Geely (auto industry!!)

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Geely Group Co., Ltd. (Hereafter as 'Geely') based in China's Zhejiang Province will present its five latest automobile models at the Frankfurt International Auto Show, known as the ''Olympics'' of the auto industry, from September 12 to 25, 2005. Geely is also the first Chinese auto manufacturer to independently participate in the World's Top Five Auto Shows with its self-developed brands.

Geely will focus on exhibiting its own self-developed brands and the capacity of technological innovation by showcasing five of its car models: Haoqing 203A(HQ), China Dragon (CD) Freedom Ship (CK), Marindo 305 and the latest-developed mid-end model FC (pictured).

Of the five to-be-shown models, CK, has already been launched in the Chinese market. Equipped with the first domestically developed automatic transmission, its technology and configuration basically represent the highest level of Geely cars available in the market. HQ 203A is the first right-hand drive car specially developed by the company for the show. FC-1 is mounted with the newly developed all aluminium 1.8 liter engine with VVTI function, which has 103kw of power and a power per liter of 57.2kw, which is similar to the world-class engine recently released by Toyota of Japan. China Dragon, CD, is a third-generation product series of "China's first sports car,'' the Geely Beauty Leopard. Its front panel and the tail have been slightly altered, with the front panel similar to Peking Opera masks, thus giving it Chinese characteristics.

Although there are five top auto shows, the Frankfurt International Motor Show is the most important and, as a result, is an important stage for various automobile manufacturers to showcase their strength and gain market advantages.

In order to participate in the show, the following conditions must be met: no intellectual property right disputes as well as holding independent intellectual rights, new products with high technology, and a considerable volume of market share. Many Chinese automobile manufacturers have not been allowed to participate because they could not meet these rigorous standards.

Many insiders consider that Geely's presence in this will have a far- reaching impact with regard to familiarizing the world with the Chinese automobile industry.

Mr. Li Shufu, who has served as Geely's Chairman of Board since the company first entered the automobile market, has been insisting the company take a road of independent research and development. His slogan is: ''make good cars ordinary people can afford.'' In eight short years, Geely has realized 400,000 ordinary people's dreams of owning a car. Moreover, Geely also pushed the price of sedan cars back to reality and delivered Geely autos, products as a result of independent research and development with self-held intellectual property rights, into the international market. During this Frankfurt Auto Show, Geely will exhibit its achievement over the past 8 years in a coherent way.

In 2004, Geely's sales broke one million cars, ranking 8th in the nation and taking up 4% of the sedan car market share. Geely has grown as a local mainstream manufacturer, having exported nearly 5000 units of Geely cars to 30 countries and regions, amounting to 50% of China's car export volume last year, which won a position for Chinese sedan cars on the international market. As data reveals, Geely ranks top in terms of Chinese car exports in the first half of 2005. Mr. Li Shufu's target to sell two thirds of Geely's cars abroad has been put substantially into execution.

According to certain industry insiders, Geely has achieved rapid growth within 8 years. Its participation in the Frankfurt International Auto Show will be a significant opportunity to represent China's automobile industry abroad.

About Geely Geely is a large privately run group mainly engaged in the manufacture and operation of automobiles and their spare parts. Founded in 1986, it has achieved brilliant accomplishments with automobiles, motorcycles, motor engines, gearboxes, spare parts, decorating materials, tourism and real estate. Its assets value over RMB5 billion in total. Since Geely stepped into the automotive industry in 1987, it has grown to be a major brand in China's economic sedan cars due to its flexible operation mechanisms and continuous conceptual innovation. In 2003, it was ranked No. 331 among the nationwide top 500 enterprises in terms of operational scale and No. 25 of the ''Top hundred enterprises in Zhejiang Province,'' and was appraised as one of the ''most rapidly developed enterprises with the best growth in China's automobile industry over the past 50 years.'' As a result, it has achieved the mainstream patter of ''3+6'' that is a characteristic of domestic auto manufacturers.

Geely is located in Hangzhou, the capital city of Zhejiang province with 4 manufacturing bases in Linhai, Ningbo, Taizhou and Shanghai that specialize in production of units of cars and auto spare parts. Now, Geely is able to manufacture 200,000 units of cars, 200,000 engines and 150,000 gear boxes annually. New projects become ready for production in Ningbo, Taizhou and Shanghai. Geely's production capability is estimated to increase to 300,000 units of cars per year and 300,000 engines per year.

Chinese Dragon set to roar into Europe
Carmaker Geely looking for 2m sales in 10 years and most of them in exports

By : Tracey Boles - Chief Reporter September 18, 2005

THE Chinese car market may be the fastest growing in the world, but it has not stopped the country’s carmakers from eyeing export opportunities. Last week, three Chinese brands eager to make inroads into Europe were out in force at the Frankfurt motor show.

China has two dozen established vehicle builders and start-ups. The best known in Europe are SAIC and Nanjing, which came to prominence over their role in MG Rover. SAIC was interested in buying the Birmingham carmaker but got cold feet once it saw the size of the pension obligations. Nanjing ended up buying the defunct carmaker’s remaining assets.

But new names are starting to appear with increasing frequency. One of those, Geely, had five models on display at last week’s show – Geely HQ, CD, CK, FC and Marindo. CD, a small sports car whose name is short for Chinese Dragon, was un-veiled in a lavish ceremony.

In a nod to the differing tastes of the European export market, the cars have been partly re-designed. The strategy has already worked for other Asian manufacturers. Though Europeans have a history of supporting local brands – Volkswagen still accounts for nearly a third of new cars sold in Germany – Japanese and Korean carmakers have begun to sell there thanks to relaxed trade barriers and more attention to European styling.

Geely is ambitious, aiming for 2m sales in 10 years with the majority for export. It already ships cars to 34 countries across the Middle East, north Africa and south and central America, says Jie Zhao, its vice-president. The US and Europe are next. Geely has appointed a Lisbon-based auto retailer to distribute its cars in Portugal and Spain.

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