Chinese car maker Futian Automobile to open plant in Cameroon
Chinese car marker Futian Automobile will be opening a new plant in Cameroon at a cost of 500 mn dollars and through this venture it…
Chinese car marker Futian Automobile will be opening a new plant in Cameroon at a cost of 500 mn dollars and through this venture it will ensure that 8000 direct jobs are made available to individuals in that country. The multi utility vehicle assemble plant will be involved in the manufacture of 5000 trucks and vans starting from the beginning of January 2013. Agreement for the plant in a six-nation African market will be signed soon by the industry ministry with Futian Automobile.
Strategic geographical location and economic stability were main factors which were taken under consideration when opting to open a plant in Cameroon. The plant will be located at Kirbi which is home to a number of Chinese investment projects which include a deep sea port and terminal for the Mbalam iron ore project.
The iron ore project which is currently being handled by Sundance Resources will be taken over by China’s Hanlong group in a deal which is expected to cost about $1.4 bn. Initially vehicles at the plant will be assembled using imported parts while later on, these parts will be locally manufactured using mined iron ore to keep down manufacturing costs.