Official Contract Signing of Dongfeng Smith Trailer Starts New Mode of Sales
November 20,2012
www.chinatrucks.com. The joint venture contract for strategic cooperation was signed between Dongfeng Auto and Germany Smith Corporation in Wuhan. Leaders from Hubei government and the two companies, including Zhu Fushou, executive director of Dongfeng Auto and Ulli Schumer, president of Smith Corporation, attended the ceremony.
Zhu Fushou (Right) and Ulli Schumer (Left) at the Signing Ceremony
As Xu Ping, president of Dongfeng Auto put it, the official signing of the Smith trailer project demonstrated the firm step that Dongfeng commercial vehicle business has taken for further development. The implementation of the project will enhance the commercial tractor export in the overseas market and improve the technical expertise for Dongfeng SPVs.
According to Ulli Schumer, the joint venture is a gift for Smiths’ 120th anniversary. The cooperation between the two companies goes far beyond commercial vehicles and trailers with the combination of leading products and innovative technologies.
The Dongfeng & Smith SPV Corporation will be set up by the two parties according to the contract to focus on the research, development, production and sales for semi-trailers. Each of the two companies enjoys 50% of the stock rights in the joint venture.
The investment in the first stage of the joint venture will be 600 million Yuan. It is planned that the production and sales will reach 40,000 in the following years. Domestic semi-trailer transportation will be the primary market for Dongfeng & Smith Corporation. It is estimated that the company will go into production in 2014. Independent R&D center will be established within the corporation to conduct co-development on new commercial vehicle with Dongfeng Commercial Auto to achieve the optimal match and marketing promotion.
Source : www.chinatrucks.com
Editor : Daniel
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