Huakai-PKC Group Joint Venture Presentation slide image

Huakai-PKC Group Joint Venture Presentation

PKC GROUP Rationale: Joint Venture Offers Favourable Growth Opportunities to PKC China is the world's biggest and growing trucks market ⚫ China totals 32% of the world medium and heavy truck volumes with 975,000 trucks produced in 2014 • Annual growth 2015-2018 amounts to 7.9% • Joint venture raises PKC's market share in China by 8%-points in 2015 Tighter government regulation and higher customer demands in China raise wire harness content • Truck market transferred from Euro 3 to Euro 4 emission standards and banned sales of Euro 3 trucks in the beginning of 2015 • ABS brakes became obligatory in new trucks in the beginning of 2015 • End customers and export market require more functionalities and more customised solutions • These requirements raise wire harness content and complexity with sales price impact of +30%. Number of functionalities still remains about 50% of that in Europe • PKC provides joint venture with wire harness technology and knowhow to meet the new market demands MUMAN Huakai supplies wire harnesses to Auman truck, a new truck by Beijing Foton Daimler Automotive joint venture March 30, 2015 5
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