| Type | Public company |
|---|---|
| Industry | Automotive |
| Founded | 1964 (as Hefei Jianghuai Automobile) |
| Headquarters | Hefei, Anhui, China |
| Products | Automotive goods |
| Website | www.jac.com.cn |
JAC Motors (officially Jianghuai Automobile Co Ltd) (SSE:600418) (Chinese: 安徽江淮汽车股份有限公司)[1] is a Chinese state-owned automobile and commercial vehicle manufacturer.[2] The company is based in Hefei, Anhui Province, China.
In 2010 it was one of the top ten most-productive vehicle manufacturers in China selling 458,500 units for 2.5% market share and reaching eighth place.[3] Estimated production capacity is over 500,000 units/year as of 2009.[1] Production capacity figures may consider engines and vehicles as discrete.
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Established in 1964 as Hefei Jianghuai Automobile Factory, its name was changed to Anhui Jianghuai Automobile Co Ltd in 1997.[4] The company made an IPO on the Shanghai Stock Exchange in 2001.[1]
JAC has historically only produced commercial trucks (under the brand name Jianghui), but MPVs and SUVs appeared in the 2000s. By 2007 the company had gained government approval for passenger car production but, nonetheless, continued to be referred to as a truck maker.[5]
In a recent event a 2009 Chinese government indication that it was in continued support of consolidation in the Chinese auto industry led analysts to predict the possibility of JAC joining with Chery since they are both located in Anhui province.[6] On the surface such a merger would make sense: Chery mainly built passenger cars and JAC was almost entirely focused on trucks at the time. Since then, however, JAC has made it clear that they are not interested in consolidation under the aegis of the larger Chery.[7] JAC has began to concentrate more on passenger cars, and a 2010 announcement of a new electric vehicle program may at least partially have been an effort to stave off the rumored merger.[7]
Sales reached more than 300,000 units in 2009 including 12,100 sold overseas.[8]
Corporate Social Responsibility activities include donations to support forest preservation as well as to educational opportunities for the poor.[9]
JAC announced a pair of joint ventures with Navistar International Corporation and NC2 Global (itself a Navistar/Caterpillar joint venture) on 16 September 2010.[10] The NC2 joint venture will manufacture heavy duty trucks and parts, while the Navistar joint venture will build medium to heavy diesel engines in China with parts and services provisioned by Navistar.[2] The new companies will both be located in Hefei where JAC is also based.[2]
Since export began in 1990 (to Bolivia), JAC products have been sold in over 100 nations.[11] Light trucks are a popular export product.[12]
Some exports are in the form of knock-down kits, which are assembled at overseas factories in countries including Egypt, Ethiopia, and Vietnam.[13] As of 2010 a possible factory in Slovakia is under discussion.[14] Such factories are not necessarily owned by or affiliated with JAC. Knock-down exports are an easy way to gain access to developing markets without added after-sales service costs.
In 2009 JAC started a partnership with a distributor in Brazil, the SHC group. As of early 2011, it had more than 10,000 firm orders from its Brazilian partner.[15] In 2009 JAC also had plans to build a production base in the country.[16]
JAC has a wide model line that spans from commercial trucks to small city cars. Some of its models may be real standouts. In 2009 a Pininfarina-designed city car, the JAC Tojoy, won numerous awards including the J.D. Power China Automotive Performance, Execution and Layout (APEAL) award.[17]
In the 2000s its flagship model was the Refine (Ruifeng in Chinese).[12] The restyled 2004 Ruifeng Gold featured 60% Chinese-made part content.[18]
As of August 2010, JAC plans to make electric or hybrid-electric vehicles at an as-yet-unbuilt production base.[7] China subsidizes oil (an incentive for the State to encourage use and manufacture of electric cars), and Chinese automakers see opportunities in less mature electric vehicles as Western companies have yet to develop much of a lead in the technology.[19]
An R&D facility in Hefei, capital of Anhui province, is complemented by two overseas R&D centres in Turin, Italy, and in Tokyo, Japan.[1]
A 40,000 unit/year medium-to-heavy truck production base should become operation in 2012[20] and is probably located in Hefei. Production capacity figures may consider engines and vehicles as discrete.