JAC Motors (officially Jianghuai Automobile Co Ltd) is planning to sell vehicles in India, a person privy to the company's strategy has told Economic Times.
JAC has deputed its top executives to India to identify a location to build a CKD factory, the report, citing its source, says. The company is seeking to "develop a host of applications" to establish a business in India.
State-run JAC is one of top 10 Chinese companies that sells a portfolio of 9 passenger vehicles and three commercial vehicles. Besides automobiles, the company sells four engines (3 petrol, 1 diesel) and five types of chassis. The company makes 700,000 vehicles and 500,000 engines a year, and runs two off-shore R&D centers in Italy and Japan.
The report does not state which models are being primed for India, but as the soft-SUV segment is growing robustly, the JAC S5/S30 (styled similar to the Hyundai ix35/Tucson) if available with a diesel option, appears to be an interesting candidate.
A perceived reason for JAC establishing an Indian business arm is slowing growth in the Chinese market, which is predicted to grow between 5-8 percent in the next decade.
JAC A20 at Auto Shanghai 2013 - Image Gallery
JAC A30 at Auto Shanghai 2013 - Image Gallery
JAC S30 at Auto Shanghai 2013 - Image Gallery
[Source - Economictimes.indiatimes.com]