Geely reengineering mergers and acquisitions Proton process independent layout of the Southeast Asian market

Posted on 3/6/2017 11:02:32 AM

After the negotiations were shelved for more than two years, Geely once again opened the acquisition of Proton's process. The latest news shows that Geely's acquisition of the Malaysian car brand, Proton, has advanced to offer, and is committed to transferring its latest technology, including patents from Volvo, to Baoteng after the acquisition is successful, provided that after the holding is complete. Malaysian official said the final news will be released in June.
As China's major partners Russia and Brazil's economic growth slowed, China's exports to Southeast Asia, the share is increasing. Forecast shows that China's exports to Southeast Asia last year, the car will account for 30% of total exports, equivalent to twice in 2014. In Japan for many years the Southeast Asian market, independent brands are trying to accelerate penetration.
Depth layout
Proton Motor is a national treasure brand in Malaysia, which was established in 1983 with the support of President Mahathir Mohamad, a typical Malaysian state-owned car company, which is similar to that of the last century The status of FAW Group in China. As early as 2014, Geely Holdings and Proton car had contact, and intends to buy Po Teng car lotus sports car technology, but because the third party involved in the final failure to end. The acquisition of the matter, Geely Automobile has not only coveted Lotus sports car technology, but the treasure in Southeast Asia and Europe have the car resources and the vast market. Geely from last year, has been with the Malaysian Proton company conducted a number of contacts and negotiations, Geely Group Chairman Li Shufu also specifically rushed to Malaysia to contact with the relevant departments. According to informed sources, with the initial contact is different, in the rapid expansion of sales of Geely Automobile, and even claimed to be willing to come out Borui, Bo Yue two cars as a capital, and Baoteng share these and Volvo's research and development results.
Compared with Geely, SAIC Group has a first step. In late October 2016, SAIC started construction in Chonburi, Thailand. After the completion of the plant annual capacity will reach 200,000, China's car prices in the mainland outside the construction of one of the largest factories. According to local media estimates, the total investment of about more than 5.8 billion yuan. In addition to Thailand, SAIC and GM also joined forces in Indonesia to invest 700 million US dollars to build factories, built after the annual production of 150,000 Wuling Automobile, plans to be completed in the second half of this year. For SAIC, you want to become a global car prices, its own brand car will have a place in the overseas auto market, and Thailand is SAIC currently the best operating overseas markets.
At the same time, Beiqi Futian in Thailand at the end of last year has also started the pickup production line, which is following Russia and India after another overseas assembly production base, the factory a total investment of more than 1 billion baht, annual capacity of 10,000, 55% Parts are purchased locally.
Data show that in 2016 the six ASEAN auto market total sales of 3.11 million vehicles, so the magnitude is still attracting the global car prices competing layout. Japan Honda, Nissan, Toyota and other manufacturers have already begun to enter the Southeast Asian auto market, and occupy the Southeast Asian market share of 75%. In this regard, the biggest advantage of Chinese brands is still low prices. "With our low profile, the price strategy is quite important to us." Taking the compact MG3 as an example, the price is 20% lower than the competitive model Toyota Vios, and sales are also accounted for. To 70% of total exports. "Autonomous car prices into Southeast Asia, the side shows the capacity of independent car prices The domestic market is not enough to digest, the urgent need for exports, which may be the original intention to enter the overseas car market." Analysis of the industry.
Opportunity to loosen
Construction, mergers and acquisitions, independent brands car prices to the Southeast Asian market penetration even more in-depth. "In the 'area along the' policy guidelines, the independent brand car companies to successfully develop the Southeast Asian auto market, because the ASEAN countries and China have a good political and business relationship, the Chinese car prices are not vulnerable to discriminatory policies, combined with Southeast Asian countries for China The market is very high degree of dependence, in particular, hope to attract investment from China, all aspects of China's car prices are favorable to ASEAN, which also prompted China's auto prices to accelerate into the Southeast Asian market. "National passenger car market information, said the Secretary-General Cui Dongshu The
Policy level of good, for its own brand to enter the Southeast Asian market provides a strong support. However, the Japanese car prices have already started the Southeast Asian market as a second base camp, and formed a complete industrial chain. China's own brand of low-cost strategy alone may be difficult to change the Japanese one big situation. "Japan's car prices will be very difficult for China's car prices competitors, all Japanese brand car's cheap models, nearly a year or two have put the Southeast Asian auto market, China's own brand car if you want to rely solely on cost-effective means of competition, it may be difficult to do so, China's brand car also need to get recognition of the people of Southeast Asian countries, Japanese cars in Southeast Asia's reputation is not a day of power, China's auto companies in the Southeast Asian market can tear the hole, the success has yet to be observed. "Insiders said.
Compared to the traditional fuel trucks, independent brands of future opportunities more in the field of new energy vehicles. "ASEAN auto market is almost monopolized by Japanese cars, but the new energy automotive market is still in its infancy, there is greater room for cooperation." ASEAN Association of senior officials Feng Jiahui had said. Japan, analysts also believe that China's car prices are difficult to pose a threat to Japanese car prices, but the electric car in China's development rate is far more than Japan, Thailand and other countries are actively promoting the development of electric vehicles, Said it would be a good chance.
The face of the Southeast Asian market this little but tempting cake, SAIC, Geely, Beiqi these self-brand big brother is riveting enough strength. But with the Japanese close combat may not be the best policy, in the face of new opportunities more need is courage and smell.

Post a comment

Hello guest, care to post a comment?