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Discussion Starter · #1 ·
http://www.signonsandiego.com/news/business/20070423-0024-autoshow-brilliance-usa.html

Brilliance plans U.S. sales as early as 2007

By Fang Yan
REUTERS

12:24 a.m. April 23, 2007

SHANGHAI – Chinese automaker Shenyang Brilliance Jinbei plans to ship its first sedans to the United States as early as this year, potentially making it China's first home-grown carmaker to crack the world's largest vehicle market.

Brilliance Jinbei, a unit of Brilliance China Automotive Holdings, last year became the first of its Chinese peers to secure a major sales deal in Europe, beginning with its BS6 mid-ranged sedan priced at 19,000 to 23,000 euros ($31,270).

“We are making preparations currently and hope to ship the first batch of BS6s to the United States late this year or in early 2008,” Brilliance Jinbei President Zhigang Liu told Reuters on the sidelines of the Shanghai auto show late on Sunday.

The initial sales target and other details have yet to be worked out, he said.

Brilliance, BMW's China partner, is among a growing army of ambitious Chinese auto manufacturers, such as Geely Automobile Holdings Ltd., that aim to emulate the global success of Toyota Motor Corp.

Brilliance plans to sell 158,000 sedans to Europe over the next five years, including the BS6, following up with a coupe, a smaller sedan, a compact car and a sport utility vehicle by 2010.

Chery Automobile Co., which has made inroads into emerging markets in recent years, struck a deal with DaimlerChrysler in late 2006 to make Chrysler-branded models for Europe and other markets.

PHASED EXPANSION

Previously little-known Nanjing Automotive Group, which stunned the industry in 2005 by snapping up major assets of failed MG Rover for little more than $100 million, unveiled in March the first China-made MG cars. It plans to start selling them in British Commonwealth countries in the second half.

If these initial steps proceed smoothly, China's vehicle makers could become a force to be reckoned with in the global market, although they still rely heavily on low pricing to attract customers.

Brilliance, which also makes BMWs and Minis in a venture in northeast China, is building a new plant for its own-brand cars that will double its capacity of 150,000 units.

The group sold 200,000 vehicles, including BMW brands, in 2006 and aims to boost that figure to 300,000 units this year and to 500,000 by 2015, Liu said.

“We are restrained by capacity already but we have decided to avoid ramping up too quickly. The best strategy is to grow with the market,” he said.

He added that Brilliance, having spent at least 10 billion yuan on research and development for its sedans so far, would follow up by investing a similar amount in the next five years.

SAIC Motor Corp., a Chinese partner of both General Motors and Volkswagen AG, is spending $1.71 billion to develop its own brands.

SAIC, the country's biggest car maker, last year rolled out its first brand of its own, the Roewe, based on acquired technology, and unveiled two more models – the Roewe W2 and a Shanghai brand fuel-cell car – at the auto show.

Liu did not rule out the possibility that Brilliance would acquire competing brands, domestic or foreign, when the opportunity arises.

“Some have already made big strides down that road and we would do likewise when we grow bigger,” he said.

($1-.7356 Euro; $1-7.726 Yuan)
Zhonghua BS6 Chinese Luxury Sedan.

- Gets two stars in NHIST crash test.
- Auto-mag reviewers blast it for being so 90s.
- Fails to pass California emissions.

Zhonghua BS6 is going to haunt all Chinese brands for years, just like how Landwind tarnished Chinese brands in Europe with its 0 EuroNCAP score...
 

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Oh wow this is great news!!!!! Out of all Chinese car makers I like Brilliance the most - the BS4 and the coupe. I can finally get my hands on one!!!

I'm not a huge fan of the current BS6, but it's not that bad of a car. I wish they would bring to the US the BS4 and the coupe first, and then the next generation BS6.

The BS4 or coupe with the 1.8 turbo, fully loaded with leather and everything, in black of course, would be what I want.
 

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Brilliance cars really do suck. As a European I think they will bomb badly, so badly in fact that I doubt many people will complain as no one will buy them in the first place. Truly shocking and hideously built cars.
 

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No and I think the reason you harp on about Nanjing is because your actually pretty worried that they may be the next big car maker....
 

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If Brilliance quality is so poor then why hasn't the European press come down hard on them like they did on other Chinese car companies like Landwind, Chang'an, Geely and Xinkai? There must be a good enough sampling on hand now for the critics to have a close look. Or hasn't HSO Trading started to bring in the first of those 158,000 units yet?

Here's what Automotive News Europe said last March: "Quality (of Brilliance at Geneva show) was definitely better than on the Chinese models from other manufacturers that were shown last autumn in Paris."
 

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I've had the opportunity to see the BS6 last time I was in China. Though I didn't thoroughly examine it, both the int and ext looked alright. There's much to be desired but I though it was pretty good overall.

Regardless, I'm sure by the time they come to the US, they would have made the necessary adjustments to appeal to the US market.

I will buy one regardless of how it is. Heck, there are 3 million Chinese peeps in the States, if only every Chinese family buy one... ;)
 

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I think this car doesn't look that bad. If it's priced the same as an Accord or Camry they'll sell. If you have 10 accords and 10 camrys in your work place parking lot. And you don't want to drive the exact same car as your co-workers get this car.








 

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http://www.autoblog.com/2007/04/23/the-brilliance-are-coming-chinese-automaker-plans-to-export-sed/

The Brilliance are coming! Chinese automaker plans to export sedans to the US this year
Posted Apr 23rd 2007 2:24PM by Jonathon Ramsey
Filed under: Sedans/Saloons, Etc.



After storming Europe in 2006, BMW's Chinese automaking partner Brilliance wants to start sending its BS6 sedan to our shores as soon as this year. If it does, it will be the first Chinese car maker to grace the US market.

According to Brilliance President Zhigang Liu, if the BS6's don't make it this year, then we'll get them in early 2008. When they arrive, you will know them by their . . . well, you won't actually know them, because each one looks like several different cars depending on where you stand. A resurrected and chromed-out Rover grill on a whatchamacallit front end, a perfectly nondescript profile, and a done-a-million-times Southeast Asian rear. The automotive equivalent of jambalaya, it's got a little bit of everything in it. Still, it's hard to say anything bad about the car. At least not the one in the picture.

Brilliance has put $1.3 billion into R&D for its line of sedans, and will invest that amount again over the next five years. As well, the company builds BMW's and Minis in Northeast China, so they should have a some sort of handle on quality control. There are no sales targets set yet, but we practically guarantee they can up their target if they swap the letters "BS" -- which probably stand for Shenyang Brilliance -- for almost anything else.

[Source: Reuters]
 

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Discussion Starter · #10 ·
hazik said:
I think this car doesn't look that bad. If it's priced the same as an Accord or Camry they'll sell.
So you don't understand American drivers.

I say Zhonghua might sell a few thousands if it is priced at $13,000 with a full leather interior, automatic transmission, etc and comes with a 100K warranty. Other than that buyers will pass.
 

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If it's priced the same as it is in Europe $26,000. they'll sell a few thousand just to Chinese people in california who want a car that saids they're proud to be Chinese.
 

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Can't agree with you more on that! :thumb:

Chinese are unlike koreans who are extremly superfacial. If you ever go to a korean food market or a korean church on Sunday you will see all koreans drive Japanese cars.... despite the unity and partitism they trying so hard to sell to everyone else..

Even folks like REAL_I_HATE_CHINA drives a second hand Camry around instead a brand new shinny but crappy hundai that only that costs sub 8000 with 100k warrranty... tell me they are not hypocrites.

:lol:


.
 

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Real_I_Hate_China said:
So you don't understand American drivers.

I say Zhonghua might sell a few thousands if it is priced at $13,000 with a full leather interior, automatic transmission, etc and comes with a 100K warranty. Other than that buyers will pass.
Yeah, like YOU understand American drivers...

At this price, equipment level, and warranty, Zhonghua will sell by the hundreds of thousands. Remember the used car market outsells new cars by 3 to 1, so people by far look for value and bargains and don't want to spend a lot of money on transportation.
 

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hazik said:
If it's priced the same as it is in Europe $26,000. they'll sell a few thousand just to Chinese people in california who want a car that saids they're proud to be Chinese.
Hey, you just described ME!

I highly doubt they will sell a fully loaded BS6 in the US for $26K. Everything is more expensive in EU vs US, by as much as 60%.

My guess is the BS6 will sell in the US, fully loaded with leather, moonroof, auto, etc. etc., for less than $20K, along with 10 year warranties, free road side assistance, and free full maintenance.

That's the only way to instill confidence and alleviate concerns in the consumers - the only way to succeed.
 

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Discussion Starter · #15 · (Edited)
My guess is the BS6 will sell in the US, fully loaded with leather, moonroof, auto, etc. etc., for less than $20K, along with 10 year warranties, free road side assistance, and free full maintenance.
Suzuki Verona(Aka Daewoo Magnus) had exactly all that, plus a six banger for $19,999 and it flopped.

On the other hand, Suzuki Forenza(Daewoo Lacetti) is the best selling Suzuki accounting for half of Suzuki's US sales because it is priced at $14,000 loaded.

So that should give you an idea of what kind of a price Brilliance could charge.
 

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Suzuki had these cars? I almost forgot about them... can't remember if I ever seen an ad or commercial on these cars. Well, since Suzuki no longer sell any mid-size or bigger sedans, that leaves a big hole for Brilliance :thumb:

Sales and marketing (also PR) is just as import as the overall value of the cars themselves. This is one area Suzuki is failing and hopefully Chinese cars makers learn from their mistakes.

Btw, Suzuki's warranty is not that great. 3 year 36K mi on everything, only powertrain is 7 year 100K. No big deal. I propose Brilliance (or any other Chinese car company) to throw in free full maintenance for the duration of the warranty. Not only is that a huge value for the consumers, Brilliance can closely monitor the quality and reliability of their cars, and to ensure the cars are properly maintained - and likely translate to reduced warranty claims. It's a terrific strategy for any new car company. (To recoup some of the cost, sell the cars for $900 more, consumers won't even notice it.) Yet another plus is this brings traffic to the dealer, which helps sell more cars, accessories, and other services.
 

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Discussion Starter · #17 ·
BringIt said:
Suzuki had these cars? I almost forgot about them... can't remember if I ever seen an ad or commercial on these cars. Well, since Suzuki no longer sell any mid-size or bigger sedans, that leaves a big hole for Brilliance :thumb:
Nobody's gonna pay $20K for a Chinese brand car. The market doesn't exist.

I propose Brilliance (or any other Chinese car company) to throw in free full maintenance for the duration of the warranty.
And go bankrupt paying for repairs in the process. Not even BMW would keep the free maintenance program citing the cost.

Based on the sales history of Daewoos, the maximum that US drivers will pay for a Non-(Japanse/Hyundai) Asian car is $14,000.
 

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Discussion Starter · #18 ·
Based on what I have seen so far, Brilliance has a pricing problem that prevents it from $14,000 price bracket. Throw in the huge warranty cost from poor quality and why Brilliance would make a relatively quickly exit from the US market.
 

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What about going in through Canada and testing the waters there first like Hyundain did? If they go to the US it's got to be right the first time, as Renault, Fiat, Daewoo, Stirling and Daihatsu found out to their peril.
 
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