China’s first auto maker planning third car for SA

FAW is currently testing a 1,3-litre hatchback, with the aim to introduce the car after the launch of its Oley sedan, which joins the Sirius van and people mover later this year. The car on the photo is not it, but FAW's remake of the party leader's car of choice: the Red Flag L7.

Harking back to China’s isolation years, First Automotive Works (Faw) remade the Communist Party leader’s wheels of choice: the Red Flag L7 for last week’s Shangai car show. These nostalgic wheels are not for export, but would not look out of place at Cars in the Park.

General manager for Faw South Africa’s LCV and passenger-car ranges, Pedro Pereira, said the country is seen as a very important market by Faw.

“We are the first to receive right-hand drive derivatives of the Sirius and upcoming V2 hatchback,” said Pereira.

There are already 17 Faw dealers in the existing AMH multi-franchise network in South Africa, as well as three independent outlets in Shelly Beach, Witbank and Nelspruit.

Pereira said he would like to expand the network to 22 dealers in the medium term, to cover all major centres.

Pereira said dealers and customers have liked the first range of the Sirius.

In China, Faw Group is the oldest and largest automotive group, dating back to 1953.

Faw’s annual production last year exceeded 3,6 million units, with the Faw-Volkswagen venture alone having sold 1 368 776 passenger cars in 2012.

Faw also builds cars in partnership with Toyota, Mazda and Hyundai.

Pereira said the value-for-money pricing is the big draw card in the Sirius, as is the vehicle’s versatility.

Prices are R149 995 for the panel van and R159 995 for the Sirius people carrier.

These two models were introduced to the local market at the beginning of the year and compete with the Toyota Avanza models, in terms of price and specification.

Pereira said Faw is also in the process of building a knock-down assembly plant in the Coega Industrial Development Zone, which is near Port Elizabeth.

The plant will have an initial annual output of 5 000 trucks a year, with passenger cars and light commercials going into production in the future.

Initial investment exceeds R600 million and the building phase is due for completion in December.

“We are aware that Faw is one of a number of new brands from China and India that have been established in South Africa in the past 20 years, but we are pleased and proud that Faw is the only one that is showing that its intentions are serious, as it is the only newcomer to have committed to an all-new, high-volume manufacturing plant,” said Pereira.