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Sinotruk sets truck plant in Fujia

SANMING, Fujian – China National Heavy-Duty Truck Group Corp. (Sinotruk) signed a cooperation agreement with Fujian Yong’an Automotive (Yong’an Auto) on September 8 to establish a production base in Sanming, Fujian Province for the manufacture of light, medium and heavy-duty trucks. The new commercial vehicle project will be under a total investment at ¥2 billion ($298 million), with ¥800 million to be funneled in the first phase.

The new plant, based in Puling Automotive Industrial Zone of Sanming, expects an annual production at 80,000-100,000 units. The agreement was signed during the 14th China International Fair for Investment and Trade in Xiamen in the presence of Zhang Zhinan, vice governor of Fujian, and Wei Zhihai, deputy Party secretary of Sinotruk.


Zhang Zhinan (third from left) and Wei Zhihai (second from right) at the signing ceremony

According to the official news release, Sinotruk started negotiation with Yong’an Auto and the local government in March 2009. The cooperation project will introduce Sinotruk’s technologies on medium and heavy-duty trucks and establish a full production line including low, medium and high-end vehicles.

Sinotruk is one of China’s top three medium and heavy-duty truck makers. The company sold 107,826 medium and heavy-duty trucks in the first seven months of the year, up 59 percent comparing with the same period of 2009.

Recently, Sinotruk has sped up its regional expansion. In August this year, the truck builder signed a cooperation contract with Chengdu Wangpai Motor Group to set up a local production subsidiary with production capacity at 100,000 medium and heavy-duty trucks and 300,000 light and mini trucks by 2015.



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