Tan Chong International Holdings, which sells Nissan cars primarily in Singapore, will go public in Hong Kong within a fortnight by way of introduction to the SAR. The company, whose flotation will not raise any proceeds, is effectively a demerger from Kuala Lumpar-listed car dealer Tan Chong Motor Holdings. Sources said the demerger was prompted by the stagnant car and stock markets in Malaysia. The parent's share price has fallen more than 66 per cent in the past year. Tan Chong International managing director Joseph Ong Yong-loke said: 'We hope to expand into the mainland market. With Hong Kong's location, we will fight from the front.' Tan Chong International mainly distributes cars and trucks under Japanese labels Nissan and Subaru, almost entirely in Singapore. It has been trading with Nissan for more than 40 years. Mr Ong said Singapore's economy was likely to slow this year, but the car market was relatively resilient. 'Demand for cars has been surpassing supply in past years in Singapore,' he said. 'The best indicator is car certificates issued by the government to control the number of new cars on the road.' Prices of car certificates had been bid up continuously in the first four months of this year, which indicated strong demand for cars, he said. A Singapore-based analyst with a European brokerage said demand for cars had waned in the wake of the financial turmoil region, but supply had still failed to meet demand.