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Tianjin FAW to sell stake in joint venture

Tianjin FAW Xiali Automobile Co is planning to sell a 15 percent stake in Tianjin FAW Toyota to FAW for 2.5 billion yuan ($375 million), according to its filing to the Shenzhen Stock Exchange.

Analysts say the planned deal is due to the deteriorating performance of Tianjin FAW Xiali.

According to its mid-year report, the automaker sold 19,033 cars in the first half of 2016, a 49.04 percent slump year-on-year, and its operating income plunged 50.93 percent year-on-year to 1 billion yuan.

Construction starts on GAC car plant in Urumqi

GAC Motor started construction on Aug 24 of a passenger car plant in Urumqi, capital of the Xinjiang Ugur autonomous region.

The plant, with investment of 1.6 billion yuan, has a designed production capacity of 100,000 units a year, including both gasoline cars and new energy vehicles.

In addition to the Xinjiang plant, GAC Motor has manufacturing facilities in Guangzhou, Guangdong province and Hangzhou, Zhejiang province. GAC Motor sold 159,000 units in the first half of the year, a 170 percent surge year-on-year.

Tesla unveils speedy long-range electric car

US electric carmaker Tesla Motors has unveiled a new electric car model that can travel up to 613 kilometers on one charge and accelerate from 0-100 km/h in 2.7 seconds, according to a statement it sent to China Daily. Sporting a 100 kilowatt battery pack, the Model S P100D with "Ludicrous mode" is the fastest production car on the market today and the third-quickest ever made. The larger battery pack is also available on the Tesla Model X, enabling the world's fastest SUV to accelerate from 0-100 km/h in 3.1 seconds and giving it a range of up to 524 km on one charge.

Uber's losses in China venture $1.27 b: reports

Lost at least $1.27 billion in the first half of this year, Bloomberg reported on Thursday, citing sources close to the matter.

It was revealed that the company lost $520 million in the first three months of this year and another $750 million in the following quarter, according to Bloomberg.

The prime cause of this year's red ink at Uber was believed to be a costly campaign in China with local rival Didi Chuxing. Since Uber launched its China operations little more than two years ago, both companies have spent billions of dollars as they have fought for dominance in the potentially lucrative market.

Earlier this month, Uber announced that Didi Chuxing will take over its operations in China, ending the ferocious battle for market share.

Motoring

(China Daily 08/29/2016 page19)