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In the case of poor growth of light commercial vehicles, Zhengzhou Nissan decided to choose high-speed expansion. The second factory of Zhengzhou Nissan Motor Co., Ltd. ("Zhengzhou Nissan") laid the foundation stone in Zhengzhou. According to the medium-term plan, by 2010, the annual production and sales volume of Zhengzhou Nissan will expand to 100,000 units on the basis of 50,000 units this year, and it will break through to 200,000 units in 2012.
The total investment of the new plant in the first phase was RMB 1 billion, which was contributed by Dongfeng, Dongfeng and Nissan (China) in proportions of 51%, 28.651%, and 20.34%. After the completion of the new plant in 2010, it will have a capacity of 200,000 vehicles a year together with the first plant. As an important part of Dongfeng Limited's new medium-term business plan “13†plan, by 2012, Zhengzhou Nissan will produce at least five new light commercial vehicle models of Nissan and Dongfeng.
Zhengzhou Nissan officially joined Dongfeng Limited in 2005. When the annual sales volume exceeds 20,000 units for the first time, it will reach 30,000 units in 2006 and 40,000 units in 2007, and this year it is expected to reach 50,000 units.
Since 2006, the growth of light commercial vehicles has declined. According to statistics, the cumulative sales growth of commercial vehicles for the period from January to August this year is 3 percentage points lower than that of January to July. This is a three-percentage-point decline in the cumulative growth rate of commercial vehicles for seven consecutive months and eight months. Commercial vehicle deceleration The pressure is still greater.
For Zhengzhou Nissan, which is committed to light commercial vehicles, the most troublesome thing is still dozens of domestic small-scale competitors. Market prices are turbulent, light truck profits are meager, and technology upgrades and raw material prices raise up costs. “We try to use domestic equipment to keep light commercial vehicles at a lower price. Compared with passenger vehicles, light commercial vehicles have more stringent requirements for price competitiveness,†said Dongfeng Limited President Nakamura Honda.
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