Quick Take: Lincoln Revs Up China Push with New SUV

U.S. luxury vehicle brand Lincoln is planning to build a sports utility (SUV) vehicle tailored for the booming Chinese market.

Lincoln, the high-end division of U.S.-based Ford Motor Company plans to begin production of the SUV in 2019 at the Changan-Ford manufacturing plant in the southwestern city of Chongqing.

The as yet unnamed model will be the first to be built in China since the brand’s debut in the country in 2014.

Sales of the three SUV and two sedan models Lincoln currently exports to China grew 180% in 2016, totaling 32,558 cars, nearly a third of the brand’s sales in the U.S.

The SUV will cater to a market that has demonstrated a huge appetite for luxury utility cars.

SUVs continue to be China’s favorite type of vehicle, with sales expanding 45% last year, growing at three times the rate of demand for overall passenger vehicles.

Lincoln has been encouraged by its performance in China and is winning popularity among younger generations, Lincoln China President Amy Marentic said in a statement.

It is planning to open an additional 15 dealerships in China, making a total of 80.

Contact reporter April Ma (fangjingma@caixin.com)