China’s Wonder Auto Technology plans to enter the electric vehicle business by September, aiming to add a new source of earnings to its core autoparts operations.
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The company will soon open an electric vehicle plant capable of turning out 20,000 automobiles per year, the Nikkei reported. It will build a second plant in 2011. Investment is projected at CNY700m (US$103.2m). Within three years, the company aims to sell more than 100,000 electric vehicles.
Electric vehicles made at the plants will be compact models with a maximum speed of under 65km/h and the ability to travel 100-150km on a single charge. The company will make electrical control systems itself to keep the price of a two-passenger model to around CNY30,000 ($4,400).
The vehicles will first be test marketed in Jinzhou and nearby Danyang. The company has already supplied 20 electric vehicles to local taxi companies to confirm safety through test operations. It expects to ship around 1,000 vehicles this year. Sales will be launched throughout the country once the Chinese government has established standards for electric vehicles.
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By GlobalData
