July 29, 2008 - Hebei Xinkai Auto Group signed an agreement with northwestern China's Yinchuan economic development zone administration for building an auto manufacturing project in this area, said the official website of Yinchuan city yesterday.
Under the deal, Xinkai Auto is to invest 2.5 billion yuan ($367 million) in setting up a manufacturing base for making 150 sedans annually, a production line for building 50,000 light vehicles annually, a production line for making 250,000 engines annually, and a facility for making auto parts. This manufacturing base will cover the auto-making chain from stamping, wielding, coating, assembling, and engines plus other auto parts.
Hebei Xinkai Auto Group, located in North China, is engaged in fields of car-making, components processing, real estate development, and chemicals producing. The company has built more than 10 modern production lines for auto wielding, coating, assembling and testing. As a carmaker, Xinkai has developed about 30 models of pickups and commercial vehicles. Since 2002, the company has manufactured more than 150,000 Xinkai-brand automobiles.
Currently, Xinkai Auto has over 200 dealerships nationwide and an extensive after-sales network. Its products have also been exported to 79 countries and regions such as Saudi Arabia, Russia, and Panama. In 2007, the company earned US$60 million from its auto exports.