[ash]

CHery is just networking its way up

Fiat, Chery discuss production alliance -sources
Mon Oct 30, 2006 6:55am

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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

 

[phaeton]

Interesting, good for future relations with Europe

 

[mrgq]

Chery Automobile to supply engines to Fiat Auto

Chery Automobile to supply engines to Fiat Auto

China based Chery Automobile has signed on a deal with Italian automaker Fiat Auto. Chery would now be supplying 100,000 gasoline engines a year to fiat. The two companies signed on a memorandum of understanding in east China’s Anhui Province.

Chery would be supplying fiat 1.6-liter and 1.8-liter gasoline engines which would be used by Fiat for their cars for sale in china and other countries.

Yin Tongyao, chairman and general manager of Chery said on this deal: “This successful cooperation shows Fiat’s trust in Chery and is a significant step for Chery to go abroad by relying on its own innovation.”

Sergio Marchionne, chief executive officer of Fiat added: “Chery is a young and modern company with a solid technical background, and I am very glad to welcome this further step in our strategic alliance.”

 

[hello]

China's Chery Automobile in further talks with Fiat

BEIJING (XFN-ASIA) - Chery Automobile Co Ltd is in talks with Fiat on further cooperation, the Shanghai Securities News reported, citing Chery sources.

Chery currently has an engine OEM deal with Fiat, with production expected to exceed 100,000 units in 2007, the paper reported.


On top of the engine deal, Fiat is looking into a possible strategic alliance with Chery, the report said.

'We have not yet reached agreement, but we will not let the opportunity pass,' Zhan Xialai, the communist party secretary of Wu Hu city where Chery is based, was quoted as saying.

Sergio Marchionne, CEO of Fiat, is also expecting to move to 'the next stage of cooperation,' the paper added.

Fiat currently has a joint venture with Nanjing Automobile Co Ltd.

source: abcmoney.co.uk

 

[phaeton]

FIAT are very smart they currently have a JV in India with Tata so a Chinese JV is a smart move

 

[hello]

yea well they know they need to do such to survive, since they arent one of the big growing companies

 

[eddie]

why that?

why dou you think that FIAT needs to survive? Maybe you need to learn how agressive move forward FIAT makes by commercial vehicle seels.(the Fiat Doblo is a good example to it):nod:

 

[phaeton]

Will this effect Nanjings partnership with FIAT at all ?

 

[Admin]

Chery Auto to buy stake in Fiat's China auto jv

BEIJING (XFN-ASIA) - Chery Automobile Co Ltd is in talks to buy an undisclosed stake in Nanjing Fiat Automobile Co Ltd, a joint venture between Fiat SpA and China's Nanjing Automobile (Group) Co, the 21st Century Business Herald reported.
Citing unidentified sources, the newspaper said that Fiat intends to give up its shares in Nanjing Fiat because the venture has been losing money years.
Chery Auto has sent a team to the venture to conduct a general review of its operations, it added.
Officials at the companies involved either declined comment or were not immediately available, the report said.
State media reported earlier this year that Chery Auto is considering expanding co-operation with Fiat. In October last year, Chery signed an agreement to supply Fiat cars with 100,000 engines per year.

http://www.abcmoney.co.uk/news/09200752711.htm

 

[phaeton]

WOW Chery is on the up

Wonder how this will effect MG ?

 

[m14]

Chery, Fiat ready to drive off together

CHINA'S Chery Automobile is expected to form an alliance with Italian car giant Fiat to produce and market Fiat-branded models in China, extending an earlier partnership and helping Fiat meet its car sales target in China.

``The feasibility study about making Fiat's Alfa Romeo under license is nearing completion,'' say people familiar with the negotiations, who declined to be identified before an announcement is made in the next two months.

``The model will be built in Chery's Wuhu plant and production will kick off as early as 2009 after installing assembly lines.''

The coming cooperation follows a joint announcement at the 2007 Shanghai Auto Show, which said the two companies were evaluating several further possible ways of cooperation in the Chinese passenger car business, which remains of key importance for both FIAT and Chery.

It also said that Chery was weighing the possibility of a takeover of Fiat's stakes in its Chinese joint venture with Nanjing Automotive Industry Corp, as long as Fiat could ensure the buy out would not face government opposition.

Chery's spokesman was not available for comment after several calls.

Cooperation between Chery and Fiat started at the end of last year when the China's fourth-largest car maker agreed to supply 100,000 Acteco gasoline engines every year for Fiat's models made both inside and outside China.

Looking for deeper cooperation with Chery would fit in nicely with Fiat's target of selling 300,000 units in China after some uneasy cooperation with Nanjing Auto.

Nanjing Fiat Automobile Co Ltd has reported that cumulative sales of its small-sized Perla, Siena, Palio and Weekend sedans in China totaled 30,000 units last year after eight years, compared with Shanghai General Motors Corp's 400,000 units sold during the same period.
http://www.shanghaidaily.com/sp/article/2007/200706/20070608/article_318953.htm

 

[cryptonx]

I can't see how any person with even the lowest amount of self respect , decency and morales , can get banned 3 times and still find it amusing to re-join with another nickname .

Pathetic .

 

[erik (laofan) cmvdc]

Cryptonx, explain this to me...

 

[Windy]

I guess a post, and probably a user, has been deleted?

 

[CCF mod]

Chery and Fiat will definitely form joint venture in 2008!

anuary 3, 2008 – Chery Automobile will definitely establish partnership with Italian automaker Fiat Group to build a passenger vehicle joint venture in China in 2008, an official from Chery Automobile confirmed recently.

Besides establishing the joint venture, Chery and Fiat also plan to locally produce Fiat Linea, Bravo and Grand Punto after they are imported to Chinese market, according to Jin Gebo, the director of Chery's administrative office.

This August, Fiat and Chery have signed a memorandum of understanding to establish a 50:50 passenger car joint venture and an engine supply contract, but there are no further negotiation reported until very recently, when Fiat announced to pull out of Nanjing Automobile.

Fiat's venture with Nanjing Automobile had been losing money for years; and China's SAIC has achieved a long expected acquisition of Nanjing Auto to follow government calls for the creation of a national champion to challenge foreign automakers in China.

"Fiat aims to boost China sales to 263,000 cars a year by 2010 from 32,000 units in 2006, and will introduce a slew of new models into the country in coming years," Fiat CEO Sergio Marchionne said in a statement.

source: Gasgoo.com

 

[SuperHorsePower]

FIAT just break up with saic?

 

[CCF mod]

No, FIAT qiut joint venture with Nanjing:

http://www.chinacarforums.com/forum/showthread.php?t=2751

 

[CCF mod]

Fiat to ask government permission for Chery JV.

April 3, 2008 - Italian automaker Fiat Group Automobiles is close to asking the Chinese government for permission for a joint venture (JV) between itself and Chery, reports Automotive News Europe.

Sergio Marchionne, the chief executive officer (CEO) of the Fiat Group, told the trade publication that the pair had almost finished discussing the operational details and were near to requesting the proper authorisation to set up the JV.

Fiat signed a memorandum of understanding with Chery to produce Alfa Romeo and Fiat brand cars for the Chinese market last August. The sides said they intend to produce 175,000 Fiat and Alfa Romeo brand autos beginning in 2009.

The deals appear to mark a strategy shift for Fiat, after Sergio Marchionne said another Chinese partner, Nanjing Automobile, had fallen short on its pledged investment.

The move also came after the Chinese firm and Fiat announced last August that they had finalized an engine purchase deal, enabling the Chinese carmaker to supply more than 100,000 1.6- and 1.8-liter petrol engines per year for Fiat cars assembled in China and abroad.

source: Gasgoo.com

 

[CCF mod]

Chery, Fiat joint venture talks disrupted.

June 11, 2008 - An insider recent said that the partnership talks between China's Chery Auto and Italian carmaker Fiat has stalled now as the Chinese automaker's requirements cannot be fully met. Their talks for a joint venture have made no progress since April.

It seems not so easy to reconcile the conflicts that led to the disruption of the talks. According to an insider close to the deal, Chery is now very determined to get the Alfa Romeo, which has been a part of the Fiat Group since 1986, and Fiat will not give up the partnership bottom-line of locally producing its Linea and Bravo cars in China if it aims to achieve the annual sales of 300,000 units.

However, neither Chery nor Fiat has confirmed this dilemma they are in now. "We are still in talks," a spokesperson from Chery said diplomatically. "Premature news release will not help our coorperation." Fiat also declined to comment on the talks. "China is Fiat's important target market, and Fiat will establish a foothold there," said Paolo Arpellino, Fiat Group's chief representative in China.

In August 2007, Fiat and Chery signed a memorandum of understanding to build a 50:50 passenger vehicle joint venture and an engine supply contract, but the talks began to stall in early 2008 when Fiat pulled out of Nanjing Auto. In the joint venture, Chery and Fiat had plans to locally produce Fiat Linea, Bravo and Grand Punto, but Fiat cannot satisfy Chery's desire for another model: Alfa Romeo.

source: Gasgoo.com

 

[mememe]

Chery asks Fiat for the latest model for JV

July 02, 2008

Shanghai, July 2 (Gasgoo.com) Chery Automobile is still in negotiations with Fiat now. As Chery expects Fiat to introduce its latest global model to their possible partnership, the timing is prolonged, Yin Tongyao, director of Chery Automobile Co Ltd said last week, reports Beijing Youth Daily.

The delay of Chery and Fiat’s cooperation has aroused concern of the industry for a long time. But according to Yin Tongyao, the two sides are still in talks, yet difference occurs on what products the joint venture is to manufacture.

Last August, Chery and Fiat signed a memorandum of understanding, in which Chery expected Fiat to deliver its Alfa Romeo brand into production in China. But soon Chery found the fixed model Alfa Romeo 159 was out-dated, possibly not welcome in the Chinese market, so Chery asks Fiat to introduce its latest global model instead of the outmoded one.

Yin also disclosed that the two sides now have transferred the negotiation place from Wuhu of China to Italy, and the introduction of Fiat latest model will be underway when product model is decided.

http://www.gasgoo.com/auto-news/6926/Chery-asks-Fiat-for-the-latest-model-for-JV.html