“Some time ago, Zhang Fangyou, the chairman of the board, flew to Taiwan and met with the executives of the Taiwan Yulon Group and its China Motor Corporation.” Informed sources disclosed to the Money Weekly reporter that Guangfang Group Chairman Zhang Fangyou had gone to Taiwan and it was hope. Convinced China Motors to transfer its 25% stake in South East Motors, which was confirmed by GAC officials. The re-expansion of the “Grand Guangzhou Auto” strategy has begun.

In recent years, GAC, known as the most profitable automobile industry, is step by step to achieve its goal of rapid growth through capital operation. According to statistics from the China Association of Automobile Manufacturers, in the first seven months of this year, GAC sold 300,000 cars, ranking sixth, among the top ten car manufacturers.

Although it is becoming one of the most growth companies in China, Zhang Fangyou has set a goal for Guangzhou Automobile to hit the top four in the industry during the “Eleventh Five-Year” period. This goal is the same as Beiqi, and the competition is naturally more intense.

Ranked sixth, not only far from FAW, Dongfeng, SAIC, even compared with Changan (567,000), Beiqi (506,000), there are also 200,000 sales gap. The reason for this is naturally that there is a lack of product line products, and lack of light trucks, heavy trucks or micro-cars as a strong support for sales.

The quickest way to pull a small distance is to “purchase”—the acquisition of a mature industrial base and rapid adoption. GAC Group does have such merger conditions. In 2007, GAC Group's total output value and sales revenue exceeded 100 billion yuan and profits exceeded 10 billion yuan. In the first half of 2008, GAC Group achieved a profit of 6.368 billion yuan. The announcement of the reorganization of Shenfei Hino at the end of last year is a successful test of the GAC Group's merger and reorganization to improve the product line and achieve expansion.

The objectives of GAC, whether it is the Southeast Auto, or Changfeng Automobile , which has been constantly affiliated with the “Gossip,” are representatives of the second-tier automobile camps in the country. They have rich manufacturing experience and have good production conditions and foundations. Of course, they are all facing the same difficulties of loss. According to insiders from Southeast Auto, compared with Beijing, the matching system of Japanese local cars in Guangzhou is better, and it is more suitable for use in the southeast.

In addition, for Mitsubishi Motors, which is also experiencing bottlenecks in its development in China, GAC's involvement is also the best chance for it.

Right now, the upcoming technical cooperation between Guangzhou Automobile and Fiat has already been triggered by Italy. At this year's Beijing International Auto Show, Guangzhou Automobile's three eye-catching brand cars of its own are made by Italian designers.