Škoda Vehicles Manufactured In Shanghai Are Already On The Way To Customers


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SHANGHAI - June 8, 2007: A magnificent gala presentation held in Shanghai on Wednesday launched the sales of Škoda vehicles manufactured in China. The first Škoda Octavias have already been taken over by customers.

Škoda Auto is entering the world's second biggest automotive market as the sales of new vehicles continue growing at a two-digit rate. Over 4 million new cars were sold in China last year, the figure estimated for this year is 4.9 million. Over 10,000 potential customers of Škoda have shown interest since April 20 when the dealers started accepting orders for the new Octavia made in Shanghai.

In his speech delivered in Shanghai, Škoda's Fred Kappler, Auto BOD Member responsible for sales and marketing, said: "China has become a key market in Škoda Auto's global strategy and plays a substantial role in the future development of our brand. The launch of the Octavia marks the beginning of a new era at Škoda. The Octavia has won many awards in Europe, offers top-class quality and a unique design and is distinctive for its timeless elegance and attractive appearance. Using state-of-the-art technology, the vehicle has been developed to meet the requirements of modern clients and be environmentally friendly. I believe this car will surpass the expectations of our Chinese customers and will continue the success story that it has started in Europe. Moreover, we have built an exclusive sales and service network in China to be where our customers are and to guarantee our high quality of service also in this part of the world."

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The Škoda vehicles are manufactured in the Shanghai Volkswagen (SVW) plant under a licence agreement that Škoda Auto made with its partners in April 2005. In cooperation with SVW, the Company has built a brand new Škoda sales network in China. The network currently comprises over 50 exclusive showrooms located in the key areas of the world's most populated country.

The first car Škoda Auto is launching in China is the 2nd generation Octavia. The vehicle has been adapted to meet the requirements of Chinese customers, primarily in terms of design. The Company is also planning to manufacture further Skoda models in the years to come. Once all the model lines are launched, the annual production is supposed to reach 100,000 Škoda vehicles.

The licensed production project in China is part of Škoda Auto's growth strategy. Škoda also has assembly plants in the Ukraine, Kazakhstan, India and Bosnia & Herzegovina, preparations towards opening a new assembly plant in Russia are underway.

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