Western Star terminates contract with Beiqi Foton

Western Star Trucks Australia (WSTA), a wholly owned subsidiary of Transpacific Industries Group Ltd, has terminated the importation and distribution agreement with Beiqi Foton Motor – effective 31 October, 2012.

For the past two years, WSTA has imported the Foton Aumark brand of light duty truck. The light duty truck was to complement Transpacific’s current line-up of heavy and medium duty products.

A global due diligence was undertaken to find a product that suited Australian conditions and provided a quality product at a competitive price. The Foton Aumark satisfied these conditions initially, and a contract for import and distribution with Beiqi Foton Motor Co Ltd. was established. The contract outlined several key product engineering and aftermarket support milestones that were to be met by Foton. After protracted negotiations on the part of WSTA with Foton, it became apparent that these milestones would not be achieved by Foton on a schedule that was acceptable by WSTA.

According to Western Star, the brand and its extensive dealer network are synonymous with quality products and aftermarket support. “This commitment to the Australian marketplace will ensure that those customers who have purchased the Foton Aumark product to date will receive complete aftermarket support, and WSTA is working with the new Foton Aumark importer to ensure a smooth transition.”

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