Mazda Sets Up Sales Unit in Beijing to End Partner Feud

SHANGHAI - November 6, 2007:

Japanese automaker Mazda declared in Shanghai that the company has established a branch office in Beijing last week to manage and coordinate its sales network in China.

The founding of this sales unit in Beijing is part of Mazda China's efforts to unify Mazda's sales networks in China and put an end to a fight between its two partnership companies over the sales of Madza products. The fight has led to the suspension of the production of Mazda 3, and seriously damaged Mazda's performance in Chinese market.

Originally Mazda had only one sales network run by FAW-Mazda to manage the sales of Mazda 6 and Mazda 3. However, Mazda's another Chinese partner, Changan Ford Mazda has been fighting with FAW-Mazda over the sales of Mazda 3, which was produced by Changan Ford Mazda.

In order to take back the sales of Mazda 3, Changan Ford Mazda established its own sales company in past April to oversee the sales of Mazda 3 and Mazda 2, the later will be produced in the Nanjing plant of Changan Ford Mazda. Starting from the first day next year, Changan Ford Mazda will take back the sales of Mazda 3 from FAW-Mazda.

For more information about the burgeoning auto industry in China please visit http://www.gasgoo.com/Autobiz/list/7/China-News.html