Firm looking to move some production to China should its cars sell well in Asia
25 June 2010

Saab could switch some of its production to China should its annual sales in the country reach 10,000 units.

New Saab boss Victor Muller is hoping to expand the business into China and will announce new distributors within the next few months.

Muller told Auto News Europe: “We hope to be selling 10,000 cars in China in the next three years. If that happens, we will talk to local manufacturers about production."

He also said he expects the firm to be “cash positive” by 2011 if “nothing strange happens in the world or the auto business”.

Muller said the firm’s target to sell 125,000 is entirely reachable with the launch of the new 9-5 and 9-4X, as well as a new 93 in 2012.

"Saab sold 98,000 cars globally in 2008. In two years we will have new products - the 9-5, 9-4X crossover and a new 9-3, so sales will bounce back," he said.

Muler said the firm’s break even point was 85,000 units per year, much lower than under General Motors' ownership.

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27 June 2010

The royal solution for all car companies that lack sales - move lock, stock, and barrel to China and sell them to the Chinese. Job Done. Meanwhile, back home car buyers purchase European brands in ever increasing numbers, assuming they can because they are not ex-car workers out of a job. Globalisation now means China!

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