News and Research on China Automotive Systems Inc. (CAAS)
Business Description
China Automotive Systems, Inc., through its subsidiary, Great Genesis Holdings Limited, manufactures power steering systems and/or related products for different segments of the automobile industry in China.
As of December 31, 2006, the company owns interests in seven Sino-foreign joint ventures, including Jingzhou Henglong Automotive Parts Co., Ltd. (Henglong); Shashi Jiulong Power Steering Gears Co., Ltd. (Jiulong); Shenyang Jinbei Henglong Automotive Steering System Co., Ltd. (Shenyang); Zhejiang Henglong & Vie Pump-Manu Co., Ltd. (Zhejiang); Universal Sensor Application Inc. (USAI); Wuhan Jielong Electric Power Steering Co., Ltd. (Jielong); and Wuhu HengLong Auto Steering System Co., Ltd. (Wuhu).
Jiulong and Henglong are engaged in the production of rack and pinion power steering gear and integral power steering gear for cars and light and heavy-duty vehicles. Shenyang and Zhejiang are engaged in the production of power steering parts and power steering pumps, respectively. USAI engaged in the production and sales of sensor modular. Jielong and Wuhu are engaged in the production of rack and pinion power steering gear for cars and light vehicles and electric power steering.
In 2005, Great Genesis, entered into a joint-venture agreement with Shanghai Hongxi Investment Inc. and Sensor System Solution Inc., to establish a joint venture, Universal Sensor Application Inc., in the Wuhan East Lake Development Zone.
In April 2006, Great Genesis, entered into a joint-venture agreement with Hong Kong Tongda, to establish a joint venture, Wuhan Jielong Electric Power Steering Co., Ltd., in the Wuhan East Lake Development Zone. Jielong engages in the production and sales of electric power steering.
The company has business relations with approximately 60 vehicle manufacturers, including FAW Group, Dongfeng Auto Group, Shenyang Brilliance Jinbei Co., Ltd., Cherry Automobile Co., Ltd, and Zhejiang Geely Automobile Co., Ltd.
Markets
The company markets its products in the United States, Korea, India and Japan.
Customers
The company’s major customers include Chery Automobile Co., Ltd; Brilliance China Automotive Holdings Limited; Beiqi Foton Motor Co., Ltd.; Zhejiang Geely Holding Co., Ltd; Xi’an BYD Electric Car Co., Ltd; Dongfeng Auto Group Co., Ltd; China FAW Group Corporation; Shanxi Heavy Auto Co., Ltd; Shenyang Zhongshun Auto Co., Ltd; and Great Wall Motor Company Limited.
Competition
The company’s major competitors include Shanghai ZF and FKS.
History
China Automotive Systems, Inc. was founded in 2003.
