Chery –“the new Toyota”?

A Chinese automaker makes some ambitious plans for global expansion. Aggressive Chinese state-owned Chery Automobile, China’s eighth largest automaker,plans to start assembling cars in Europe within the next five years while it will be exportingfrom China to the region by 2007. There is also a plan to export CBU vehicles to the USwithin two years. Hot on the heels of the announcement of Malcolm Bricklin’s plans to set up a dealernetwork to sell 250,000 Cherys in North America in…     

A Brief Analysis of the Impact of the Macro Economy on the Heavy Truck Market in 2005

Over the past two decades, China’s heavy truck market has grown to 1.5 million trucks. From 1998 through 2004, the market was in booming. But in the next few years, the development pace will be slowed down, mainly due to the macro regulation and control. It is well known that China’s auto market has been dominated by government policies and the heavy truck segment is in particular no exception. It is reported that after the “car rush”, this year’s focus is heavy trucks. On top of the ca…     

Two principles are guiding China''''s auto parts industry

Recently there were two pieces of news in China’s auto parts industry, one of themfrom WEI Jianguo, vice minister of Commerce. WEI said that the active use of foreigninvestment is a crucial factor in the development of China’s auto parts industrydomestically and for export; China needs to take the opportunity of the global strategies oftransnational companies to foster the power of automobiles and auto parts. Meanwhile, itneeds to actively promote domestic auto parts suppliers to enter t…     

Showroom

FAW launched its high-end Mazda Wagon on Sept 19. Combining the advantages of sedan, SUV and MPV, the car adds to the Mazda spectrum. FAW’s official price tag of the car is 246,888 yuan. The car’s sales target in the remaining days of 2006 is 3,000 and …     

Domestic made parts are facing a foreign invasion

Almost 20 years have passed since China’s auto parts industry started to introduce foreign capital. The situation has changed radically from inviting foreigners to come to meet the threshold requirements of local rate, to a current situation where foreign parts suppliers are entering in groups and people are worrying that the industry is in danger. Statistics show that more than 70 percent of the world’s top 100 suppliers are doing business here and wholly foreign owned or joint ventures are…     

How far is China''''s auto market from“global synchronization”?

China’s auto market has seen the term global simultaneity in highly intensive use over the recent years, at a time when the marketplace has witnessed repeated “explosives. The term is now linked to the extent to winning the market. 1. Chinese evolvement…     

An Analysis On China’s Trailer Market

1. Development course Trailers refer to semi and full trailers. And in China the majority most of them are semi-trailers, similar to those in the US and most European countries. Full trailers found their use in China in the 1950’s and they began to be re…     

Who will win in the latest phase of reconstruction?

Mergers and reconstruction in China’s automotive industry,with Chang’an Auto leading the way,reached a new peak in2004.Almost all major automotive corporations were planning to be listed abroad.This feverish activity is just the beginning of the integration of the automotive resources of the more developed auto groups.When Chang’an and Jiangling as well as Beijing Automotive Holding Group and Mercedes Benz got married,a lot of money was needed to raise the reputation of the businesses a…     

SHOWROOM

Shanghai GM recently announced in Xiamen city that she will introduce a Chevrolet brand sedan AVEO into the China’s market. Then, three trims are available, i.e. SE 1.4L/MT, SE 1.4L/AT and SX 1.4L/AT, with prices of US$ 10,353, 11,573 and 12,549 respectively. Orders to Aveo are received immediately through its 100 dealers across China. The AVEO is expected to fight with Shanghai VW’s Polo hatchback and Guangzhou-Honda’s Fit. The sedan is one of the hot-sold types managed by …     

China’s commercial vehicle market to witness a new round of development phase

China’s auto industry started in the commercial vehicle field and it kept giving impetus to the auto market until 2004. Statistics from the CAAM show that during the 1998 to 2004 period, the average annual growth rate of the field was 14.38 percent, high…     

Dongfeng to reorganize Zhengzhou Nissan

In late March, DFAC announced that it signed a contract with Dongfeng Liuzhou Autoon the entrusted management of Liuzhou’s MPV. As it was rumored that DFAC wouldreorganize part of the passengervehicle business inside DongfengNissanandactasleaderin purchasing Nissan’s other venture--Zhengzhou Nissan, insiders think the moverepresented a prelude to integrating the subsidiaries of Dongfeng Nissan and next, DFACwill reorganize Zhengzhou Nissan. Established in 1983, Zhengzhou Nissan i…     

China’s strategy on developing clean or alternative vehicle fuels (Ⅰ)

Ⅰ. The importance and necessity to develop clean and alternative fuelled vehicles in the new age 1. The auto industry needs fresh development approaches in the new age China’s auto industry has developed responding to the national economy. In 2006, its vehicle production bypassed German to become world No third and its vehicle market size ranked world second. Meanwhile,     

Countermeasures to meet the change of strategies of transnational companies

Since China’s WTO accession, the strategies of the transnational companies in Chinahave witnessed a fundamental change, which poses overwhelming and insightfulinfluences on the development of China’s auto industry. It deserves our close attention. I. The changing strategies of transnational companies In general, the change features two characteristics: one is to change strategy in Chinawhich is comparatively independent into global strategy which is in conformity with itslong-term and o…     

An Analysis on the Much Delayed Issuance of Fuel Tax

China’s fuel tax was firstly mentioned in 1994 and Hainan province began to impose the tax 10 years ago. The July 1997 issued Expressway Law reads: road maintenance cost is supported by fuel extra. Institutions and individuals should pay the fee in purchasing fuel according to the regulations. The fuel extra should not be collected if road maintenance cost is imposed. In March 1998, the State Council decided to implement nationwide fuel tax on vehicles to replace all fees on them. This is…     

Never too late to be pragmatic

Small displacement cars have been given a new lease of life since April Fool’s day in the cities of Beijing and Shanghai and others are expected to follow suit soon. Small cars had suffered discrimination since the late 1990s from various sides and now i…     

The Bus Market Will Maintain Stable Growth in the Eleventh Five-Year Period

1. Positive factors 1.1 Rising economy The GDP is expected to grow by around 8 percent annually during the eleventh five-year period. Now China’s economy is on the rise and it is predicted the vehicle population by 2010 will be 70 million, and 100 millio…     

12 changes with the auto industry in 2007

Innovation begins to lead the industry China’s auto industry has entered a new innovative stage, while undergoing further improvement and restructuring. The entire industry has reached a     

An Investigation into the Current Situation and Trend of E-business in the Automotive Industry

Now China’s automotive businesses are facinghuge risks brought about by changes inexternal market condition and poor internal management, which consists of time, cost andquality. Auto makers need to shorten the cycle of development, launch high qualityproducts and reduce the cost of production to gain long term development. E-business canprovide important solutions in the process.1. Current situationl in-house information build Guangzhou Peugeot was the first in adopting the MRP II system …     

A Pyramid—2006 Potential Auto Mark

The private possession of passenger vehicles has remarkably changed China’s market mix. In the past, it was a reversed pyramid— medium and premier cars accounted for more than 35 percent, due to the domination of institutional consumption. The following…     

Showroom

Along with an initiation of its 2006 marketing strategy “Brand Leap”, Chery’s New Qiyun, upgrading the Fengyuan and Qiyun, with prices ranging from US$ 6,858 to 11,827, began hitting the market on the first day of 2006. Employing new technologies, the …