China Plans To Up Auto Parts Exports By Ten Fold

Nov. 20, 2006
In ten years China wants their market to reach $120 billion.

China plans to boost its car and auto parts exports by more than 10 fold to $120 billion in a decade, Wei Jianguo, a vice commerce minister said Nov. 20. "The exports of car and auto parts... represent the level of a country's industrial technology and competitiveness," Jianguo said.

"Our country's car and auto parts exports currently amount to just 0.7% of the global trading volume so our plan is to make up 10% of the world auto trade in 10 years' time, which is $120 billion."

China's exports of vehicles and auto parts have grown rapidly during the past few years, Wei said. In 2005, exports reached $10.9 billion, up 34% from the previous year, he said.

Chinese auto maker Chery said Nov. 18 that it would export 50,000 vehicles by the end of 2006, compared with 18,000 last year, mostly to its current markets in the Middle East, Southeast Asia, Latin America and Africa. Chery also announced Nov. 20 that it would set up a $30 million automotive parts joint venture with Johnson Controls Inc in eastern China. Chery will acquire technology from Johnson Controls to produce car components including the interior system, seating, electronic products and high-efficiency batteries, the Chinese company said in a statement.

Copyright Agence France-Presse, 2006

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