China's Zotye Automobile International Co. has begun recruiting U.S. dealers and has charged two import-industry veterans with the task of bringing a budget crossover to America in 2020.
The distributor will be Zotye USA of Lake Forest, Calif., which is led by former Mazda and Volvo executive Duke Hale, owner of HAAH Automotive Holdings, Hale said in a statement today. Longtime Hyundai Motor America executive Bob Pradzinski will be senior vice president of sales. The company will also handle parts and service.
If successful, the effort could mark the long-awaited debut of a Chinese auto brand in the United States. Most recently, Guangzhou Automotive Group had been aiming at a 2019 entry but said last month that new U.S. tariffs would likely delay its arrival until 2020.
Zotye USA is a unit of HAAH Automotive Holdings, founded by Hale in 2014 to develop U.S. sales networks for foreign brands. Its first client was Dubai's W Motors, which produces low-volume sports cars.
HAAH's second client is Zotye (pronounced Zo-tay), which plans to announce its first batch of about 20 franchised dealers next month, Hale said. "We'll provide flexibility" to dealers, he said. "We're looking at different ways to do business, as opposed to the old brick-and-mortar approach."