Cooperation Agreement on GWM Bulgarian Project Signed Officially

(chinatrucks.com, Oct. 26, 2009)Ms. Wang Fengying, President of Great Wall Motor Company Ltd and Mr. Grisha Gantchev, Chairman of the Supervising Board of Litex Commerce JSC, signed the Cooperation Agreement on GWM Bulgarian Project officially in Bulgaria on September 15. Both Mr. Xi Jinping, Vice President of P. R. China and Mr. Boyko Borisov, Prime Minister of Bulgaria were present at the Signing Ceremony.

Previously Great Wall Motor and Litex Commerce JSC scheduled to build assembly factory in Lovech, Bulgaria, assembling and selling Great Wall products with Great Wall brand in CKD forms. Great Wall Company makes investment in the form of technology.

The assembly factory covers an area of over 400,000 square meters with designed annual production capacity 50,000 units, including welding, painting and assembly workshops. The vehicles to be assembled will cover 1 SUV model, 1 pickup model and 2 passenger car models all in accordance with the EU homologation standards already accredited to GWM. According to the schedule mutually agreed, the first batch of vehicles will roll off the production line in the first half of 2011.

As known Bulgaria is a member country of EU. Therefore, the vehicles assembled in the assembly factory can be exported to the surrounding EU member countries and non-EU members countries free of tariff, which is of significance for the penetration of Great Wall Motors into European market, and indicates that the marketing development into EU market has come to the substantial stage.

This project gained special support from the Bulgarian Government, and has been listed the A Class Investment Project in Bulgaria. Both China Embassy in Bulgaria and Bulgaria Embassy in China have paid close attention to this project and helped to push the project going. In May of 2009, the Prime Minister of Bulgaria took presence at the Foundation Stone Laying Ceremony for this project in Lovech city.

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