Press release

August 30, 2007

IAA presence despite plagiarism threat

Exclusive interview: China Automobile exhibits at trade fair in Frankfurt

Würzburg, August 31, 2007

The supplier China Automobile GmbH intends to exhibit at the IAA in Frankfurt despite threats from German car manufacturers, says Managing Director Karl Schlössl in an interview with the industry magazine "Automobil Industrie". However, it has not yet been decided whether the controversial CEO and Noble models will be shown. Instead, other models from Chinese production could also be shown, for example from the company Zhejiang Gonow, with which China Automobile is also cooperating.
In the event that the VDA prevents the long-booked trade fair appearance, China Automobile intends to present its vehicles in a hotel in the Frankfurt area.


The exclusive interview in full:


AI: Mr. Schlössl, is it true that China Automobile GmbH will not be exhibiting at the IAA?

Schlössl: That is nonsense. Shuanghuan has only said that we will not be represented there as a manufacturer. That is also correct, because we are the importer and agent for various brands from China. Nothing more was said - and we are in permanent contact with Shuanghuan and Martin Motors.


AI: So you will be showing the CEO and the Noble?

Schlössl: We will be showing Chinese vehicles. Exactly what these will be has not yet been decided. We have a few more models in our quiver, such as the Gonow models. Just wait and see.


AI: Is the VDA threatening to close your stand?

Schlössl: The VDA has made it clear to us that we are not wanted. We have no problem with that, by the way. We are still planning to be represented with our stand at the IAA. But there are also suitable hotels in Frankfurt to present the vehicles.

AI: DaimlerChrysler and BMW accuse you of plagiarism.

Schlössl: A plagiarism is defined as a one hundred percent counterfeit. If BMW thinks that our 27,000 euro CEO is a plagiarism of the X5, then that makes me very thoughtful. And the Noble is not only 40 centimeters longer than a Smart, it also has four seats and a front engine. The Smart is a two-seater with a rear engine. Incidentally, our exhibition vehicles have just passed through customs. And they obviously didn't classify them as copies or plagiarisms.

AI: The German manufacturers have threatened you with legal action.

Schlössl: First of all, we are a peaceful company that seeks to talk directly and not through lawyers. We called BMW and DaimlerChrysler. DaimlerChrysler sent us a friendly letter advising us not to present the Noble. BMW has also just responded in writing.


AI: How are your retailers responding?

Schlössl: Very well. We are getting very positive reactions from both retailers and end customers. The smaller and medium-sized dealers in particular are happy to have a perspective with us to generate profits and create jobs. In an environment in which Mercedes and BMW are relocating production capacities abroad. The whole aim of the campaign is to keep inexpensive Chinese vehicles from the end customer. And that will not succeed.


Publication only with citation of the source "Automobil Industrie".


"Automobil Industrie" is a monthly trade magazine published by Vogel Business Media, Würzburg, with a circulation of around 15,000 copies. "Automobil Industrie" is aimed at the managers of automobile manufacturers, suppliers, equipment suppliers and service providers. The trade magazine has been a must-read in the industry for over 50 years.


Daily news from the entire automotive industry can be found at www.automobil-industrie.vogel.de and in the regular newsletter.


For questions and photos, please contact:

Jens Meiners

"Automotive Industry"

Chief reporter/member of the editorial board

Vogel Auto Medien GmbH & Co. KG

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97082 Würzburg

Phone: +49 931 418-29 26

Fax: +49 931 418-27 79

Mobile: +49 172-20 13 832

E-mail: jens_meiners@vogel-automedien.de


You can also find this press release at: www.automobil-industrie.de

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