GAC Acura joint venture enhances presence in new energy segment

GAC Acura starts localized production this year and has launched its first-ever China-produced Acura, the CDX SUV, in the market in July.

GAC Acura unveils its new energy model, the imported hybrid sports car Acura New Sports eXperience, and it is expected to hit the market by the end of this year.

Besides expanding its lineup, the GAC Acura joint venture plans to tap into the new energy segment by importing hybrid models this year, starting local production in 2018.

Guangzhou-based GAC Acura announced its plans on Friday at Auto Guangzhou 2016, which involve both localized and imported models to be launched in China each year from 2017 onwards, in the hope of accelerating the brand's business development in the world's largest market.

Celebrating the brand's 30th anniversary, the Acura business unit started operation in China in April under the sales subsidiary company of GAC Honda Automobile Co. Following Guangzhou Automobile Group Co Ltd's development strategy, the joint venture is now committed to energy saving and environmentally friendly technology breakthroughs, through the localized hybrid lineup production in 2018.

GAC Acura launched its new energy model, the imported hybrid sports car Acura New Sports eXperience and began accepting orders since the auto show in Beijing in April. It is expected to hit the market by the end of this year.

"The all-new Acura NSX denotes supreme performance and manifests the brand's DNA of Precision Crafted Performance," said market insiders.

"Acura NSX serves as the very best brand ambassador, because of the leading philosophy it bears, future-oriented technologies it carries and the precise and advanced techniques applied during the manufacturing process," they concluded.

The Acura NSX fulfills customers' evolving needs with a well-balanced driving dynamic and environmentally friendly concepts. The driving experience is powered by sport hybrid super handling all-wheel drive, the world's first three-motor powertrain.

The sport hybrid SH-AWD features electric AWD and unrestrained output distribution through a high-performance electric motor built in the mid-mounted dual clutch transmission, with twin motor units for each of the two front wheels.

The Acura NSX is created in the Performance Manufacturing Center in Ohio, the United States, where the all-new and class-leading technologies in car body building, painting, assembly and quality examination are applied to the hybrid sports car.

The premium brand's leading locally produced new energy vehicle will be the Acura MDX hybrid version, planned for a 2018 launch, after importing the model from April 2017 on order.

The 2017 Acura MDX petrol edition is also going to be shipped to China next year, while the second locally produced model Acura TLS is scheduled to launch in the market at the end of 2017.

The joint venture started localized production this year and provided its first-ever China-produced Acura, the CDX SUV, in the market in July.

Following Acura's quality standards, the high-end CDX model is localized to meet Chinese customers' demands and it features new design concepts in line with global quality standards, according to the company.

The automaker considers the domestically made Acura CDX a milestone, marking its strategic transition of its business model from importing to localizing.

The Acura CDX's localization is the result of a series of in-depth market research and thorough consumer insights. GAC Acura found that Chinese customers are eager to own an SUV, especially the younger generation who are increasingly dominating new sales in the luxury segment.

The locally made CDX has demonstrated its critical contribution to Acura's development in the Chinese market, with a record of 1,378 units delivered as of October, just three months after its launch in July. Accumulated sales have surged 143 percent and registered the brand's fastest growth for a single model.

Dealership expansion

This year, the network has expanded to 21 newly established authorized dealers and the scale will reach 60 at year-end.

Although a total of 116 dealer companies have applied, GAC Acura has been selecting its new partners cautiously, holding true to the high-end brand's premium quality standards in showroom construction and business operation.

The carmaker is now balancing the relationship with its dealership partners to ensure a premium perception not only in production quality, but also in service experience.

With Acura's professional and considerate service, customers can enjoy free-of-charge, four-year or 100,000-kilometer fundamental maintenance and roadside assistance.

(China Daily 11/21/2016 page18)