GAC Changfeng Motor recently announced its plan to dissolve its subsidiaries Changfeng Automotive Research & Development and Changsha Changfeng Automobile Manufacture. Since assuming the position in November 2009, Fu Shoujie, general manager of GAC Changfeng Motor, has revamped the company's products, marketing, corporate structure and brands, and, as a result, the company sold 20,824 cars during the first five months of this year.
Thanks to the overhaul and the increased sales of GAC Changfeng Motor, Mitsubishi Motors is willing to re-open discussions with Guangzhou Automobile concerning their cooperation. Mitsubishi Motors is also considering looking for other new joint venture partners in China, the media reported recently.
Mitsubishi Motors plans to increase the stake in its joint ventures in China to 50% to in a move to take over more of the decision making. It also is seeking to raise its stake in South East Motor; however, this may be difficult to do as the other stakeholders are expected to push back strongly.
Source: Aftermarket Business
