Under pressure from Chinese car makers' capability, international auto makers are looking to roll out more aggressive plans on new models to reinforce their leading positions.

After several years of expansion in the Chinese market, global car makers including General Motors Corp, Volkswagen AG and Ford, which are taking part in the Auto China 2006 in Beijing, have already built up a wide product mix and production capacity as they boost sales in the world's third largest auto market.

The intense market competition and price discounts have not scared them off. Instead, most of them are still positive over the Chinese market in the next five years and will quicken the pace of introducing new models as well as finding new domestic partners.

Ford, for example, announced that it would start making its S-Max sports utility vehicles early next year in China. Other auto-related services such as car financing also benefit from the booming industry.

Ford Automotive Finance China Ltd said it has signed up more than 100 Ford dealers in China, accounting more than 70 to 80 percent of its total dealers.

Car loans to auto buyers have also been expanded to 24 cities with more than 3,000 contracts signed so far, said Jack Hu, president of Ford Finance, on Saturday in Beijing. The company said it will start lending money to buyers of other premier brands affiliated to the Ford Group such as Volvo, Jaguar and Mazda. "The sales bettered our expectations and I am optimistic about the car loan industry in China," said Hu. "Car financing will not only grow with sales picking up but will also becomes more acceptable among buyers."

While international car makers are shifting their production to the Chinese market for lower labor costs, global auto part makers are also driving in to meet higher demand.

Source:佚名