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THE PACIFIC RIM

China, Australia to Build Small Car

January 09, 1987|From Times Wire Services

SYDNEY, Australia — hinese economy car that will run on fuels ranging from soybean oil to diesel is to be produced in a joint venture with Australia.

An Australian company, Protech Capital Investment, said this week that it has signed a letter of intent with China's state-owned Jiangsu Automobile Co. to build the car.

Protech Chairman Clive Coogan said, "We expect the prototype model to be ready in the next six months."

He added: "The motor is not at all choosey about its fuel. It can run on a variety of fuels, including soybean or vegetable oil or diesel."

The car, expected to cost less than $2,275, will have a top speed of 50 m.p.h.

Australia's Victoria state and Jiangsu province maintain a "sister state" relationship, and the car will further cement their ties, said Coogan. He said engine and transmission parts would be built in Australia and the body in China.

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