Rumors are afloat that Subaru are planning to begin domestic Chinese production of their famous range of cars in the not so distant future. A Japanese representitive of Subaru announced that they are searching for three factories around the world, and the third one will be in China no matter what.
It looks like Subaru’s China operations will be ramped up very quickly, with Subaru investing 40 million RMB into the Chinese market place, and buying up 10,000sq meteres of land with the view to building that third world factory.
Subaru’s current yearly sales in China are not massive, but they are growing year on year. By 2010, Subaru hopes to be selling 30,000 cars per year in China, and by 2013 Subaru is aiming for 50,000 cars.
All Subarus in sale in China were manufactured in Japan, this makes their Chinese selling price very high once an import tarrif has been added onto the base cost of the car, and then shipping fees etc. China Car Times did want to buy a Subaru Forrester 2.5 Lux Edition at one point, but the 350,000rmb price tag did leave us with a salty taste in our mouth, instead we opted for different vehicle. Perhaps in a year or two, we can buy a new Chinese made Subaru.
Subaru did produce a small car in small numbers in a JV with Guizhou Aviation, but it never really got serious about China until now. It’s a bit late now and so the important thing is to choose a good partner. Not like Fiat who mistakenly chose unreliable Nanjing NAC.
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