CHery is just networking its way up
Fiat, Chery discuss production alliance -sources
Mon Oct 30, 2006 6:55am
Sergio Marchionne, born in Chieti (Italy) on June 17, 1952. Mr. Marchionne received a master's degree in Business Administration from the University... Full Bio
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SHANGHAI, Oct 30 (Reuters) - Italy's Fiat (FIA.MI: Quote, Profile, Research) and China's Chery Automobile have been discussing an alliance to make cars for sale in China and possibly other markets, a Chinese executive and industry sources said on Monday.
"We have talked with Fiat about cooperation," a senior Chery executive, who declined to be identified, told Reuters.
"One option is for Chery to make cars using Fiat's technologies, and the models would be sold anywhere. The Italians favour the China market."
Other sources said Fiat had picked Chery as a potential partner because the Italian company's car venture with Nanjing Automobile Group had been losing money, even as many foreign carmakers have made solid profits in the country.
The Chery executive said his company might be another low-cost partner for Fiat, which is currently trying to boost sales at the venture with Nanjing Auto through injections of money and technology.
Fiat Group Chief Executive Officer Sergio Marchionne declined to comment on any potential deals with Chery but said the Italian company was open to any cooperative opportunities with automakers.
Marchionne, in Shanghai to attend an industry forum, also told Reuters that its Nanjing venture would be "close to breakeven this year ... and should make some money next year".
Chery has been discussing possible alliances with a range of foreign companies as part of its efforts to become an international carmaker.
Negotiations between Chery and DaimlerChrysler AG (DCXGn.DE: Quote, Profile, Research) to make cars for sale in the United States and other markets are progressing, the Chery executive said, adding that "a cross-border marriage takes time to consummate".
The executive also confirmed an Automotive News report that Chery would unveil two concept cars, designed by a European design house with an eye for the European market. "We want to sell them in Europe someday," he said but declined to elaborate.
The two models -- a medium-sized SUV and a two-door coupe -- are by Torino Design, Automotive News said.
http://today.reuters.com/news/artic...IDST_0_AUTOS-CHINA-CHERY.XML&rpc=66&type=qcna
Fiat, Chery discuss production alliance -sources
Mon Oct 30, 2006 6:55am
Sergio Marchionne, born in Chieti (Italy) on June 17, 1952. Mr. Marchionne received a master's degree in Business Administration from the University... Full Bio
Full Management Team
Insider Trading Email This Article | Print This Article | Reprints [-] Text [+]
SHANGHAI, Oct 30 (Reuters) - Italy's Fiat (FIA.MI: Quote, Profile, Research) and China's Chery Automobile have been discussing an alliance to make cars for sale in China and possibly other markets, a Chinese executive and industry sources said on Monday.
"We have talked with Fiat about cooperation," a senior Chery executive, who declined to be identified, told Reuters.
"One option is for Chery to make cars using Fiat's technologies, and the models would be sold anywhere. The Italians favour the China market."
Other sources said Fiat had picked Chery as a potential partner because the Italian company's car venture with Nanjing Automobile Group had been losing money, even as many foreign carmakers have made solid profits in the country.
The Chery executive said his company might be another low-cost partner for Fiat, which is currently trying to boost sales at the venture with Nanjing Auto through injections of money and technology.
Fiat Group Chief Executive Officer Sergio Marchionne declined to comment on any potential deals with Chery but said the Italian company was open to any cooperative opportunities with automakers.
Marchionne, in Shanghai to attend an industry forum, also told Reuters that its Nanjing venture would be "close to breakeven this year ... and should make some money next year".
Chery has been discussing possible alliances with a range of foreign companies as part of its efforts to become an international carmaker.
Negotiations between Chery and DaimlerChrysler AG (DCXGn.DE: Quote, Profile, Research) to make cars for sale in the United States and other markets are progressing, the Chery executive said, adding that "a cross-border marriage takes time to consummate".
The executive also confirmed an Automotive News report that Chery would unveil two concept cars, designed by a European design house with an eye for the European market. "We want to sell them in Europe someday," he said but declined to elaborate.
The two models -- a medium-sized SUV and a two-door coupe -- are by Torino Design, Automotive News said.
http://today.reuters.com/news/artic...IDST_0_AUTOS-CHINA-CHERY.XML&rpc=66&type=qcna