Big Chinese Investment Plans

According to a recent article in Bloomberg, Chinese venture Nissan Motor Company has plans to make a $7.8bn investment in the next four years “to gain market share as economic growth boosts demand in the world’s largest auto market.”

The goal of the Chinese motor company Dongfeng Motor Co. is to raise its yearly sales of vehicles to over 2.3m within the next five years.  Currently its sales figures are up to 1.3m but with the rise it is expected to enjoy from the number of dealerships in China of 1, 000, things are really looking up.

Indeed, such news like this is great for long-time foreign investors in China such as Adam Roseman of ARC Investment Partners.  Roseman has been making big investments in the country – a wise business decision given China’s attractive environment.

In addition, Carlos Ghosn, Nissan’s CEO, is “counting on growth in China to help make Nissan Japan’s most profitable carmaker for the first time since at least 1992, is aiming to boost its China market share to about 10 percent by 2015, from its current 6.2 percent.”   As well, Hong Kong-based analyst at Mitsubishi UFJ Asset Management, Ricon Xia pointed out how “the Chinese market will play a much more important role for Nissan in the future, as it has potential like no other.”