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This would not surprise me if Saleen had bowed out of this unpleasant mess. However the website of the maverick group still lists him as president and CEO of ZXAuto NA.

And it also lists a number of his family members as staff members as well.

The court will decide which group is the legitimate representative of Zhongxing in the U.S.. In the meantime Zhongxing is in limbo with regards to export to North America.

http://www.chamcoautomotive.com/ourStaff.html

There's currently not much sign of life here............
 

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Chinese automaker cuts ties to Chamco.

July 02, 2008 - Tired of dealing with an American company tied up lawsuits, Chinese automaker Hebei Zhongxing Automobile Co. has terminated its contract to supply Chamco Auto with vehicles.

Would-be importer Chamco was put into the hands of a legal custodian in April by an American court. Since then, more than a dozen executives with automotive expertise have resigned, sources familiar with the case said.

Among the departed is Steve Saleen, a well known specialty carmaker who brought a team to Chamco to prepare Chinese vehicles for sale in the United States. Also gone is Mario Ferla, a former Fiat executive hired to run Chamco.

Chamco's importing arm -- ZX Automobile Co. of North America Inc., based in California -- may be forced into bankruptcy court. Creditors filed the bankruptcy petition this month in U.S. Bankruptcy Court. ZX Auto North America did not respond within the required 20 days to the petition.

In a letter to Chamco executives, Heibei Zhongxing Automobile said it was backing out of the contract to supply an SUV and a pickup because Chamco has been unable to operate in a normal manner.

No one at Chamco headquarters in Parsippany, N.J., could be reached for comment, and Chairman Bill Pollack did not return calls to his cell phone.

On March 3, Ferla, Saleen and six other Chamco execs sued E. Michael Daspin, Chamco's founder, claiming fraud. In April, a judge shut down the company, giving temporary control to a court-appointed trustee.

Thirty-seven would-be dealers paid franchise fees of up to $300,000 (2.1 million yuan) to Chamco.

Zhongxing still has hopes of someday selling in the United States, but no specific plan is being pursued, a company source said last week in China.

From:Automotive News China
 

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My first impression of Zhongxing some 8 years ago was a good one. Although a bit rough around the edges, it looked like a company with its ducks all in a row. Even VW at one time entertained thoughts about taking a stake in the company.

But it seems that Zhongxing's efforts to find the right partner to enter important markets have been plagued with problems.


Reports told us that it had resorted to selling vehicles in Russia under the FAW nameplate but not much more has been heard of that.
A 2003 agreement with Antonio Finamore of Canada to launch "ZX Auto" company never seemed to get off the ground. Then Zhongxing signed an MOU with a Honda dealer in Sacramento in an effort to penetrate the US market. But when the Chamco investors came along, Zhongxing dumped Rapton Honda, and threw its lot in with the New Jersey-based company, Chamco, or the new ZX Auto NA, as it was called.

Now, in the wake of Chamco's fracture and subsequent legal quagmire, Zhongxing has ended its relationship with both Chamcos.

In a completely new and troubled US auto market, will it look for another way to get its foot in the door? That's the big question.

Or perhaps it will wait until it has first developed a passenger car up in Changchun, with its Chanlin partner as was rumoured not long ago. Oddly enough, we saw no sign of even a concept car at the recent Beijing show.

Guess we will have to wait and see.
 

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Zhongxing Auto delays $300 mln Mexico plant

From:ReutersJuly 23, 2008

SHANGHAI, July 23 (Reuters) - China's Hebei Zhongxing Automobile Co has put on hold its plan to build a $300 million plant in Mexico near the U.S. border as it seeks a new partner for the operation, a company executive said on Wednesday.

He said the company, a mid-sized Chinese automaker, had terminated its partnership with Chamco Auto, a U.S.-based vehicle importer, earlier this year, although he declined to discuss details of the matter.

"We are still looking for a new partner," said the executive, who asked not to be identified.

Zhongxing Automobile had planned to start making sport utility vehicles and pickups next year at the Tijuana, Mexico, assembly plant, which will have annual production capacity of 150,000 units.

Plans called for exporting 25 percent of the Tijuana-assembled vehicles to the United States, Chamco said in June of last year.

In a message posted on Chamco Auto's website and dated July 17, 2008, the company's chairman Bill Pollack said a letter of termination from Zhongxing Auto had failed to meet contractual requirements and was invalid.

But the Zhongxing executive said his company had postponed its Mexico production plans and would not start construction of the facility until it secured a replacement for Chamco.

Zhongxing Auto, based in northern China's Hebei province, is now talking with several potential partners, he said, although he declined to name them.

The assembly of Zhongxing vehicles in Tijuana would allow them to be exported to the United States duty free, under North American free trade rules.

Mexico is already a major auto producer, with assembly plants for Nissan Motor Co (7201.T: Quote, Profile, Research, Stock Buzz), Ford Motor (F.N: Quote, Profile, Research, Stock Buzz), Volkswagen AG (VOWG.DE: Quote, Profile, Research, Stock Buzz) and other big industry names.

Zhongxing is one of several Chinese automakers, including the largest, SAIC Motor Corp (600104.SS: Quote, Profile, Research, Stock Buzz), hoping to emulate the global success of their Japanese and Korean rivals.

SAIC, owner of the MG brand, plans to resume making MG TF sports cars in Britain in August and will begin selling them in the UK via more than 40 dealers later this year, its president Chen Hong said in June.
 

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Zhongxing Auto mulls building American JV

By Kelly From:Gasgoo.comJuly 23, 2008

Shanghai, July 23 (Gasgoo.com) Chinese automaker Hebei Zhongxing Automobile Co. has found a new partner after cutting the cooperation with its former American partner Chamco Auto, which is involved with lawsuits, reports Nanfang Metropolis News.

Zhongxing’s plan for the North American market will not be disrupted by the cooperation halt with Chamco, but will be postponed as preparations need restarting, the company officials said.

According to Zhongxing sources, a new partner has been introduced, and chief officials of the company are now in Zhongxing for an overall inspection of its manufacturing, research and development sector preparations by Zhongxing. The two sides may build a new joint venture based on the Zhongxing Changling plant to develop new models jointly for the American market.

The Zhongxing Changling facility, a joint venture by Zhongxing and Changling Group in Changchun, targets to build a capacity of 200,000 SMPVs, SUVs and pickups.

The report also said Zhongxing may change its name when landing America as its current name couldn’t pass the assessment of the US Patent and Trademark Office (USPTO). Therefore, the company’s export project for America is inevitably delayed due to a combination of factors.

http://www.gasgoo.com/auto-news/7165/Zhongxing-Auto-mulls-building-American-JV.html
 

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The question we might ask now is, will Chamco follow Bricklin's example and sue Zhongxing? Perhaps the answer hinges on the outcome of the domestic lawsuit involving the old Chamco and the new Chamco.
In any event it seems that lately China manufacturers are getting an abrupt initiation into the litigiousness of the global auto industry.
 

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Zhongxing, Changan to explore U.S. market jointly

Shanghai, July 28 (Gasgoo.com) After terminating the contract with its former partner, the New Jersey-based vehicle importer CHAMCO (China America Cooperative), Chinese maker of pickups and SUVs Zhongxing Auto is set to explore the U.S. market by joining hands with Changan Auto, reported The Beijing News today.

A Zhongxing insider told the newspaper that Changan Group's vice president recently visited Hebei-based Zhongxing Auto to talk about jointly exploring the American market in the future. The two sides have agreed to develop a special "mini-truck" model together as an initial product for export to the U.S., with other models to follow up.

Their jointly-developed models for export to the American market will be assembled by Zhongxing Auto out of components from suppliers of both companies, and the finished vehicles will be exported to the U.S. through Zhongxing's overseas sales network. Analysts said that Changan Auto would take this opportunity to acquire Zhongxing Auto and make it an SUV and pick manufacturing base of Changan.

In mid-July when the talks were underway between the two Chinese automakers, there were three American "guests" seen on their inspection tour of Zhongxing's factories, research and development center, and other facilities, making detailed inquiries about the production, quality control, and logistics of the pickup maker.

It is obvious that Zhongxing-Changan's joint plan for exporting pickups and SUVs to the U.S. is set for implementation soon. According to its global growth agenda, Changan Auto aims to sell 200,000 vehicles overseas in 2010, with the United States and Europe as its major target markets
http://yaqeenauto.spaces.live.fr
 

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YAQEEN, what is the purpose of publishing same news in different threads?One post is enough.
Hi Martin , It's just because this news concern both zxauto & changhan, so that it'd interest readers of both marks
I notice you're toooooo up-dated (on ne peut rien vous cacher)sorry
 

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Chamco COO heads to ZX Auto, eyes sales in 40 countries

August 07, 2008

SHANGHAI -- The chief operating officer at would-be distributor Chamco Auto has left the company to join ZX Auto and is aiming to expand sales into 40 countries.

Thomas Del Franco joined ZX Auto in July 2008 as general manager of global sales at its subsidiary ZX International. He is based in Baoding, Hebei province.

ZX Auto, known formally as Hebei Zhongxing Automobile Co., is a small maker of pickups and SUVs. Last year, it sold 38,633 vehicles.

The company is currently expanding annual capacity at its plant in Changchun to 80,000 units by mid-2009, from 30,000 units today. The company's main plant in Baoding has annual capacity of 55,000 vehicles.

Del Franco says his goal is extending ZX Auto's reach into 40 countries, "with the last expansion to come into North America, where a full subsidiary will be formed."

Del Franco was chief operating officer at China American Cooperative Automotive Co., the North American distributor known as Chamco, from 2007 until July 2008.

Chamco was placed under a legal custodian in April by a New Jersey court amid a tangle of lawsuits. More than a dozen executives have since resigned.

http://www.gasgoo.com/auto-news/7346/Chamco-COO-heads-to-ZX-Auto-eyes-sales-in-40-countries.html
 
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