Hyundai starts production of heavy duty trucks in China
Hyundai Motors, leading South Korean automakers have ventured into the production of heavy duty trucks in China. This initiative follows rivals such as Daimler AG of Germany and Volvo AB of Sweden as the three heavy weights battle it out for a leading share in Chinaâ€™s extensive truck market.
With Chinaâ€™s commercial market growing by leaps and bounds thanks to increased urbanization and added investment into infrastructure, Hyundai Motors loses no time in aiming to capture a lionâ€™s share.
The company has commenced production with Trago cargo and dump-trucks, which are produced at the company plant in Sichuan Province. It has a capacity of 160,000 units per annum including 150,000 trucks and 10,000 buses.
Chinaâ€™s Association of Automobile Manufacturers reported an overall increase of 21% in sale of medium and heavy duty trucks in the past year. Hyundai is already well established in the country where production and sale of passenger cars are concerned.
Last year Hyundai entered into an agreement with Chinese commercial vehicle manufacturers â€“ Sichuan Nanjun Automobile Group in a 50-50 venture. The two companies also share the plant in Sichuan city of Ziyun where from earlier this year the County mini buses were produced to compete with Toyota Coaster.