Geely will purge excess factory capacity and focus on becoming a global competitor to BYD
TL;DR
Geely will close, merge, or sell redundant factories as it shifts from China’s price war to an international push, with overseas sales up 158%.
Geely Auto chairman Li Shufu told the Chongqing Auto Show on Friday that the company will assess excess capacity across all its units and determine whether to close, suspend, merge, or sell redundant production facilities. The announcement signals a strategic pivot for China’s second-largest carmaker, which has been locked in a fierce domestic battle with BYD while ramping up its international ambitions.
“Geely Auto is determined in its resolve to achieve sound corporate development by concentrating our superior resources on a vertically integrated automotive group,” Li said in a video address posted online. “By doing so, we will transform Geely into a strong and large carmaker with advantages in systemic development, corporate governance and global competitiveness.”
Li did not reveal the...
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