SinoCast reports that First Auto Works (FAW) Group’s consolidation of the Qingdao Yizhong Automobile Factory has entered its final stage. The report says that the new joint venture projects involve the annual production of 100,000 cars and 100,000 heavy trucks by FAW Qingdao Automobile Factory.
The report adds says that Qingdao Yizhong Automobile Factory, founded in 1998, has a registered capital of RMB 500 million. The No.2 tobacco group of China, Yizhong Group, holds a majority share of 57% of this company. The Qingdao Automobile Industry Group holds 18%, and the British RDS International Engineering Co. holds another 25%.
The plant is managed by FAW, but it is not yet clear what car model may be produced there.
Toyota, Mazda, Ford and Volkswagen have been named as possible technology partners. SinoCast says that it is reported that VW officials have recently held talks with the municipal government and Yizhong officials.