Cuba orders 719 cars from China's BYD for tourist rentals
The Cuban government ordered 719 cars from China's BYD Co., which it will rent out to tourists in a deal that is a bright spot for Chinese automakers facing a weak export market.
BYD, backed by Warren Buffett's Berkshire Hathaway Inc., did not disclose the value of the gasoline-powered car fleet.
The deal comes at a time when Chinese automakers have been hurt by slumping demand in key export markets like Russia and the Ukraine.
For the first five months of the year, Chinese vehicle exports declined 13 percent, according to the China Association of Automobile Manufacturers.
CAAM blaming the export slump on instability in Russia and other countries, a slowdown in commodity-dependent economies and changing foreign exchange policies in certain South American and African countries.
Exports remain a very small portion of revenue for Chinese automakers. China exported only 70,800 cars in May compared to 1.9 million vehicle sales overall.
Chinese car brands like BYD have found a small market abroad primarily by peddling their low-cost cars in developing countries.
The deal comes at a time when Chinese automakers have been hurt by slumping demand in key export markets like Russia and the Ukraine.
For the first five months of the year, Chinese vehicle exports declined 13 percent, according to the China Association of Automobile Manufacturers.
CAAM blaming the export slump on instability in Russia and other countries, a slowdown in commodity-dependent economies and changing foreign exchange policies in certain South American and African countries.
Exports remain a very small portion of revenue for Chinese automakers. China exported only 70,800 cars in May compared to 1.9 million vehicle sales overall.
Chinese car brands like BYD have found a small market abroad primarily by peddling their low-cost cars in developing countries.
