* To ship its third in-house made vehicle to EU
* Undergoing regulatory procedures in EU
* HSO Motors Europe remains the dealer for model (Adds details, comments)
By Fang Yan and Jacqueline Wong
SHANGHAI, Aug 5 (Reuters) - Brilliance Auto, BMW's (BMWG.DE) partner in China, is preparing to ship its BS4 Wagon, designed in-house, to Europe after testing the waters there with two mid-sized sedans, company executives said on Wednesday.
Brilliance, the only Chinese automaker which has broken into the European market, has sold roughly 4,000 of its BS4 and BS6 sedans since 2007.
We are going through regulatory procedures currently in Europe trying to get our BS4 Wagon into the market, an executive with Brilliance's export unit told Reuters.
Another senior executive with direct knowledge of the matter confirmed the firm's plan to ship the BS4 Wagon to Europe, adding the firm was expected to clear all regulatory requirements before the end of the year.
The size of the shipment and price of the models have yet to be decided, said the executives, who declined to be identified due to the sensitivity of the issue.
The BS4 Wagon, equipped with 1.8- and 2.0-litre engines, was rolled out in China in late 2008 priced at between 108,800 to 138,800 yuan ($15,930-20,320), company data showed. HSO Motors Europe, a Brilliance importer for Europe, which handles the sales of Brilliance's BS6 and BS4 sedans, will be the dealer for the BS4 Wagon, Brilliance executives said.
NO SMOOTH SAILING
Brilliance, parent of Brilliance China Automotive Holdings (1114.HK), is among a growing army of Chinese automakers, including SAIC Motor Corp (600104.SS) and Geely Automobile Holdings (0175.HK), who are hoping to emulate the global success of Toyota Motor (7203.T).
It secured a deal in 2006 to sell 158,000 sedans to Europe over the next five years, the largest ever auto order for a Chinese manufacturer from developed markets.
But it was not smooth sailing abroad for the Chinese automaker. Both its BS6 and BS4 scored poorly in initial crash tests in Europe although improvements were subsequently made to the BS6 model.
Yufei Wan, chief of Brilliance's international trade arm, blamed the poor test results partly to changing standards in Germany, but said he was not giving up on the European market despite the odds. [ID:nSHA344162]
Brilliance, which produces in-house sedans, vans and light trucks, also manufactures BMW 3 series and 5 series sedans at a plant in the northeastern Chinese city of Shenyang. It sold 285,242 vehicles in 2008, ranking eighth among Chinese automakers, data from the country's official auto association showed.
Wan said the automaker aims to be producing 500,000 to 800,000 vehicles per year in three to five years. ($1=6.830 Yuan) (Reporting by Fang Yan and Jacqueline Wong)