Long Ma International Holdings' mainland subsidiary, Fujian Dragon-Horse Motors plans to increase its production 15 per cent to 30,000 units of agricultural vehicles next year. The company is the largest four-wheel agricultural vehicle-maker on the mainland. This year's target output is for 26,000 vehicles, up 65 per cent from last year's 15,800 units and 136 per cent up from 1996's 11,000 units. Up to September, 20,000 vehicles had been sold. Fujian Dragon-Horse has produced 150,000 units in the past 10 years and has taken up 10 per cent of the existing number of the vehicles. The company is boosting production to realise economies of scale. Vice-chairman Li Zhen-ying said each year the company would try to reduce costs by 5 per cent, with no plans to increase asking prices. He also said there would be no further investments to lift capacity. 'There will be no changes in the prices for the next three years,' director general manager Zhang Chong-ou said. The price range of the vehicles is between 18,000 yuan (about HK$16,758) and 57,000 yuan. Chairman Lo Man has denied market speculation that Long Ma is going to announce their intention to list in Hong Kong this week. 'Even though you are all asking me about this news, I actually want to know very much where you got the source from,' Mr Lo said. Long Ma's profits for the past two years are said to be 29 million yuan for last year and 15 million yuan in the previous year. This year, it is expected to be at least 50 million yuan. Long Ma is reported to be issuing 18 million old shares and 43 million new shares, each share to be sold at $1.08.