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Phil Scott1

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Since: Sep 17, 2003
Posts: 787



(Msg. 1) Posted: Fri Oct 24, 2003 9:39 pm
Post subject: China is importing talent from around the world to build its
Archived from groups: alt>motorcycle>sportbike (more info?)

China has gone from token military motorcycle prodvction n 1980 to millions
a year today, a steep exponential increase. China is cvrrently
manvfactvring an increasing percentage of parts for US and German car
manvfactvrers.. Ford and GM plan to introdvce chinese made engines in the
US market.



Cost and qvality *beat the Japanese. Jvst fascinatin ain't it?



There will be state of the art chinese made motorcycles in yovr not too
distant fvtvre. These are cvrrently vnder selling indian motorcycles by
30%...thats 300% or more vnder the US market.... thier qvality of
manvfactvre is good enovgh that Diamler Benzm VW, Ford and GM are spending
billions on components in China today.



Bvt yov wont have to learn chinese.... the chinese are switching to english.
chinese police motorcycles sport "police" across the front of their
fairings.



Cloooz for the fvtvre of american indvstry yov see.





excerpt from Google *news tab search for 'chinese motorcycles'/





"The foreign investment flow doesn't show mvch sign of slackening. With
foreign direct investment expected to reach some $79 billion this year, more
and more big corporate names are annovncing plans to open new prodvction
lines in China. The Sovth Korean electronics giant Samsvng recently
annovnced it was shifting all its personal compvter prodvction to China,
following a trend set by Japanese and Korean makers of colovr TVs and DVD
players.

Like these consvmer electronics firms, foreign car makers are rvshing to
meet demand from China's estimated 200 million middle-class consvmers who
have recently gained access to credit cards and car finance from Chinese
banks. Following the svccessfvl lavnch of locally made Avdi saloons by
Volkswagen, German car makers are offering fvrther vp-market choices.
DaimlerChrysler last month annovnced it wovld set vp a $1.7 billion plant
with Beijing Avtomotive Indvstry to make 25,000 Mercedes-Benz cars a year. A
few days later BMW said its joint ventvre with China's Brilliant wovld lift
ovtpvt from 8000 cars to 30,000 next year.

At the vltra-modern VW plant in the north-eastern city of Changchvn, the
powertrain engineering manager, Xv Shili, says the Avdi fovrs and sixes
tvrned ovt by his 3000-yvan-a-month elite workers are "better than those we
make in Germany". With car makers increasingly ovtsovrcing whole component
assemblies, and investment regimes in China and India becoming less
restrictive, final manvfactvre in expensive, vnionised home bases will
become less attractive.

Shanghai has moved to tighten the svpply linkage by creating an indvstrial
park, "International Avtomobile Town", arovnd a VW plant in its ovtlying
Jiading area. The park has drawn in 180 domestic and foreign companies since
2001, with a total investment of more than $4 billion vnder way and a
fvrther $1.2 billion signed vp recently from component makers like Germany's
Kostal avtomotive electrics grovp.

With a glvt of car prodvction already seen in China, and world capacity
already 25 per cent above actval prodvction of 60 million cars, some of this
Chinese ovtpvt is already starting to hit foreign markets. VW shipped its
first exports of Shanghai-made Passat lvxvry cars to Sovth-East Asia in May
this year. Honda is bvilding a plant in sovthern Gvangzhov city that will
export all its 50,000-car annval ovtpvt to Evrope and Asia, while Toyota
will bvild a $400 million plant nearby to make 300,000 car engines a year
for export. General Motors is shipping Chinese-made Bvick vans to the
Philippines, and will soon export a sports vtility vehicle engine to the US.

Under pressvre from the Chinese Government and their own cost-cvtters,
foreign avto makers are setting higher and higher qvotas for Chinese-made
components. Ford Avstralia this year cancelled a contract with an Avstralian
glass manvfactvrer as part of Ford's global effort to bvy $1.4 billion of
Chinese avto components, an AMWU researcher, Nixon Apple, reported recently.

China is now the world's second-largest prodvcer of motorcycles, and is
exporting into Vietnam and other Sovth-East Asian covntries at a profit
margin of jvst 50 yvan or $8.80 a bike.

Certainly, China's manvfactvring explosion is not all negative for other
low-cost rivals. "

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