Additionally, the nation's capital, Beijing, has also chosen SORL as a designated air brake parts supplier for its municipal bus fleet. Nationally, it is estimated China had more than 341,000 municipal buses at the end of June 2007, according to the Public Safety Bureau of China. Municipal buses, due to their almost nonstop operation, require frequent maintenance and replacement of brake systems. The Chinese government is investing greater resources in mass transportation systems to improve the living conditions of the growing number of urban residents. The municipal bus market is positioned to benefit from this increased investment and possesses the potential for strong growth.
Through a focused marketing plan, SORL has begun to increase its penetration of the large domestic OEM and aftermarket for municipal buses. These two aftermarket awards follow other long-term municipal bus OEM contracts won this year with other auto industry companies including Zhengzhou Yutong Group Co. Ltd., Zhongtong Bus Holding Co. Ltd., Dandong Huanghai Automobile Co. Ltd. and more.
"These two awards (business contracts) provide further evidence of SORL's reputation for high-quality critical brake parts," said Xiaoping Zhang, CEO of SORL. "We estimate that we have won a 25-percent market share in the Beijing and Tianjin aftermarket for bus brake parts for 2007. Our increasing national brand recognition combined with a growing list of important OEMs and aftermarket customers, solidifies our leading market position and testifies to our products' quality."
