To increase sales and expand Mazda’s market share in China, the carmaker is considering a plan to enter a new joint venture with its Chinese partner FAW Group. In 2003, Mazda first stepped into the Chinese market with its Mazda 6 via a technical cooperation with FAW.
However, media reports now say that Mazda has blamed its minor role in the partnership for limiting its development in China in the past few years. In addition, Mazda also has a venture with Ford Motor and Chongqing Changan Automobile in which it holds a 15% stake. Mazda has revealed that it seeks to split the three-way tie-up and instead form a 50-50 joint venture with Changan. This move comes as no surprise after Ford cut its stake in Mazda globally. An insider source has told the Shanghai Daily that a restructuring proposal that seeks to improve the efficiency of Mazda’s venture and strengthen its Chinese business has been submitted to the government.
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