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          BIZCHINA> New Models
          Geely unveils 'London black cabs' for local market
          (AP)
          Updated: 2007-04-23 13:12

          The cars will cost about 250,000 yuan (US$32,000; euro23,500), according to Geely, about a third of what they cost in Britain.

          But their higher quality ensures they can run far longer than the VW Santanas and other basic sedans used by most Chinese taxi fleets, said Liu Jinliang, general manager for Shanghai Maple Automobile Co Ltd., which has a 1 percent stake in the joint venture.

          Geely holds 51 percent and Manganese Bronze 48 percent.

          Liu waxed enthusiastic about the selling points of the classic cabs, which are roomy enough to fit five comfortably in the back.

          "It's very special, very modern," he said. "It could have a real impact on China's taxi services."

          Geely Group, China's largest privately owned automaker by sales, makes and sells cars through its two units, Zhejiang Geely Automobile Co. and Shanghai Maple Guorun Automobile Co.

          The two companies sold a combined 175,635 cars in 2006, up 32 percent from the year before.

          The company, based in Zhejiang province near Shanghai, has vowed to overcome technical hurdles and the negative image of Chinese manufacturing to begin selling a low-priced family sedan in the United States by 2008. While trying to expand overseas, it also is focusing on the fastest growing segment of China's domestic market _ affordable economy cars.

          It faces tough competition from its top domestic rival, Chery Automobile Co., as well as the global automakers whose dozens of joint ventures dominate the market.

          The alliance with Manganese Bronze could be a crucial boost in Geely's effort to upgrade quality _ Manganese Bronze is contributing its technology to the joint venture for free and helping with training, Russell said.

          "We have people in the joint venture working on those issues," he said.

          Like other Chinese domestic automakers, Geely is blunt about its ambitions: It says its aim is to be making 20 million cars a year by 2015, and exporting two-thirds.

          Its offerings include the Kingkong sedan, the China Dragon sports car and the sleek Geely Coupe, a car whose design, the display says, is meant "to show the nimble and sturdy image of highly aggressive beasts in our minds."


          (For more biz stories, please visit Industries)

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