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Recently, it was learned from Shaanxi Automobile Group that the company had signed a 3200 heavy truck sales contract with Algeria EURL GM TRADE. Among them, the first 500 heavy trucks will be delivered by the end of December 2008, and the remaining 2700 vehicles will be delivered by June 2009.
In recent years, Algeria has a stable political situation and sustained economic development. The local government has successively initiated a number of infrastructure construction projects, including roads, railways, ports and airports, which have become the main driving force for the growth of heavy truck demand in the country. The data shows that Algeria has become Africa's second largest auto market after South Africa. In 2008, the demand for heavy trucks in Algeria is about 6,000. In 2009, the demand for heavy trucks is expected to reach 8,000, and it is expected to continue to grow.
Shaanxi Automobile Group officially entered the Algerian market in 2006. In October of that year, the company signed a contract with EURL GM TRADE to export 80 heavy trucks to the country. Since then, after two years of market development, Shaanxi Automobile SHACMAN brand has a high reputation in Algeria.
Shaanxi Automobile Group stated that by the end of November 2008, the company had sold more than 3,500 heavy trucks to Algerian users, plus heavy trucks sold through other channels. So far, the number of Shaanxi Heavy Truck heavy trucks in the country has reached nearly 10,000 vehicles. It is expected that sales of Shaanxi Heavy Trucks in Algeria will reach 6,000 in 2009.
"Since next year, Shaanxi Auto will gradually start a new market plan in Algeria, namely, to change the export of complete vehicles to zero parts and set up an assembly plant in Algeria. The group plans to set up four assembly lines in Azerbaijan. By then, it will be able to assemble Shaanxi Automobile. All models exported to Azerbaijan will be introduced. According to reports, Shaanxi Automobile has sales networks in six major cities in northern Algeria, such as Algiers, Oran, Annaba and Setif, and has set up 20 service stations in major regions. Currently, Shaanxi Automobile's sales model in Azerbaijan is still based on local distributors. After-sales maintenance is supported by domestic technology and spare parts.
At the moment when China’s commercial vehicle exports have entered the “winter†due to the impact of the global financial crisis, Shaanxi Automobile Group has been relying on its own product quality and excellent services to vigorously expand its overseas markets. According to the current market forecast, Shaanxi Automobile Group will export 15,000 vehicles in 2009, a year-on-year increase of 15%.