Shell Joins Shanghai Automotive in Chinese Maintenance JV
(Akron/Tire Review) The Royal Dutch/Shell Group said it has teamed up with Shanghai Automotive Group Co to launch a car maintenance service for motorists in China. The 50-50 joint venture, called Anji Jiffy Lube Automotive Services Co Ltd, will build a network of fast lube service outlets modeled on the Jiffy Lube chain in the US.
It will invest around $23 million for the project, which will initially involve 10 pilot outlets in Shanghai within the first year of operation. Anji Jiffy is targeting to open more than 600 branches by 2015 in China, which currently has around 23 million vehicles on the road. In terms of new car sales each year, China is now the third largest in the world, after the US and Japan.