Chinese Automakers Set to Spark Change in Global Market

PALO ALTO, Calif.--(Business Wire)--
China's automakers hope to compete favorably in the North American
and European automotive markets. In general, China aims to discard its
reputation as a manufacturer of inferior quality products as it
transitions to a manufacturing-based economy. The country continues to
evolve into a global manufacturing powerhouse for consumer as well as
technology goods while also supporting global markets in
technologically advanced product areas.

New analysis from Frost & Sullivan
(http://www.automotive.frost.com), Strategic Assessment of Chinese
Automakers' Globalization Plans, prepares companies for change and
identifies opportunities for growth through partnerships or peripheral
services required by market entrants.

If you are interested in a virtual brochure, which provides
manufacturers, end users, and other industry participants with a
Strategic Assessment of Chinese Automakers' Globalization Plans, then
send an e-mail to Sara Villarruel, Corporate Communications, at
sara.villarruel@frost.com, with your full name, company name, title,
telephone number, company e-mail address, company website, city,
state, and country. Upon receipt of the above information, an overview
will be sent to you by e-mail.

"China's vehicle manufacturing industry is still in the
developmental stage, but the industry is planning for its future and
has set its sights on the global market," says Frost & Sullivan
Research Analyst David Zhao.

China's automakers have created detailed globalization plans to
ready themselves for entrance into the North American and European
markets. The country faces a myriad of challenges such as high
barriers to entry and export/import, prohibitive manufacturing costs,
need for enhanced safety performance, significant R&D costs, as well
as political implications. Chinese manufacturers hope to overcome
these obstacles by implementing strategies for each of these concerns
with extreme determination.

"While non-Chinese automotive manufacturers are expanding
production and sales within China, local vehicle manufacturers are
executing a systematic penetration of the global vehicle market," says
Zhao. "Compared to just five or ten years ago, Chinese automakers are
significantly larger by manufacturing capacity and revenues and are
preparing to take on the export markets."

North American automotive-related industries should recognize
China's growing clout in the automotive industry as demonstrated by
the 78.9 percent increase in exported Chinese-manufactured vehicles in
2007. Chinese automakers have already announced their North American
market entry dates, and by 2009, Chinese vehicle brands will likely
achieve brand recognition among North American and European consumers.

"China's largest manufacturers have documented market penetration
programs, much of which hinges on joint venture partnerships with
North American-, European-, and Asia-based sponsors," notes Zhao.
"These sponsors have vested interests in the Chinese company's global
success and it is the commitment, political savvy, and financial
resources of the partnership that will ultimately determine when and
how Chinese vehicles will enter the North American market."

Strategic Assessment of Chinese Automakers' Globalization Plans is
part of the Automotive & Transportation Growth Partnership Service
program, which also includes research in the following markets: light
vehicle component market size, customer purchase behavior analysis,
commercial vehicle component market size, and repair industry
analysis. All research services included in subscriptions provide
detailed market opportunities and industry trends that have been
evaluated following extensive interviews with market participants.
Interviews with the press are available.

Frost & Sullivan, the Global Growth Consulting Company, partners
with clients to accelerate their growth. The company's Growth
Partnership Services, Growth Consulting and Career Best Practices
empower clients to create a growth focused culture that generates,
evaluates and implements effective growth strategies. Frost & Sullivan
employs over 45 years of experience in partnering with Global 1000
companies, emerging businesses and the investment community from more
than 30 offices on six continents. For more information about Frost &
Sullivan's Growth Partnerships, visit www.frost.com.

Strategic Assessment of Chinese Automakers' Globalization Plans

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Frost & Sullivan
Corporate Communications - North America
Sara Villarruel, 210-477-8448
Fax: 210-348-1003
sara.villarruel@frost.com
or
Corporate Communications - China
Amelia Wong, +86 21 5407 5783 Ext 8686
Fax: +86 21 5407 5825
amelia.wong@frost.com
or
Corporate Communications - Europe
Anna Anlauft, +49 (0) 69 770 33 12
Fax: +49 (0) 69 23 45 66
anna.anlauft@frost.com
or
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Alice Chia, +603.6204.5899
Fax: +603.6201.7402
alice.chia@frost.com
or
Corporate Communications - South Asia
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Fax: +91 44 24314264
ravinder.kaur@frost.com
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Nimisha Iyer, +91 22 4001 3404
Fax: +91 22 2832 4713
niyer@frost.com
or
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Jose Maria Jantus, + 54-11-4777-9951
Fax: + 54-11-4777-0071
jose.jantus@frost.com
or
Corporate Communications - Africa
Patrick Cairns, +27 18 468 2315
patrick.cairns@frost.com
www.frost.com

Copyright Business Wire 2008