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China News Service, Changchun, July 15th (Reporter Wu Zhaofei) Sun Ya, vice mayor of Wuhan, who is participating in the 5th Changchun Motor Show here, said that the output value of Wuhan's auto industry reached 54 billion yuan in 2006. For the first time, the renminbi surpassed the steel industry as the city’s largest industry.
Sun Ya introduced that Wuhan has always been famous for its steel industry. Wuhan Iron and Steel Group, which was put into operation in 1958, is the largest super steel complex company in New China. With the establishment of the Citroen company, a joint venture between Citroën, a subsidiary of the French PHA Group, and Dongfeng Motor Co., Ltd. in 1992, the automobile industry in Wuhan has also kicked off and developed rapidly. In 2003, Dongfeng Nissan, the largest joint venture project of the Chinese automobile industry at that time, was established in Wuhan. With the relocation of Dongfeng's headquarters in Wuhan, Wuhan has established its position in the Chinese automobile industry triangle. In August 2006, Wuhan City won the first batch of national auto and parts base awards.
"Wuhan has an outstanding advantage in the development of the automobile industry." Sun Ya said that Wuhan has a distance of 1,000 kilometers from major cities such as Hong Kong, Beijing, Shanghai, and Chongqing, and has a strong market dispersion function. The implementation of China’s strategy to promote the rise of central China provides a historic opportunity for Wuhan to become a strategic fulcrum in the central region. Wuhan's industrial base is relatively strong. It owns Wuhan Iron and Steel and other groups and provides raw material protection for the development of Wuhan auto parts and components companies.
By 2010, Wuhan will form a one-million-car production capacity with an output value exceeding 70 billion yuan.