Saab has already restarted production in Sweeden, sources from Pangda told the Beijing Times today. The news comes after Pangda’s agreement with Saab’s parent company Spyker to invest 30 million euros ($42.82m) in the ailing Swedish automobile maker.
However, Spyker’s second attempt in less than a month to establish a partnership for Saab in China may run counter to government strategy that includes slashing the number of vehicle manufacturers by 90 percent, said analysts including Zhang Xin at Guotai Junan Securities Co. in Beijing.
Spyker said on Monday Pangda had started procedural discussions with Chinese authorities, including the National Development and Reform Commission (NDRC).
“The initial procedure discussions we have had with the NDRC were done in good spirit and all parties have a good understanding of the process,” Pangda Chief Executive Pang Qinghua said in a statement.
Saab owes a minimum of 300 million kronor ($47.2 million US) to Swedish suppliers and at least as much to foreign component makers, FKG estimates.
Brunius declined to comment on the size of Saab’s debts.
Victor Muller, Saab’s chairman and Spyker’s chief executive, predicted that Chinese authorities will approve the Pangda deal.