Guangzhou Auto acquires small domestic automaker Gonow Auto
Guangzhou Automobile Industry Group Co. has acquired a 51 stake in Gonow Auto Co., a small automaker located in east China's Zhejiang province.
GAIC's own brand sedan Trumpche
A private-owned company, Gonow Auto currently has annual production capacity of 300,000 units of pickups, SUVs and mini commercial vehicles, according to information available on the company Web site.
After the acquisition, Gonow will focus on the production of pickups and mini commercial vehicles targeting the domestic rural market, Guangzhou Auto said in a statement.
Guangzhou Auto, which runs joint ventures with Toyota and Honda in the south China city of Guangzhou, now plans to start selling an own brand car before the end of this year.
The car, a mid-sized sedan, was first unveiled last month at the Beijing auto show. Fitted with a 2.0-liter four-cylinder gasoline engine and a five-speed automatic transmission, it is expected to roll off the production line in September this year.
