Chinese state-owned automaker Guangzhou Automobile Group Corporation (GAC) aims to strengthen its presence in markets outside of China, specifically targeting what it considers growth areas. The automaker is reportedly considering building assembly plants in Russia and Iran, reports Automotive News China, quoting a local media report. In Russia, GAC aims to build a plant with the capacity to assemble 50,000 units per annum.
Significance: The local media report on the automaker's plans quotes statements by GAC general manager Wu Song. Iran, for example, has already become a major stronghold for Chinese automakers such as Chery, which aims to boost sales in the country to 100,000 units by 2018, but the recent opening up of the market and lifting of sanctions will allow international automakers to return to the market and thereby reduce the current strong position that some Chinese automakers have there. GAC was also reportedly considering a plant in Nigeria. Despite the recent downturn in Russia, in the first month of this year Chinese sales in the market increased.
