ID :
142905
Tue, 09/21/2010 - 09:00
Auther :

Nissan to double production capacity in China, eyes 10% market share

ZHENGZHOU, China, Sept. 20 Kyodo -
Nissan Motor Co. President Carlos Ghosn said Monday that the Japanese automaker
will double its annual production capacity in China to 1.2 million vehicles by
2012 and aims to boost its market share to 10% from just above 6% now.
His comments were made at a ceremony to celebrate the completion of
construction of a second factory in Zhengzhou in China's Henan Province that
required 1 billion yuan in investment.
At a news conference, Ghosn said the ongoing diplomatic spat over disputed
islands between Japan and China would not have an impact on his company's
sales, saying given a backlog of orders, a lack of supply capacity is rather a
problem.
In May, Nissan announced that it will increase its Chinese production capacity
to 1 million vehicles by 2012. The latest announcement of a further increase in
capacity comes along with a rapid expansion of the Chinese auto market.
Ghosn said Nissan maintains the largest sales in China among Japanese
automakers and he believes there is still room for his company to aim for a
higher market share. He did not offer any timeline for achieving a 10% share.
The factory in Zhengzhou will be building the sport utility vehicles X-Trail
and Qashqai after production is transferred from a factory in Guangzhou in the
province of Guangdong. The second Zhengzhou plant will have a capacity to
produce 180,000 vehicles in 2012 from 140,000 in its initial stage, according
to Nissan.
Combined with the first factory for pickup trucks and other models, Nissan's
Zhengzhou production capacity will grow to 240,000 in 2012. Nissan is also
building a second factory in Guangzhou, which is expected to be completed in
2012.
At the news conference, Ghosn said Nissan is in talks with local partner
Dongfeng Motor Corp. on technology transfer to build electric vehicles in
China, which Nissan is hoping to release in the market early next year.
Ghosn sounded optimistic about market prospects for electric vehicles in China,
saying they are a solution for Chinese consumers who are keen to have cars but
faced with fossil fuel concerns.
==Kyodo

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