China’s state-run Beijing Automotive Industry Holding Co Ltd (BAIC) said it will start selling its new high-end model cars in Myanmar’s automobile market.
Xiu Heyi, chairman of BAIC, said, “BAIC is one of the top five car companies in China. We have sold cars in the Chinese market. Now we are choosing Myanmar as our first step into the ASEAN market.”
Japanese cars usually dominate the streets of Myanmar’s largest cities, however, international car giants like Ford, KIA, BMW and General Motors have recently been trying to grab a piece of the booming auto market following the economic reforms in the Southeast Asian country.
Myanmar’s automotive market is likely to grow at a compound annual growth rate (CAGR) of 7.8 percent (2012-2019), research firm Frost and Sullivan said in September last year.
Chinese companies recently started trying to penetrate the local automobile market, with Chinese automaker Chery Automobile announcing its plans to set up a car assembly plant in Myanmar.
Aung Kabar Car Service Co will act as the local dealer for BAIC.
“Two new service centres in Nay Pyi Taw and Mandalay will also be opened soon,” chairman of Aung Kabar U Aung Sein said.
BAIC, also known as Beijing Automotive Group, is the fifth-largest domestic Chinese automaker, but in 2012 the company ranked 4th in terms of production volume making 3.1 million whole vehicles.