Top car company 'set for Shanghai FTZ'

China's leading car manufacturer SAIC Motor Corp Ltd is gearing up for Shanghai's free trade zone to accelerate its overseas business, sources said.

The Shanghai-based vehicle maker plans to launch a trade company within the city's pilot free trade zone area, the National Business Daily reported on Friday. The trade company will help to lower costs in dealing with overseas businesses.

A source from Shanghai Automotive Industry Corp, parent of SAIC Motor, confirmed that their group is going to open a trade firm for vehicle and parts exports and imports, but refused to disclose further details.

Analysts said the future free trade zone would apply relaxed taxation and foreign currency policies.