China Business News
Beijing: China is about to approve a proposal from U.S. auto giant General Motors Co for building a plant in the country worth 7 billion Yuan (US$1.1 billion), according to a statement from a provincial government. The world's largest automaker has an existing passenger-car joint venture (JV) with China's SAIC Motor Corp, and this JV will operate the new factory.
According to the statement on the website of the Hubei Environmental Protection Bureau, the plant will have an annual production capacity of 300,000 vehicles and will be located in Wuhan city. Shanghai-based spokesman Jerry Ma for Shanghai GM said the company is satisfied with the new plant's capacity arrangements but has not decided yet on locating the plant in Wuhan.
The Hindu Business Line
With its entry into light commercial and construction equipment vehicles, truck- and bus-maker Ashok Leyland seeks to fill in the “white spaces.” It is also eyeing a major play in Defense, vehicle infotronics and IT services.
But one big white space the company is missing is, of course, cars, admits Dr. V. Sumantran, Non-Executive Vice-Chairman. “Frankly, I don't think it is the right business sector for us. In terms of the global scale and periodicity of refresh, the segment requires something bigger; plus margins are tough.”
Diesel Progress Magazine
In the latest of what is already shaping up to be a year of interesting deals, France’s Manitou BF, S.A., a manufacturer material handling and compact equipment and Japan’s Yanmar Co., Ltd., a manufacturer of diesel engines and compact equipment, have announced the formation of a strategic alliance.
The two companies have had an existing relationship that included the use of Yanmar diesel engines in Gehl and Mustang branded compact equipment manufactured by Manitou in the United States.
Wheels Unplugged
New Delhi, Feb. 15 -- One of the fastest growing segments in Indian automobile market is utility vehicles segment which has continued to grow in spite of general economic slowdown impacting the overall volumes of the automotive business in the country. Now according to a report in The Hindu Business Line, Tata Motors Ltd sees its UV market share going up to 15 per cent this fiscal; up from 13 per cent it registered last year. The report quoted Ashesh Dhar, Head-Utility Vehicle Product Group, Tata Motors Ltd as saying "The growth has been fuelled by growing volumes from SUV Safari and Sumo, with the latter now notching up average sales of about 3,300 a month, up from about 1,100 it was registering before the launch of Sumo Gold. The Sumo Gold was rolled out in select markets in October 2011 and within 30 days we will take it pan-India. The rollout of new models in the Sumo Gold family and Safari have created excitement among buyers.
The Motoring Monthly
Ashok Leyland Partner
The Ashok Leyland Partner is nothing but an Indianized version of the Nissan Atlas, the new name for a now retired nameplate - the veritable Cabstar. On display at the Auto Expo as a refrigerated truck, we expect it to be powered by a 2.5-litre turbo-diesel engine that produces about 120 bhp. With a rated GVW of about six tons, the Partner will go into production in 2013 as the third product line of the Ashok Leyland-Nissan partnership, after the Dost and Stile. Expect it to come in full box and pick-up options.
Middle East Company News
FAMCO was awarded global honors after it won the Volvo Construction Equipment International Dealer of the Year award, capping a successful 2011 which also saw the Al-Futtaim group company acquire the exclusive dealership for Volvo Construction Equipment in Saudi Arabia.
Diesel Progress Magazine
Audax Group, a Boston-based private equity firm that specializes in investing in lower-middle market companies, announced that it has acquired Phillips & Temro Industries. Financial details were not disclosed.
Headquartered in Eden Prairie, Minn., Phillips & Temro is a manufacturer of heating, cooling and silencing products for diesel, gasoline, hybrid, and electric vehicle engines. With facilities in the United States, Canada, the United Kingdom, and China, the company serves the heavy-duty truck, light-duty truck, power generation, off-road, automotive and electric/hybrid vehicle markets.