Press release

July 16, 2007

EXCLUSIVE: New Chinese cars at the IAA

Würzburg/Germany, July 17, 2007


Despite the PR debacle surrounding the Landwind sport utility vehicle and the Brilliance-Limousine BS6, more Chinese makes of car are making their way through to Europe. The industry's big names such as Geely and Great Wall, however, are holding off for the time being.


There will be several new Chinese-made models going on show in one go at this year's IAA, as their importer confirmed in an interview with Germany's car sector magazine, "Automobil Industrie". Two sport utility vehicles (SUVs) and one new small car will be presented for the first time at the exhibition stand of the Munich-based company, China Automobile Deutschland GmbH.


The most expensive model is the CEO made by Shuanghuan/Martin Motors who have based it formally on BMW's X range. Its technical construction, on the other hand, is much simpler. According to the manufacturer, the CEO's 2.4 liter four-cylinder petrol engine boasting 125 horsepower will get the car (weighing more than 1.7 tons) up to a speed of 165 km/h. The CEO will cost about 25,000 euros on the German market and will also alternatively be available with a liquid gas engine. It has already been given the European COC type approval.


Zhejiang Jonway's UFO, on the other hand, will cost must less (around 15,000 euros). This car's body shell is practically identical to the predecessor of the Toyota RAV4. It comes with either a 2.0 liter or a 2.4 four-cylinder petrol engine and front-wheel drive. The interior is individually designed.


A small two-door, four-seater car will be on show as an absolute top bargain. It is to go on sale at less than 7,000 euros, making it the cheapest car on the German market. The car runs on an 80 horsepower engine which, after all, is by no means insubstantial.


Furthermore, its importer also has a cooperation agreement with the Zhejiang Gonow car manufacturers who produce conventional designs of vehicles. Currently in China the GX6-2 sport utility vehicle - which is based visually on Toyota's LandCruiser - and the Pickup Alter are included in the range of cars available for delivery. As far as a European launch is concerned, however, the makers intend to wait a while before the next generation of models makes its debut. The launch is planned for mid-2008. The first models are intended to be delivered as soon as October - a few hundred in 2007 and some 5,000 in 2008.


China Automobile Deutschland is on the lookout for car dealers: So far, 15 dealers have signed a dealership contract; it is hoped that this figure will be between 30 and 35 by the time that the IAA takes place. Margins are above the 15 percent mark, which Karl Schlössl, the managing director of the importing company, regards as being very good by comparison. The importing company coordinates the sales and marketing activities for various northern, central and eastern European markets. It should just be added that the CEO is already on sale in Italy.


The CEO and UFO models should, above all, rival the Korean SUVs, Chevrolet Captiva, Hyundai Tucson and Kia Sportage on the market. The new small car being launched will assail the lower segment of the vehicle market.
The manufacturers say that they have now got on top of the safety issues which have been the downfall of the Chinese makes of car presented in Europe up until now. "These models have been subjected to two years of tests for the European market and there have been significant changes made to their construction," pointed out Karl Schlössl. Because of the debate about the safety of Chinese-made vehicles, the two car manufacturers, Geely and Great Wall, decided not to exhibit at the IAA. Instead, as an inside information source told "Automobil Industrie", the two companies have decided to concentrate on the "Geneva Salon" motor show.


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