Asian Vehicles: Car Manufacturers To Watch

The Asian automobile manufacturing market is much broader than many American consumers understand it to be. Beyond Honda, Hyundai, Toyota, and other household names there are quite a few carmakers that are growing in size and respectability in their own markets. Two of these corporations have already committed to selling their models in the U.S., but there are three others worth knowing about and watching.

Starting in 2007, two Chinese automobile manufacturers will be exporting vehicles to the U.S. and Canada. Geely automobile corporation and the Chery automobile corporation are part of the first wave of new Asian carmakers preparing to serve the U.S. market. I won’t go into more detail about these two manufacturers, so please read a related article I wrote titled, “Chinese vehicles: Redefining the Market,” to learn more about them.

Proton -- Proton Holdings, the parent corporation of Proton Motors, is the largest manufacturer of vehicles in Malaysia. Volkswagen and Proton signed a strategic partnership agreement in October 2004 whereby Volkswagen vehicles would be built on Proton assembly lines beginning in 2006. Apart from the VW venture, Proton has a line of models of its own consisting primarily of subcompact and compact sized vehicles. Proton vehicles are currently exported to Australia and the corporation is eyeing the U.S. market perhaps as early as 2010. In addition to its VW relationship, Japanese carmaker Mitsubishi owns nearly a 16% share in Proton.

Hindustan -- Since 1950, Hindustan Motors has been building vehicles for the Indian market. Their current line up of automobiles, looking as if they were built in the 1950s, do not match up to current world styling standards. However, the emerging Indian economy has been providing remarkable growth across all business sectors and the Indian automobile industry is ripe for renewal. The Ambassador Grand, one such model, has recently been updated to meet current European emissions standards. Look for a Hindustan model to be exported to Europe first before taking on the highly competitive U.S. market.

Tata -- Unlike Hindustan Motors, India’s Tata Motors is currently producing vehicles that look as if they were designed recently. As the only Indian vehicle corporation featuring vehicles built and designed by Indians, the corporation’s Indica V2 and Indigo compacts have received a favorable reception at the Geneva auto Show. Plans to export directly to the U.S. have been considered but Tata vehicles may get to the U.S. under another label before then, such as Ford or Dodge.

Beyond these five corporations other state run automobile manufacturing corporations have sprung up in communist controlled China. If Geely and Chery succeed, more makes will follow and the floodgates will be open. More choice is coming for consumers…for better or for worse.