SRI LANKA AUTOMOBILE INDUSTRY - MICRO CARS

[SunilD]

"The pioneering Sri Lankan car maker, Micro Car Co Ltd, in another significant breakthrough is offering a car that can be run on either diesel or battery power.

`Micro-Trend` designed by the world-renowned Italian motorcar designer `Pininfarina` is now on the assembly line. Micro Car chairman, Dr Lawrence Perera told The Sunday Times FT that the new car `Trend` would be in the market next month. Initially 60 new cars would be released to the market monthly with a 1000 cc engine at a cost of around Rs 1.2 million, lower than a similar Japanese car that fetches around Rs 2.2 million.

The `Micro` car that went into production in 2003 has since then sold more than 500 units. Prospective buyers now have to wait for about five months to buy a new Micro. The present production capacity is 100 Micros per month. Earlier it was 35 to 40 and by 2006 the production would be increased to 600 per month.

Dr Perera said the company, while meeting local demand, would be soon exporting the Micro to Algeria, some South African countries and probably Bangladesh and Nepal.

He said the Micro cars are fast selling in the local market for their cost effectiveness and the free availability of spare-parts."

[SunilD]

[SunilD]

Sri Lanka to Assemble Chinese Cars

Wasana Trading (Pvt) Ltd, Ja Ela has linked up with one of the leading Chinese Automobile Companies, Chongqing Chana Automobiles Co. Ltd, Jianbei District, to put up a plant to assemble vans and motorbikes in Sri Lanka.

Currently, the Company is assembling and marketing six models of motorbikes under the trade name Wasana in collaboration with Chongqing Chana Automobiles China. Amongst these locally manufactured models are two bikes with remote control start and alarm system. The Company is scheduled to open their van assembly plant in August 2005.

According to Indika Sampath Merenchige, Director of Wasana Trading (Pvt) Ltd, the Chinese company would undertake 70% of the investment. He added, “This would be a BOI-approved venture and we have already purchased a land for the proposed factory in Ekala”. The total investment for the new project would be around Rs.30 million.

Currently, Chana Automobile’s vans and crew cabs are already being sold in Sri Lanka due to its high demand. The Chinese company has decided to assemble their vans and motorbikes in Sri Lanka. The Company already has an assembling plant in Pakistan.

The Chinese counterparts are also keen on the Indian market. “Though there are many Indian automobile manufacturers, there is a demand for Chinese vehicles, specially for vans. The Sri Lanka-India FTA is also another factor the Chinese investors are keen to invest in Sri Lanka”. He also said that the Van, ‘Changam’, with a sitting capacity of seven and powered by a 4-cylinder, 4-stroke water-cooled 8-valve gasoline engine built on Japanese technology, is the most popular van in China. “A similar five-door brand new van is currently being sold for over Rs.2 million and we are hoping to market this for less than Rs.1 million,” he said.

Currently over 100 employees have been employed for the operations of motorbike assembly and this project would provide employment for another 100. “Chinese technicians would be in Sri Lanka to oversee the Van assembling operations and train Sri Lankan technicians staff,” he said. Wasana Trading (Pvt) Limited Ltd has also met officials of the Registrar of Motor vehicles (RMV) and has obtained permission to register the new van in Sri Lanka.

Having been established a decade ago Wasana Trading’s prime business is buying and selling vehicles. It was the brainchild of Mrs. Shelin Muhandiram the mother of the two Managing Directors, Indika Sampath and Asiri Dayan Merenchige, to introduce an assembling plant in Sri Lanka. “Chinese vehicles are cheaper and are of the same high quality of Japanese vehicles,” he said.

Originally Posted by SunilD

Nice car but I will take the girl :love:

[Anniyan]

i too need one!!

[centralized pandemonium]

Nice car, how much will it cost(not the car, the chick, j/k). Seriously, what is the cost of the car.

[SunilD]

1.2 MILLION RUPEES WHICH IS LIKE 5000 £ MORE OR LESS

[SunilD]

this is actually the second car they manufactured .. the first one was more or less good ... but this one is much much better compared from the first one ... but the same company will design a econo rail inside colombo city ..

[centralized pandemonium]

Originally Posted by SunilD

1.2 MILLION RUPEES WHICH IS LIKE 5000 £ MORE OR LESS

Rs 1.2 milllion, you mean SL rupees. Wow, is this car costly or cheap as per as SL standards.

[SunilD]

it is cheap .. very cheap cause sri lanka has close to 300 % taxes on cars ... but the amazing thing is even with all these taxes .. you will find all the cars in sri lanka and in colombo ferraris maseratis porches jaguars .. sl 55's AMG's soo many skylines ... etc etc ,, thse ppl pay enourmousn amounts for these cars .. for instance my uncle got a merc slk 350 for 150000 £ yes thts right hundred and fifty thousand pounds for a slk 350 .. which is close to 50000 £ in UK .. i think **

[Bertez]

I'm going to ressurect this thread......boy this is one nice looking car, and the quality looks very good

[prabhath]

I'm an owner of this Sri lanka micro car(MICRO PREVILEDGE)....hmmm. i had to wait for 1 year and 4 months to get my car. the car is really good for it's prize......still there are many things to be improved.

[Bertez]

Congrats....any chance you can shoot some pics and show us??

[lordvader]

AMW is trying to assemble Marutis in SL:
http://www.lankanewspapers.com/news/2006/7/7545.html

Also:

TATA MOTORS TO SET UP MANUFACTURING PLANT IF INDO LANKA CEPA WORKS

TATA Motors, India's Largest Vehicle Manufacture is exploring avenues to setting up a Manufacturing Plant in Sri Lanka if the Sri Lanka - Indo Free Trade Agreement (FTA) is made more comprehensive a Top Official of the company told daily FT last week.

"If exporting back to India is provided at a concessionary rate then we would go in for a manufacture plant in Sri Lanka" said a TATA spokesman

http://www.seal-superyachts-asia.com...lanka/news.htm

[M.ASHROFF]

please provide micro van details

[lordvader]

^
Micro Cars Website:
http://www.microcars.lk/

Sri Lanka's Dutch Lanka Trailers Indian expansion drive gets cash infusion


August 21, 2006 (LBO) – Sri Lanka's Dutch Lanka Trailers has stepped up investments plans in India following a 2 million dollar equity injection through private investors last week.

The firm's Indian investment will be channeled through Tata International to make a wide range of trailers for Tata Motors Ltd.

Both firms have an equal equity stake and the joint venture hopes to ride on Tata Motors dominance in India's bus and truck market.

Dutch Lanka's Kelaniya plant currently makes a range of trailers, with overseas buyers accounting for around 60 percent of total sales each year.

The company's expansion drive got a boost last week, when global private equity investment firm Aureos Capital, and local investor Dr. Siva Selliah pumped in 1.3 million dollars and 700 million dollars respectively through a private placement.

Dutch Lanka plans to spend around a million dollars each to scale up their Sri Lankan plant and set up a production line in Pune, India.

Locally, Dutch Lanka makes around 800 trailers annually and once both plants are in top gear, the total capacity will jump up to around 3,000 units.

The firm's Managing Director Dilip Kodikara says hopes to tap new buyers through Aureos' presence in emerging markets where the demand for trailers is growing fast.

Currently Dutch Lanka dominates the long haul trailer market in India and Bangladesh.

In India alone, there is a demand for around 8,000 trailer units each, with untapped potential to rise up to about 200,000 units as the neighbouring country scales up their infrastructure plans.

The firm's order book also generates sales from Dubai Ports, P&O, Sri Lanka's South Asia Gateway Terminals, Tata Motors, A P Moller Terminals (Maersk), Sri Lanka Ports Authority, and Hutchison Ports from Middle East and South Asian countries.

The firm plans to offer shares to the public in two-years, giving option to venture capitalist Aureos Capital an exit route to cash their returns.

The privately held firm does not disclose its financials, but said sales and profits over the past 3-years have shown a compound average growth of 45 percent and 34 percent respectively.

http://www.lankabusinessonline.com/f...&SEARCH_TERM=7

[panda70]

Who's the girl?

[KB]

does that Rs. 1.2 million includes the ? you know what i mean..


On a serious note, does that 300% tax apply to imported cars only? what's the tax on home made ones/home assembled ones?

[nitzomoe]

I guess a morris just doesnt cut it anymore:



but seriously, I would rather prefer the Tar-Tar compact, looks A LOT nicer than this one. hopefully the sri lankan government can reduced the levies on imported cards, its damaging the economy considerably.

[sjinadasa]

Originally Posted by kbboy

does that Rs. 1.2 million includes the ? you know what i mean..


On a serious note, does that 300% tax apply to imported cars only? what's the tax on home made ones/home assembled ones?

No, The local made ones are also subjected to the taxes because the car importers began to complain that the micros are taking away their business