Foton Penetrates into Brazil-the Fifth Largest Auto Market

www.chinatrucks.com : Reporter learned from Foton Auto that the company signed an official agreement with Brazilian government on June 5th, planning manufacturing 50000 Foton-Cummins engines annually, also, setting up two KD factories for commercial vehicle manufacturing.

Besides, on June 2nd, the company signed agreement with Cuban government about the operating of new energy vehicles. In the agreement, Cuban government agreed that Foton could introduce in trucks, buses, SPVs and all the models.

Insiders say the cooperation with Cuban government will help Foton better explore the Cuban market, also, it serves as an example for all Chinese vehicle makers.

However, when interviewed by reporter, staff of Foton who is in charge of this declined to reveal any more details about the cooperation.

According to the strategic plan of Foton, the company will set up factories in five countries, namely Russia, India, Brazil, Mexico and Indonesia with the total capacity stands at 100,000 units annually as well as penetrating into three advanced markets of North America, EU and Japan& Korea. Lastly, they will build a global headquarter in China. Also, Foton plans to achieve sales of 4 million units a year by 2020, among which, 1.2 million in overseas markets, accounting for 30% of the total sales.

In recent year, Foton has been putting more and more attention to the development in overseas markets. in April, 2011, they set up a KD factory in East Africa, in May, they established the Russian branch as well as the European division, in June, they set up a branch company in India with an investment of ￥620 million, becoming the first Chinese auto maker to do so. Since the joint venture with Daimler established in 2012, Foton has speeded up their steps by taking advantage of networks of Daimler.

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