Feb. 8, 2007 (China Knowledge) – Chinese automobile equipment manufacturer Zhongda International <909> plans to set up China's first overseas plant for the production of chassis for commercial vehicles in a US$60 million joint venture in Vietnam.

With a registered capital of US$20 million, the joint venture will operate for 20 years and will produce 3,000 chassis in its first year with the number expected to jump to 20,000 after three years.

Zhongda has reportedly signed a a letter of intent with Vietnam's largest state-owned automobile manufacturer, Vietnam Motors Industry (Vinamotor) to establish a joint venture in Hanoi, to produce bus chassis.

A final agreement may be signed once Zhongda agrees with the feasibility study provided by Vinamotor.