Chery and Chrysler Group Finalize Small Cars Cooperative Agreement
4 July 2007
The Chrysler Group and China’s Chery Automobile have finalized their cooperative agreement which will result in the first imports of Chinese-manufactured cars into the US under the aegis of a major automaker.
Under the agreement, Chrysler and Chery will work together to develop, manufacture and distribute Chery-made small and sub-compact cars in North America, Europe and other major automotive markets under the Chrysler Group brands.
Chrysler will identify several small-car models now being developed by Chery in China and work collaboratively to make any necessary branding and regulatory modifications prior to their entry into other markets. Both companies also will jointly develop new globally competitive products based on future Chery small-car platforms.
This is a win-win for both of our companies, and I am confident this will be a successful relationship. Chrysler brands are very well known in the US and Europe. We’re prepared to work with Chrysler Group to expand their small-vehicle lineup with competitive products and accelerate both our companies’ international competitiveness.—Yin Tongyue, Chery Automobile Co. Chairman and President
This is the start of a very long relationship between Chrysler and Chery. Chery’s participation in this agreement and their focus on small and sub-compact cars will have a nearly immediate effect on Chrysler Group's offerings in the small-vehicle segments. This strategic partnership is part of a new business model that is allowing us to introduce all-new products more quickly, with less capital spending.—Tom LaSorda, Chrysler Group President and CEO
Chrysler made its first foray into China 25 years ago with the formation of Beijing Jeep Corp., the first international automotive joint venture in the country.
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