Reuters reports that DaimlerChrysler and Hyundai are expected to proceed with an earlier plan to launch a commercial truck joint venture.
The report quotes a Hyundai spokesman as saying that both parties have ‘agreed to launch a joint venture by the end of the year’.
Go deeper with GlobalData
Discover B2B Marketing That Performs
Combine business intelligence and editorial excellence to reach engaged professionals across 36 leading media platforms.
According to Reuters the venture involves Hyundai’s Chonju plant and will include the production of diesel-engined trucks for the Chinese market.
Hyundai Motor is moving more firmly into China with a $US250 million 50-50 joint venture car factory near Beijing with Beijing Automotive Industry Holding. The factory would produce 200,000 vehicles a year by 2005 and would be Hyundai’s first big car plant in China, though it already makes minibuses there.
News of further production plans and a joint venture with DC reinforces the better news coming out of Hyundai these days – contrasting with the position at Daewoo Motor which is still awaiting completion of the GM purchase deal.
Hyundai is also benefiting this year from stronger demand in its home market, boosted by tax changes, fresh models and improving economic conditions.
