Chery has signed an agreement with a Vietnamese company to assemble and sell vehicles in the ASEAN country, the Chinese car company revealed, although no further details were furnished.
The Vietnam plant will become Chery’s 17th CKD plant outside of China, but they won’t be the first Chinese carmaker setting up shop in the fast growing country – Great Wall Motor and Chongqing Lifan Industry (Group) Co already have CKD plants in Vietnam.
Global giants Toyota, Ford and GM, as well as Suzuki, already assemble vehicles in Vietnam, which has a population of 90 million people and a per capita GDP of $1,200, according to Chery.
Chery has been rather active, and fast growing. The Anhui-based state owned company saw strong export performance in 2011, and their next target is Europe. Back home, it recently struck a US$2.8 billion deal to build both Jaguar and Land Rover vehicles in China, for the Chinese market.
Looking to sell your car? Sell it with Carro.
Wow, our NAP works really well. First Thailand, then Indonesia and now Vietnam are benefiting from it.
Well done! Keep up the good work, Gomen.
What part in NAP that hinder manufacturer to built here?….all country u mention have pop of more than 60 million
Well then, by your logic, we Malaysian should reproduce more. It will help the sales of cars.
Another good news then. Lets multiply and buy more cars!
cheaper labour maybe
Ya, cheaper labour cost, cheaper land, etc. Its logic bro. Even if u yourself want to branch out internationally (imagine u r having a big manufacturing business la) of course you would choose a country that gives u lower cost to run your factory.
by following ur logic, singapore’s COE must be really great also. tell me how much assembly plant are there in singapore? kahkahkah.
Pooodah.lah u…don’t compare w Spore, we r not in the same league as that country…Our currency with Spore is MYR2.40 to SGD1.00…when we split w Spore many eons ago…the rate ws MYR0.90 to SGD1.00.
forex has nothing to do with manufacturers deciding to setup assembly plant. sorry lah.
Why they did not use Alado factory in Malaysia?….
What to Malaysia???
We have peugeot, vw, subaru, proton and perodua
They are only 12 years in production. Younger than our P1 and P2. And they are already become fast growing automotive manufacturer. What went wrong with us?
Money n market size…
maybe we can add…corruption, stupid politic attitude and too much greed.
Why not compare to Hyundai…..Korea is a small market but now its top 5 in the world…where is proton?…masih main di kampung…with tongkat…
Probably they’re entering this market and making cars there due to which Vietnam’s driving side is on the left which is similar to China which is the origin of Chery, so the tech transfer to the factory in Vietnam will not cost much I assume.
If they’re still interested in producing RHD cars then probably the cost is lower there, obviously lower than in Malaysia or even Thailand.
With the implement of the minimum wage soon, obviously Chery will try to avoid Malaysia.
Market size there is probably will be big due to the fact that Vietnam’s population is close to 90 million as stated in the article.
How many of you want more and more and factory in Malaysia, want more pollution is it?
Better off with financial centre or businesses that doesn’t pollute the environment, Lynas also dont want, then don’t you think car plant wont give out a little bit radiation or pollution?
What’s wrong with us? Nothing is really wrong…
Intel is moving their plant there as well…imagine paying RM 2,200 for a Malaysian to do the job in Pg or a Vietnamese plant with USD 100 per month wages.
?
Dr M , the father of Thailand, then Indonesia and now Vietnam car industry.
Wow! why Chery looks beautiful now? :P
Are they still using Suzuki technology. I lost track. No, I never paid attention :P
whoah! a far cry from the horrendous QQ