SHANGHAI Dec 5 China's biggest carmaker SAIC
Motor Corp plans to start making cars in Thailand
with local firm C.P. Group Co Ltd, as it tries to expand
The Bangkok-based venture, to be 51 percent owned by SAIC
and 49 percent by C.P. Group, will have an annual production
capacity of 50,000 vehicles initially, SAIC said in a statement
to the Shanghai Stock Exchange on Wednesday.
The two parties will also form a sales venture in Thailand.
The statement did not say how much SAIC would invest in the
The investment is aimed at "further promoting the strategy
of international expansion and seizing business opportunities in
Thailand and ASEAN markets," SAIC said.
Regional bloc ASEAN comprises 10 member states including
Thailand, Indonesia, Malaysia, the Philippines and Singapore.
The ventures will initially make and sell SAIC's MG brand of
vehicles, and in time aims to raise annual capacity to 200,000
vehicles after introducing other models, the official China
Securities Journal reported.
SAIC and its long-term partner in China, General Motors Co
, also have a small joint venture in India, but SAIC has
recently cut its stake to 9 percent.
Other Chinese automakers including Great Wall Motor
, Geely Automobile Holdings Ltd,
and Chery Automobile Co, also operate small-scale car assembly
plants in developing markets, mostly with local partners.
(Reporting by Samuel Shen and Kazunori Takada; Editing by