Beijing Auto seeking to buy an auto brand in Europe or US

Article by Christian Andrei, on April 5, 2014

Beijing Automotive Group will acquire a "mid to high-end brand" in Europe or the United States as part of its bid to increase its global presence. Beijing Auto disclosed in 2013 that was seeking to purchase a European brand.

Dong Haiyang, president of Beijing Auto's BAIC International Development Co, remarked that the carmaker has extended the search to the US. Dong said that it will take time for Beijing Auto to break into global markets with its BAIC nameplate, since it is not well-known abroad.

This means that buying a foreign brand would provide the company a shortcut. He said that they have already identified candidates for the acquisition. Beijing Auto has been stepping up expansion both locally and internationally to better compete against larger domestic rivals like Dongfeng Motor, SAIC Motor Corp and FAW Group.

Beijing Auto created an international unit in June 2013 to accelerate international expansion. It also purchased two small rivals in 2013 and recently inked an agreement with Daimler to jointly invest EUR4 billion ($5.51 billion) into their local joint venture to more than double vehicle output by 2015.

Carmakers in China are looking to expand their operations outside country as the local market becomes increasingly congested. With some European and US carmakers already struggling, Chinese carmakers eye buying them to pursue their expansion plans.

Dongfeng recently inked an agreement to acquire a 14-percent stake in PSA/Peugeot-Citroen, while Zhejiang Geely Holding Group acquired Emerald Automotive in March. [source: AutoGuide]

If you liked the article, share on:


Login or Create new account to add a comment!


It wasn’t too long ago when Maserati took the wraps off what appears to be the most gorgeous concept coupe ever made. The Alfieri coupe premiered at the 2014 Geneva...
by - October 23, 2016
Many have been excited with the impending arrival of the next-generation Jeep Wrangler and the new 2019 Jeep Grand Wagoneer, which is slated to be the brand’s new range-topping model....
by - October 21, 2016
Chevrolet has taken the wraps off its new Chevrolet Colorado ZH2 at the fall meeting of the Association of the United States Army (AUSA). Tagged as the most extreme fuel-cell-powered...
by - October 21, 2016
Honda has unveiled the fifth generation of its hot-selling SUV – the 2017 Honda CR-V. The latest iteration of the CR-V should help it maintain its benchmark status in the...
by - October 21, 2016
Many are already expecting BMW to launch an ultra luxurious SUV that will serve at its new flagship by late 2018. Larger than the X5 and X6, the new X7...
by - October 21, 2016