(Yicai Global) May 10 -- Chinese carmaker Guangzhou Automobile Group Co. [HK:2238] (GAC Group), the parent company of Guangzhou Automobile Group Motor Co. (GAC Motor), said that it has started construction on an electric and intelligent vehicle industrial park as part of a push to boost its EV business.
GAC Group and other companies that will use the area are expected to put more than CNY45 billion (USD6.5 billion) into the five-square-kilometer complex in Guangzhou’s Panyu district in China’s southern province of Guangdong. The plan is for the industrial park to be a collaborative, open, innovative, and green electric and intelligent vehicle manufacturing center.
A CNY4.69 billion (USD679 million) EV plant in the park is set to be completed by the end of next year. It will provide GAC Motor with a production capacity of 200,000 units per year.
“The planning and construction of this industrial park is a concrete step to implement the Chinese government’s green development goals for Guangdong and the national ‘Made in China 2025’ strategy,” said GAC Motor General Manager Yu Jun. “The move will help promote the development of the automobile industry and drive economic growth.”
A record-breaking 28,119,000 vehicles were made in China last year, up 14.5 percent from the previous year, and an all-time high of 28,028,000 were sold, marking a 13.7-percent increase, China Association of Automobile Manufacturers data shows.
Guangdong produced 2,800,600 of them -- more than any other region in the country.