Saab’s To Be Made in Qingdao

Share Our Knowledge With Your Friends, Contacts And Co-Workers

Saab’s road to ruin was a long drawn out affair, the company was spun off by GM who were looking to downsize in 2008 and the company managed to stay afloat until mid 2011 by selling off IPR to companies such as Beijing Auto whom recieved the rights to the last generation Saab 9-3 and Saab 9-5 as well as the gearbox and engines to both. Eventually Saab ran out of money as it was unable to find a perfect suitor to keep the ailing company alive in a high cost country.

National Electric Vehicle Sweden AB (NEVS), is a consortium backed by Swedish and Chinese business interests, one of the key Chinese investors is the city of Qingdao and their investment arm. Qingdao, as a port city, has major parts manufacturers in the city limits such as TRW, but many of these companies are focused on exporting their products out of China rather than satisfying internal demand. Qingdao is aiming to build the cities automotive capacity by enticing major manufacturers to the area, FAW Liberation Trucks, GM’s Wuling, and Sinotruck have production plants in the area, but passenger car plants do not exist.

Qingdao City has invested SEK 2 billion in the company which will give the city a 22% stake. Qingdao recently gained permission to be one of the few ports in China that is able to accept car imports, which will allow the city to become a direct receiver of electric and conventional cars, with a manufacturing facility being eventually developed within Qingdao.

One problem remains on the horizon: Shen Bao. Shen Bao is the name of Beijing Auto’s own Saab based vehicles which are due to launch later this year, Shen Bao was the semi official name of Saab before they used the Sa-Bo Chinese name prior to their departure from China after a brief dabble in the Shanghai and Beijing markets. NEVS say they have the rights to use the Saab and Sa-bo name in the Chinese market, which may lead to some issues down the line with Beijing Auto.

Qingdao government organizations are currently taking part in the annual People’s Representation Congress where the deal was announced by the city major. The mayor announced that the new project will eventually see a factory capable of producing 400,000 cars per year being created in Qingdao and investment of 1 billion RMB landing in the city, the project will also see the creation of an automotive research and design center in Qingdao along with purchasing facilities and the creation of a sales headquarters.

About the author  ⁄ 

One Comment

  • dragin
    January 11, 2013

    If Geely’s Volvo experience in receiving approval by the NDRC is any indication, NEVS’s Saab has a long way to go before getting the official OK to manufacture in China. According to law, first it must find an indigenous joint venture partner with a license to build and sell automobiles. Im’ guessing that nearby Hawtai would be all to happy to fill that role…..

Leave a Comment

See News by Industry
Industry News China Green Auto News Spy Shots China Auto Culture
See News By Brand
Acura China Acura China Aston Martin China Aston Martin Audi China,FAW-Audi Audi China
Baojun Auto Baojun Beijing Auto Beijing Auto Group Beijing Auto Beijing Auto
Besturn Auto, FAW Besturn Besturn BMW China BMW China Brilliance Auto Brilliance Auto
Buick China Buick China Baojun Auto BYD Baojun Auto Cadillac
Changa,Chang'an Chang'an - Chana Changfeng Changfeng Changhe Auto Changhe
Chery Auto Chery Chevrolet China Chevrolet Chevrolet China Chrysler
Citroen China Citroen Dodge China Dodge Dodge China Citroen DS
Dongfeng Auto Dongfeng Geely Emgrand Emgrand Geely Emgrand Englon
FAW,First Automobile Works FAW Ferrari China Ferrari Fiat China Fiat
Foday Auto Foday Ford China,Changan-Ford Ford Guangzhou Auto Guangzhou Auto
Geely Auto Geely Geely Auto Gleagle GoNow Auto GoNow
Great Wall Great Wall Hafei Auto Hafei Haima Haima
Hawtai Hawtai Honda Honda Huanghai Yellow Sea Auto Huanghai (Yellow Sea)
Hyundai China Hyundai Infiniti China Infiniti JAC China JAC
Jaguar Jaguar Jinbei Jinbei JMC JMC
Kia Kia     Jaguar Land Rover
Landwind Landwind Lexus China Lexus Lifan Auto Lifan
Lincoln Lincoln Youngman Lotus Youngman Lotus Luxgen Luxgen
Mazda Mazda Mercedes China Mercedes MG - Morris Garages MG
MINI China MINI Mitsubishi China Mitsubishi Nissan China Nissan
Opel China Opel Opel China Peugeot Reely China Reely
Renault Riich Riich Riich Roewe
Rolls-Royce China Rolls-Royce SEAT SEAT Senova Senova/ShenBao
Double Ring Double Ring - Shuang Huan Sichuan Yema Sichuan Yema Skoda Skoda
Double Ring Smart Subaru Subaru Suzuki Suzuki
Toyota Toyota Volvo Volvo Volkswagen Volkswagen
Zotye Zotye   Others    
Sign up today to receive China Car Times weekly newsletter!
Your name
Your email