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World Cup is held in Brazil and it become world focus, and how are China commercial vehicles performing in Brazil? How are China commercial vehicles layout in Brazil? And what are the challenges?
Part One: General analysis of China commercial vehicles exports in Brazil in 2014?
According to data from the Customs, China exported 27,447 trucks to Brazil in 2011, hitting record high, but the sales started to decreasing since then which can be largely due to Brazil government collects IPI to 37%-55% from 7%-25%, up 30%, and this act makes China trucks less performance ratio, and the sales are largely reduced. China exported 462 trucks from Jan to April this year, down 60.58% and the sales revenue decreased by 52.99%; and China exported 302 buses which are all non diesel engine buses with seats between ten to twenty, up 28.21% over last year, and the sales revenues increased by 19.52% over last year which were largely to the improvement of public transportation in Brazil. So that we can see that the truck exports are still low and sales of buses are increasing.
Part Two: China commercial vehicle manufacturers layout in Brazil
Foton
Foton Motors started to sell trucks via three dealers in San Paulo, including Guarulhos, VrzeaPaulista and Jundia, and they mainly sell light trucks including 3.5 tons, 6.5 tons and 8.5 tons trucks. Foton Motors will invest two billion US dollars to build 130 distributors in Brazil in four years.
Sinotruk
Sinotruk started to explore Brazil markets with Alex Sonic and they developed trucks with engine meeting national 4 emission standard and they developed engine with Europe 5 emission standard and passed Brazil environmental protection standards. And Sinotruk exported 800 heavy trucks with Europe 5 emission standard in 2012 and this was the first time for China exporting heavy trucks.
JAC Motors
JAC declared building plants with SHC in Brazil in 2012. They invested 250 million US Dollars for the plant with subsidiaries company SNS and the plant will be built by 2015 with annual output about 100,000 units, and JAC would own 200 dealers this year.
Great Wall Motors
Great Wall partner Latin American Auto group declared that their original plan of building plants in Brazil in 2013 will be postponed to this year and the planned annual output were 50,000 units including two SUV and one pickup and later the production capacity will increase to 100,000 units and the investment will amount to ten billion Yuan including building the plant and cooperation with dealers.
BYD Auto
BYD pure electric city buses debut in Rio on March 29, 2014 and this is the first for 100% pure electric city buses running in the city. In June, BYD pure electric city bus touring will start and the test running will last for half a month, and BYD city bus owns two electric motors and there are 29 seats for 80 standees.
CSR Times
The first batch of CSR Times TEG6129SHEV hybrid city buses started to run in Curitiba where the World Cup is ongoing on June 12, 2014.