Manufacturing News

Changan Ford Mazda sees 2009 sales up 50 pct

Changan Ford Mazda said on Monday that it expects its sales to jump 50 percent to 320,000 vehicles this year, amid a broader leap in China's auto sales fueled by a range of government stimulus measures.

China's auto sales jumped 45 percent in the year to October, amid a raft of incentives from Beijing, including reduced sales tax on small cars and subsidies for buyers in rural areas, designed to boost consumption during the global downturn.

But with those incentives set to end at the end of this year, industry watchers expect growth to slow to around 10 percent in 2010.

Changan Ford Mazda, a three-way tie-up with Chongqing Changan Automobile Co <000625.SZ>, Japan's Mazda Motor <7261.T> and Ford Motor , expects to beat broader market growth next year, Jeffrey Shen, the venture's president and CEO said in an interview.

He declined to comment on Ford's discussions to sell its Volvo automobile unit to the parent of Hong Kong-listed Geely Automobile <0175.HK>. But he said that Volvo expected to make 10,000 to 12,000 vehicles in China this year.

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