yueda Group Co., Ltd. (Yueda), one of largest automotive and textile groups in China, on November 5, 2014. The announcement marks an important milestone for the company, a first ever KD (knocked-down) production of vehicles in China overall.
Subject to final government approvals, the new light bus, based on the technical platform of the FUSO Rosa light bus, will be assembled at Jiangsu Dengda Automobile Co., Ltd facility and sold in China from 2016 under a newly established brand.
Dr. Albert Kirchmann, MFTBC President & CEO, said: “We already had a good base in China in terms of export business of industrial engines and completely built-up trucks. Today’s agreement, the cumulative and determined efforts of both parties to tap potentials in the bus market in China, opens up a completely new chapter for us. Additional opportunities in the medium and large bus segments are under evaluation with Yueda as we seek opportunities to further shore up our presence in China.”
According to Dr. Kirchmann, the premium light bus segment in which the company plans to grow its business has a total demand of about 30,000 units in an average year. Production will initially start at a volume of around 600 units ramping up to about 4,000 units annually in the future.
Mr. Shao Yong, President of Yueda, said: “Jiangsu Yueda Group has a long history of successful partnerships with global manufactures in China, and we are proud to be bringing the FUSO light bus platform to China. Through this partnership we will complement our existing portfolio of locally designed and manufactured buses and target the growing premium segment. This partnership marks our fully committed entry in the bus market, and we are excited at the opportunities to enter into further segments together with MFTBC.
