Paul Tan's Automotive News » Chery

China’s Chery to set up assembly plant in Vietnam

Danny Tan — Wed, 23 May 2012 06:30:22 +0000

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.

This story originally appeared on Paul Tan's Automotive News on Sun, 27 May 12 15:36:21 +0000.

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Chery lines up two concepts for Beijing – the next Tiggo?

Danny Tan — Wed, 18 Apr 2012 01:51:29 +0000

Auto China 2012 happens in Beijing later this month, and Chery is lining up some concepts for the show. The slinky crossover you see here is called the TX, and it’s said to hint at a new model as well as a fresh design direction for the company’s next batch of vehicles. Looks good, the next Tiggo perhaps?

The small little thing is called Ant Concept, and it’s the typical urban mobility machine designed for congested cities. The Tokyo show is always full of these things, and they never come to life, so we can safely ignore the Ant.

This story originally appeared on Paul Tan's Automotive News on Sun, 27 May 12 15:36:21 +0000.

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Jaguar Land Rover and Chery seal US$2.8 bil joint venture deal to build and sell vehicles in China

Anthony Lim — Thu, 22 Mar 2012 04:40:12 +0000

Jaguar Land Rover is looking to make serious inroads in China, with the intent signaled by the finalisation of a joint venture agreement with Chery Automobile to manufacture and sell vehicles in the country.

The deal, worth 17.5 billion yuan (US$2.8 billion), is a boost for JLR’s efforts in expanding its market and reach in the No 1 auto market in the world, but it will still need regulatory approval, reports indicate. The two companies will now follow the official process to form a JV company in the country.

The joint venture concern, which will have its operations base located in eastern China, is set to build both Jaguar and Land Rover vehicles as well as planned JV-branded vehicles and engines, and will also sell the vehicles. The coperation will also see the setting up of an R&D facility.

This story originally appeared on Paul Tan's Automotive News on Sun, 27 May 12 15:36:21 +0000.

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Chery hits export targets early, Brazil is biggest market

Danny Tan — Tue, 18 Oct 2011 05:15:11 +0000

Other than Proton, who else uses ‘FL’ to mark a facelift? This is the Chery Tiggo FL!

There are so many car brands in China that only a visit to a Chinese motor show will open one’s eyes. But apart from a handful, most of these brands are unknown outside the country, or province. One of the better known ones is Chery, which is also China’s largest passenger vehicle exporter.

Chery seems to have the vision its peers don’t. The Anhui based state owned company exported 122,441 vehicles in the first nine months of 2011, up 80% year-on-year. This surge of exports has allowed the company to achieve its original 2011 target of 122,000 units three months ahead of schedule. For the whole year, Chery expects to ship 180,000 vehicles overseas.

Who’s buying their cars? Exports to emerging markets have been especially strong. Fellow BRIC country Brazil is Chery’s largest export market, followed by Russia and Ukraine. Chery plans to export to Europe after 2015.

They won’t go it alone. According to a German report from last month, Chery Quantum Auto, a 1.5 billion euro joint venture between Chery and Israel Corp, will build three compact models to be sold in China and exported to Europe, reaching the continent next year. The cars, developed by Magna Steyr, will be built at a new factory near Shanghai with an initial capacity of 150,000 units per year, rising eventually to 500k units.

The cars, designed to meet Western standards and expected to cost around RM46,700 to RM63,500, will be sold under a new brand called Qoros. Read our post on that here.

This story originally appeared on Paul Tan's Automotive News on Sun, 27 May 12 15:36:21 +0000.

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Chery and Magna Steyr join forces to penetrate Europe

Danny Tan — Tue, 27 Sep 2011 03:16:13 +0000

If you can’t do it on your own, why not get some help? Chinese carmaker Chery is planning to enter Europe with the help of Magna Steyr, which is based in Austria and builds cars such as the MINI Countryman, Peugeot RCZ and Aston Martin Rapide. They were also contract manufacturers for the first gen BMW X3 and the folding roof of the Mercedes SLK.

According to FT Deutschland, Chery Quantum Auto, a 1.5 billion euro joint venture between Chery and Israel Corp will build three compact models to be sold in China and exported to Europe, reaching the continent next year. The cars, developed by Magna Steyr, will be built at a new factory in Changshu (near Shanghai) with an initial capacity of 150,000 units per year, rising eventually to 500,000 units.

Instead of using Chery’s badge, the cars will be sold under a new brand called Qoros. The cars are designed to meet Western standards and are expected to cost around RM46.700 to RM63,500, the report adds.

On its website, Tel Aviv listed Israel Corp says Chery Quantum was created to manufacture and market a new brand of premium Western-standard vehicles. “The vehicles will meet high safety and environmental standards by combining Chery’s manufacturing capabilities with Western design, engineering and safety standards.”

The JV is also looking at alternative powertrains. Israel Corp, the country’s biggest industrial conglomerate, already owns a 30% stake in Better Place, an electric mobility firm that specialises in battery exchange centres.

This story originally appeared on Paul Tan's Automotive News on Sun, 27 May 12 15:36:21 +0000.

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Fiat CEO Marchionne warns against underestimating China

Danny Tan — Fri, 05 Aug 2011 02:52:16 +0000

In many automotive circles, whether at the mamak or in boardrooms, China is still the butt of jokes. However, underestimating Chinese carmakers may not be that wise, if one remembers that Japanese and Korean cars were once in the same position. Fiat and Chrysler CEO Sergio Marchionne is warning against that.

“If anyone deludes themselves that they can ignore China, they will pay a huge price. China’s auto industry has grown tremendously, and they have some of the most updated current technology. They should not be underestimated. We cannot afford to be unprepared for the ascent of China, reassuring ourselves of our invincibility,” Marchionne told an auto industry seminar in Michigan.

“The excuse that we did not understand or that we underestimated the scale will serve no purpose. Rather we need to continue to work to make our industrial base more competitive, because the day of reckoning is inevitably coming.”

The Italian pointed out that at present, Chinese carmakers produce almost entirely for domestic consumption, but “even assuming China were to export only 10% of what it produces, the risk we face in our home markets is enormous.”

He has reason to worry. Fiat is fighting for market leadership in fast growing Brazil, the world’s fourth largest car market and a target for the Chinese. Chery has started construction of its first factory outside of Sao Paulo and expects to churn out 50,000 vehicles a year there by end 2013. Meanwhile, Jianghuai Automobile (JAC Motors) is to invest between $600 and $900-million for its maiden Brazilian assembly plant that will start operating in 2014.

This story originally appeared on Paul Tan's Automotive News on Sun, 27 May 12 15:36:21 +0000.

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Ex-GM employee caught passing hybrid secrets to Chery

Jacob Alexander — Sat, 24 Jul 2010 10:41:18 +0000

Have you ever wondered how staff from one company can simply move to another, without revealing any trade secrets, especially when they work in a technical or engineering capacity? Isn’t that why they were hired in the first place?

Some transitions don’t happen so well, as a former General Motors engineer and her husband were recently charged with conspiring to steal trade secrets in relation to GM’s hybrid vehicles. Very much like something out of a movie, Shan Shan Du has been accused of copying thousands of GM documents to an external hard drive five days after the automaker offered her a severance agreement in January 2005.

Du and her husband Qin, are said to have been planning to pass information on GM’s hybrid tech to Chinese carmaker Chery, through a small firm they own called Millennium Technology International. Evidence supposedly extracted from a series of e-mails to the Chinese automaker also proposed a joint venture between Millennium and Chery.

The case is still in being played out in court and the likely outcome can be anything from 10 to 20 years in prison with a fine of $250,000. That should deter auto execs from diving into the espionage business.

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Chery Alado exports Eastar MPV to Thailand and Indonesia

Danny Tan — Thu, 03 Jun 2010 05:12:18 +0000

Chery Alado Automobile Sdn Bhd will start exporting the locally assembled Chery Eastar 2.0L MPV to Thailand and Indonesia, starting with 50 units to each country. By the end of 2010, Chery expects this figure to touch 500 units. Next export targets are Singapore and Brunei in 2011. The Eastar is put together at Oriental Assemblers in Johor alongside the Tiggo SUV.

The Eastar 2.0L made its debut here last month. Its 2.0-litre ACTECO engine was jointly developed by Chery and AVL of Austria, producing 134 bhp and 180 Nm. Paired to a four-speed automatic, this twin-cam unit will retire the dated 2.4-litre Mitsubishi 4G64 engine, which was an Eastar selling point that Chery Alado harped on previously. In Malaysia, the 2.0L ACTECO engine alone gets a 5-year or 200,000 km warranty (the rest of the car gets a 3-year/100,000 km warranty). It’s priced at RM79,998.

Chery has done quite well in Malaysia lately, spurred by the well received Eastar. Last year, Chery sold more than 1,800 vehicles, a 170% increase over 2008 figures. This year, they are targetting sales of over 5,000 units. The company plans to introduce three new models this year, including a compact car, to achieve that target. Looking at Chery’s range, this could possibly include the more modern looking A1 and A3 or the oddball QQ6.

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Chery Eastar now with 134hp 2.0 ACTECO engine

Paul Tan — Sat, 01 May 2010 10:37:58 +0000

The Chery Eastar has undoubtedly been one of the more successful Chinese car models here in Malaysia. It might be something to do with the fact that it’s priced way below the RM100k mark, has decent interior space inside and featured a familiar though dated 2.4 litre Mitsubishi 4G64 engine. It’s one of the bigger MPVs out there with a 2,800mm wheelbase which is just 3cm shorter than a Grandis.

The 4G64 is now being phased out in favor of Chery’s ACTECO engine which has been powering its other models. Displacement is down to 2.0 litres from 2.4 litres which means cheaper road tax, power is up from 127 horses to 134 horses at 5,750rpm, and torque is about 18Nm lower – now the car has 180Nm to use at 4,400rpm. The Mitsu engine provided 198Nm at a lower 3,000rpm point. The transmission continues to be a 4 speed auto.

Of course, with the familiar Mitsu engine gone some potential customers may start to rethink the purchase of an Eastar so this new ACTECO engine gets a 5 year or 200,000km warranty. The rest of the car gets a 3 year or 100,000km warranty. The RM79,998 Chery Eastar 2.0L’s equipment list includes automatic climate control, MP3/USB audio with steering mounted audio controls, power windows all round, twin SRS airbags, ABS brakes with EBD. If you add another RM2,000 you get leather seats.

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Chery to participate in 2010 Dakar Rally

Danny Tan — Wed, 16 Dec 2009 09:03:59 +0000

Chery has announced that it will compete in the 2010 Dakar Rally, and with that be the first Chinese automaker to participate in what’s famously known as “The World’s Toughest Race”. Next year’s Dakar will again be held in South America over the challenging terrain of Argentina and Chile. Chery acknowledges the difficulty that lies ahead – it calls the race “devil rally”!

Chery will campaign its Rely fleet of SUVs – two X5 race cars, one X5 conductor car and one H5 support car. Ningjun Lu, who has raced in Dakar five times, will lead the driver lineup. Jiang Yaoheng is the other driver with Dali Ma as the team manager. “It’s definitely stressful to attend the 2010 Dakar Rally, but X5, as a real Chinese brand, has different meaning, we have to get good scores,” said a motivated Lu.

Rely is a sub-brand created by Chery for its home market focussing on “high-end all-round commercial vehicles”. Besides Rely, Chery also has Riich (premium passenger cars) and Karry (compacts) brands under its portfolio, but just for use domestically.

The 2010 Dakar Rally will start on New Year’s Day at Buenos Aires and end on January 16 in the same city. This year, the route will measure 9000 km, with a long stint in the Atacama Desert.

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Chery unveils new Chery S18 electric car

Paul Tan — Thu, 19 Feb 2009 18:13:52 +0000

Chinese auto manufacturer Chery claims the new Chery S18 (it’s not wrong for you to see a resemblance to the Suzuki Splash) to be Chery’s first self-developed electric car, capable of hitting a top sped of 120km/h and a maximum range of 150km on a full charge. The Chery S18 uses iron-phosphate-based lithium-ion batteries which can be charged in between 4 to 6 hours, and 80% charged in half an hour.

This makes Chery the 2nd Chinese manufacturer to unveil an electric car after BYD unveiled its plug-in hybrid BYD F3DM last year. Chery also demonstrated its hybrid systems as part of the Beijing Olympics fleet. Hybrid versions of the Chery A5 with electric motors and hybrid systems developed by supplier Ricardo were used as part of transportation arrangements. Its rival BYD on the other hand, has the confidence, support and investment of Warren Buffet‘s Berkshire Hathaway.

Look after the jump for a rear shot of the S18.

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Chery sets up assembly base in Thailand

Paul Tan — Mon, 17 Nov 2008 08:03:04 +0000

Chinese automaker Chery Automobile Co Ltd signed an agreement with Thai company Thai Chery Yarnyon last Friday to assemble SKD (semi-knocked down) packs of Chery vehicles in Thailand. An initial planned capacity is 5000 vehicles annually and will include vehicles such as the Chery QQ compact car and the Chery Tiggo SUV. The output is aimed at both domestic and South East Asian regional markets.

It looks like Chery is taking a multiple-base approach for its ASEAN production centers. It also partnered up with Malaysian company Chery Alado Holdings Sdn Bhd to set up an assembly line at the Oriental Assembler Sdn Bhd’s assembly plant in Johor.

The Malaysian assembly line will also have a capacity of 5,000 units a year and will also produce the Chery Tiggo SUV together with the Chery V5 MPV (known as the Chery Eastar in Malaysia).

Chery is currently the number 1 exporter of passenger vehicles in China, with vehicles from the company making up nearly 50% of China’s vehicle exports in the first 9 months of 2008. It has exported 115,500 vehicles this year so far, and exported 119,800 units during the whole of 2007.

Source

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Chery Alado launches locally assembled 2.4 liter Chery Eastar 7-seater MPV

Paul Tan — Wed, 03 Sep 2008 07:08:39 +0000

Chery’s B240 MPV has been relaunched in Malaysia as a locally assembled car and it is now called the Chery Eastar. The locally assembled Chery Eastar MPVs will roll out of Oriental Assembler Sdn Bhd’s plant in Johor, but a new CKD plant will be up and running in Pekan, Pahang by the end of 2009.

The Pekan plant will include an investment of over RM50 million in equipment and will begin assembly of up to 100,000 Chery vehicles a year, including 10 models such as hybrids, SUVs, MPVs and executive cars.

According to Chery Alado Sdn Bhd’s chairman Tan Sri Cam Soh Thiam Hong, more details on the plant will be announced in the next two months together with its joint venture partners which may include a GLC. “Malaysia is the largest passenger car market in ASEAN and also the important link for Chery to other ASEAN countries’ market. We currently have 7 other overseas factories in countries like Russia, Iran, Egypt and Argentina and are planning to accelerate more overseas factories in the coming 2 years,” said Chinese automaker Chery Automobile Co Ltd’s president Yin Tongyao.

Chery currently exports 120,000 vehicles yearly and plans to hit 400,000 vehicles by 2010. As it is, the Malaysian plant will export 30% of its Chery Eastar production to countries such as Indonesia, Thailand, Singapore and Australia. Local sales of the MPV is expected to be between 120 to 200 units monthly.

Under the hood of the 7-seater Chery Eastar MPV is a 2.4 litre SOHC Mitsubishi long-stroke engine producing a rather sedate 127 horsepower at 5,500rpm and 198Nm of torque at 3,000rpm. This is quite a conservatively-tuned basic engine (SOHC, 9:1 compression) which does not produce much power for its displacement but should be relatively easy on maintenance. It is mated to a 4-speed automatic transmission with manual shifting. The MPV measures 4662mm long, 1820mm wide and 1590mm tall with a long 2800mm wheelbase.

The new Chery Eastar is priced at RM79,888 for the standard version and RM86,888 for the high-spec version. The standard version includes LED rear lamps, side turn indicators on the wing mirrors, all-round disc brakes, a radio cassette player with 6 speakers, manual windows and 16 inch steel wheels while the premium version adds a CD player with MP3 support, steering wheel audio controls, ABS brakes, traction control, power windows for all four doors, dual SRS airbags for the front, and 16 inch alloy wheels. Further options include 18 inch alloy wheels and an NGV kit.

The high-spec version adds It comes with 1 year free service (for the first 1,000 units sold) and a 3+2 year warranty.

Video: Chery B240 7-seater MPV

This story originally appeared on Paul Tan's Automotive News on Sun, 27 May 12 15:36:21 +0000.

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Chery A5 Hybrid for Beijing Olympics by Ricardo

Paul Tan — Wed, 06 Aug 2008 23:40:45 +0000

Click to enlarge

Chinese automaker Chery and automotive components supplier Ricardo developed these hybrid versions of the Chery A5 as part of transportation arrangements for the Beijing Olympics. The 50-unit fleet comprise of two different types of A5s. One is a start-stop “hybrid” which is basically a regular 1.6 litre petrol engine with a 5-speed manual equipped with start-stop system called the Belt Starter-Generator (BSG).

The other is what we would normally consider a hybrid vehicle. A 1.3 litre petrol engine is combined with a crank-mounted 12kW 151 volt motor. The system was fully developed by Ricardo, using an integrated hybrid control unit comprising of motor drive electronics, DC to DC converter and a high-voltage battery pack positioned behind the rear seats with minimal intrusion into the luggage area.

Ricardo claims the 1.3 litre hybrid system provides similiar peak power and torque to a 1.6 litre benchmark engine, with a 15% improvement in fuel consumption over the benchmark. In addition, the start-stop system can restart the engine within 200ms.

More images after the jump.

Click to enlarge

Click to enlarge

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Does the Proton MPV have anything to do with an upcoming Chery MPV?

Paul Tan — Wed, 28 May 2008 22:39:32 +0000

See rest of upcoming Chery MPV spyshots

Ever since initial sketches of the Proton MPV was revealed by Buletin Utama TV3, there have been readers who have noticed similarities with a disguised next generation Chery MPV that has been spotted and captured on camera in Europe. It’s only natural to start speculating. Let’s take it beyond speculation for abit shall we?

If you compare the sketch to the actual vehicle that was snapped there seems to a few similarities, with even the design of the front bumper being rather similiar.

Let us go back in time and take a look at the trail left on the internet from the short stint Proton had with Chery in the past three years.

Proton signs joint feasibility study MoU with Chery Automobile Co Ltd and Alado Corp Sdn Bhd for the evaluation of “possibilities and opportunities for, inter alia providing assembly services and distribution of vehicles of Proton and Chery brands in China, Malaysia and also in ASEAN” – Bursa Malaysia 23/05/2006
Proton extends MoU with Chery and Alado for another two months – Bursa Malaysia 01/09/2006
NST quotes Alado Corp Sdn Bhd saying Proton was in talks with Chery to produce an MPV first, and later an SUV – 28/09/2006 “Proton looks to China to make bigger cars” by Zuraimi Abdullah, NST Page 43
Proton extends MoU with Chery and Alado until 28th February 2007 – Bursa Malaysia 04/12/2006
Proton, Chery and Alado end feasibility studies, and begin evaluating findings – Bursa Malaysia 26/02/2007

If you look at the timeline of news releases, there’s only one mention of development of an MPV with Chery and it came from Alado Corp, Chery’s local assemblers and franchise holders, not from Chery or Proton. Proton’s initial announcement of an MoU stated that what was being evaluated was an assembly and marketing deal, not an engineering/co-development deal.

Another explanation could be that those sketches in Datuk Syed Zainal’s presentation were old, back from the days where Proton did have something going on with Chery, but whether it is still happening now or not is another question altogether.

So does the Proton MPV have anything to do with the new unreleased Chery MPV? There is NO reliable indication anywhere of any relation at this point of time, just some similarities in aesthetics. More updates to be posted as info becomes available.

LATEST UPDATE: I think we can put an end to the speculation going around that this new Proton MPV is the Chery MPV spotted in Europe simply because the Chery MPV is not even a Chery MPV in the first place, so 4Car and various other European publications who published the shots have got it wrong. As you can see, the vehicle has already been launched and it is actually the Landwind Fashion. So there we have it, just a little bit of research and digging up around the internet and we have an answer! The new Proton MPV has nothing to do with Chery. Thanks to Nahar ARS for the photo.

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Chery sets up ASEAN assembly base in Malaysia

Paul Tan — Mon, 21 Apr 2008 15:16:54 +0000

Chery Alado Holdings Sdn Bhd will assemble 5,000 Chery vehicles at Oriental Assembler Sdn Bhd’s assembly plant in Johor in the next 12 months beginning July 2008, with 60% intended for ASEAN export and the remainder for the local market. Chery Alado Holdings Sdn Bhd is a 50:50 joint venture between Alado Corp Sdn Bhd and China’s Chery Automobile Co Ltd.

Chery intends to make Malaysia its right hand drive production hub for the ASEAN market, and this first stage investment includes a total amount of US$12 million (RM38.5 million). According to Alado president Tan Sri Cam Soh Thiam Hong, the second phase is for export to Commonwealth countries and European right hand drive countries.

Oriental Assemblers Sdn Bhd also assembles CKD Hyundai vehicles in Malaysia. Chery vehicles to be assembled are 2 variants of the Chery B14 MPV (B200 2.0 litre and B240 2.4 litre), as well as the 2.0 litre Chery Tiggo T11 SUV (shown above). The Chery B240 and Chery Tiggo launched in Malaysia last year priced at RM132,972.20 and RM80,292 respectively are CBU units, so the new CKD units will most probably be cheaper.

Source

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Chery A6 Coupe in second half of 2008

Paul Tan — Wed, 02 Jan 2008 21:06:43 +0000

Chery’s new Chery A6 Coupe will go on sale in the second half of 2008. The front wheel drive coupe was based on the Chery A6CC Concept shown at Shanghai 2006.

It is built on Chery’s new B2 platform, and has a wheelbase of 2700mm. The original concept had a 3.0 litre V6, but for the production version three engine options are available – a 3.0-litre V6, a 2.4-litre V6, and a 2.0-litre turbocharged inline-4 engine.

Read the linked post below for more photos of the A6CC Concept.

Related Posts:
Chery A6CC Concept

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Chery B240 7-seater MPV in Malaysia

Paul Tan — Mon, 02 Jul 2007 09:08:29 +0000

UPDATE: Chery Alado launches locally assembled Chery Eastar 7-seater MPV

Alado Automobile has introduced the Chery B240 in Malaysia, another CBU fully imported model for us to consider soon after launching the Chery Tiggo earlier.

The Chery B240 is a 7-seater SUV powered by a 2.4 litre 16 valve SOHC Mitsubishi engine that makes 130 horsepower and 198Nm of torque, likely a similiar unit to the one found in the LMG Trekker, Shuttle, and Tourer. It is mated to a 4-speed gearbox with manual shifting features.

Features include a 6-CD changer audio system, a sunroof, electronic headlamp levelling, a pollen filter for the air conditioning system, dual front airbags, anti-lock disc brakes on all four wheels, electronic brake distribution as well as an option for a stability control program that comes at extra cost.

It costs RM132,972.20 including insurance. No word on how much the version with stability control costs. This 7-seater B240 and the Chery Tiggo SUV were the two models that have been previously reported to be assembled locally in Malaysia soon, perhaps at Proton’s plant using it’s excess production capacity. No word on that as far as I know, and the B240 remains a CBU import for the moment.

More photos of the Chery B240 here, and check out a video after the jump.

Related Posts:
Proton to produce MPV and SUV with Chery
Chery B240 Crossover

Video: Chery B240 7-seater MPV

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Chery and Chrysler discusses two small car projects

Paul Tan — Tue, 05 Jun 2007 19:12:14 +0000

Chery S12 to enter South American market

After a short pause because of the recent change in ownership over at Chrysler, the talks between Chery and Chrysler on their small car collaboration has resumed.

Two cars are being discussed – one is a Chery model that will be badged as a Chrysler in the US market. CKD kits of the Chery S12 will be shipped to Mexico and South America, and the kit will be assembled there for sale in those markets. The Southern American states share similar fate to South East Asia, we always get the boring stuff.

For other markets where something more premium is needed, Chrysler and Chery intends to produce a production version of the Dodge Hornet concept car in China, both engineered and manufactured at Chery’s research center and plant in Wuhu, Anhui.

Production could begin in 2010.

Source

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Chery wants to reexamine Chrysler small car deal

Paul Tan — Tue, 22 May 2007 10:54:27 +0000

Chery wants to re-examine it’s deal with Chrysler to develop Chrysler-branded small cars for numerous markets, said Zhang Li, Chery Automobile Co Ltd’s general manager. The project has been halted for the moment and awaits renegotiation of the agreement.

This is because Chrysler has recently changed hands, now belonging to private equity firm Cerberus Capital Management LP thanks to last week’s US$7.45 billion deal. Chrysler spokesperson Mary Gauthier said Chrysler’s global growth plans remains the same, and the new owners Cerberus has not changed any of those goals.

I suppose Chery just wants to play it safe and make sure Cerberus is fully aware of all details of the plan.

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Chery A6CC Concept

Paul Tan — Thu, 26 Apr 2007 18:58:32 +0000

The Chery A6CC Concept is a sports coupe designed by Bertone, and is supposed to feature an ACTECO 3.0 litre V6 engine under the hood. The other engine variant would be a turbocharged 2.0 litre, and both will have variable valve timing. Seems to be following Audi’s strategy with performance engine offerings there – a normally aspirated big displacement V6 and a smaller turbo inline-4.

I do hope they actually plan to put brake calipers on those huge brake rotors in the production version, otherwise I would think it would be very hard to get the car to stop. Kind of silly to build a concept model and have the fake brake rotors but miss out on the fake brake calipers.

More photos after the jump.

This story originally appeared on Paul Tan's Automotive News on Sun, 27 May 12 15:36:21 +0000.

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Chery Tiggo6

Paul Tan — Wed, 25 Apr 2007 03:22:53 +0000

Just like the Chery QQ’s evolution is theChery QQ6, Chery has redone their Chery Tiggo and updated it as the Chery Tiggo6. It looks more modern than the Chery Tiggo that has just reached our shores this month, and doesn’t look so much like a cross between a CR-V and a RAV4 anymore.

The Chery Tiggo6 has permanent all-wheel drive instead of a 2WD system or a 2WD-4WD-low ratio switchable system, and features Chery’s range of AVL-designed ACTECO engines including a Euro 5-compliant 1.9 litre turbodiesel. This means specs-wise, the Chery Tiggo6 is ready to take on Europe, pretty good for a company that not too long ago was just doing clones of Daewoo vehicles.

More photos after the jump.

This story originally appeared on Paul Tan's Automotive News on Sun, 27 May 12 15:36:21 +0000.

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Chery Windcloud vs Ferrari F430

Paul Tan — Mon, 23 Apr 2007 00:35:56 +0000

For a 1.6 litre Chinese-made sedan to keep up with a Ferrari F430 on the track could only mean there is some huge difference between driving ability of the two drivers biased to the driver of the Chery, but let’s just have a look at this video anyway.

Video: Chery Windcloud vs Ferrari F430

This story originally appeared on Paul Tan's Automotive News on Sun, 27 May 12 15:36:21 +0000.

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Chery T11 Tiggo for RM80,292

Paul Tan — Sun, 22 Apr 2007 18:01:11 +0000

The Chery T11 Tiggo is now available in Malaysia for a sum of RM80,292. While it looks much like a combination of the second generation Toyota RAV4 rear and the 2nd gen Honda CR-V and Naza Sorento’s front, the chassis is not carried from either vehicles.

Chery’s local distributor Alado says the T11 Tiggo sold here is powered by a Mitsubishi-based engine, but I did some research online and was confused by what I found. The Chery T11 Tiggo is available in other markets with two 2.0 litre engine options – one is a 1,997cc Mitsubishi 4G63 engine making 123 horsepower and 170Nm of torque. The other is powered by a Chery-designed ACTECO engine codenamed SQR484F which was developed by Austrian firm AVL. [Source] This engine family has also been commissioned by other automakers like Fiat, which will use the 1.6 litre and 1.8 litre ACTECO engines in it’s China-produced cars.

The Chery ACTECO SQR484F is a 1,971cc DOHC engine with a 10.2:1 compression ratio and produces 129 horsepower at 5,750rpm and 180Nm of torque at 4,000rpm, which matches the specs Alado quoted for our local Tiggo. [Source] In the Chery T11 Tiggo’s application, the engine is only available with a 5-speed manual at the moment.

Some basic specs – 5 seats, 2WD drivetrain, 3-spoke steering wheel, dual SRS airbags, CD player, heated front seats, antilock brakes, electronic brake distribution, and power steering. The rear hatch is of the side-hinged design, which Honda recently abandoned with the new 3rd generation Honda CR-V.

At RM80k, the Chery T11 Tiggo is a reasonably attractive SUV that manages to keep the price down with equipment levels that are only the necessities – not many people require 4WD. I’m not quite sure at this point whether the Tiggo is a CBU import or locally assembled. There was previously talk about having the Tiggo assembled at either Oriental Assemblers in Johor or at one of Proton’s plants – but I am not sure if this has happened or not.

This story originally appeared on Paul Tan's Automotive News on Sun, 27 May 12 15:36:21 +0000.

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Proton and Chery CKD operations to begin mid-2007

Paul Tan — Mon, 15 Jan 2007 20:20:43 +0000

Tan Sri Cam Soh, group executive chairman of Chery’s local partner Alado Corporation Sdn Bhd says Proton and Chery are expected to start their CKD program by mid-2007. The CKD program will involve Proton assembling Chery vehicles in Malaysia using Proton’s Shah Alam assembly facilities. The models in question are the Chery B14 MPV and the Chery Tiggo T11 SUV. It is said that Chery wants to make Malaysia it’s right hand drive market assembly and export center. A similar agreement is working well between Naza and Hafei, with Naza handling the right hand market for the Hafei Lobo with it’s reengineered Naza Sutera.

Proton’s agreement with Chery and Alado was previously extended in December 2006 to 28th February 2007. There is another agreement, one between Proton and Mitsubishi, that is set to expire on 2nd February 2007. We should know the outcome of that particular agreement soon. Look at the related posts for more information on the two Chery models to be assembled in Malaysia.

This story originally appeared on Paul Tan's Automotive News on Sun, 27 May 12 15:36:21 +0000.

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Chrysler and Chery sign small car letter of intent

Paul Tan — Wed, 03 Jan 2007 17:39:28 +0000

After news of talks between Chrysler and Chery surfaced in May last year, Chrysler group CEO Tom LaSorda has finally signed a letter of intent with Chery Automobile Co to develop a small car for the group, but this is pending approval by DaimlerChrysler supervisory board, which will meet this month to discuss the matter. Other partners which were considered were Mitsubishi Motors Corp, and Hyundai Motor Co Ltd, but it is Chery who managed to clinch the deal in the end.

The collaboration is expected to be approved by the DCX board, and manufacturing will soon begin, according to Chrysler spokesman Jason Vines. It is not known for now Which badge under the Chrysler group will appear on the grille of this new small B-segment car, but the logical choice would be Dodge, the group’s value brand. Chrysler previously exhibited a concept small car, the Dodge Hornet, an aggressive-looking muscular small car, but the new compact from the Chery-Chrysler collaboration will not be the Dodge Hornet.

The car is expected to be built in China, as Chrysler says it cannot profitably produce a small car in the US. Chrysler has been in talks with Chery for nearly a year before this agreement was reached. More details will be released in a month’s time or earlier. The new small car will compete against the Toyota Yaris, Chevrolet Aveo, Honda Fit and Nissan Versa in the United States. It will also be sold in Canada, Mexico, Europe and possibly China. While this is a start for Chery’s involvement in the US market, but it is still keen to export it’s own cars under it’s own brand to the US as the small car will not be Chery-branded.

2006 was not a good year at all for Chrysler dealers in the US. The company kept cranking out minivans, medium to big cars and SUVs throughout the whole summer despite warnings and suggestions by dealers against the move. Chrysler just went on and on with overoptimism fueled by the success of the Chrysler 300. Despite employee pricing sales incentives and other promotions, dealers choked on inventory and floorplan bills skyrocketed with dipping sales. The Chrysler group posted a US$1.48 billion loss in the third quarter 2006. Will this new small car give Chrysler and it’s dealers a much needed boost? And even if so, what is Chrysler going to do with it’s sales bank of unsold cars? Instead of slowing down production when demand dropped, production was kept at full capacity, and now unsold Chrysler cars are just lying around in storage areas. Sound familiar?

Check after the jump for an interview with Tom LaSorda.

Related Posts:
2006 Dodge Hornet Concept
Dodge Attitude

Interview wih Tom LaSorda

Chrysler Group President and Chief Executive Officer Tom LaSorda spoke with TheFirehouse about the deal reached with Chery Automobile Co. of China to distribute Chery-made small cars in North America and other markets.

“If you look at the U.S. market, or even in NAFTA, all the B-segment vehicles are being imported from the Asia region. The major reason is their cost structure and their ability to engineer and design in those segments. And we really cannot compete, nor can any one else, making it in this region,” he said.

Question â€“ Why partner with Chery, or any Chinese car company for that matter, instead of building the car here in North America or at a DaimlerChrysler plant in China?
Tom â€“ “Well, first of all, we’re talking about a B-segment, which is a very small compact car, and if you look at the U.S. market or even in NAFTA, all the B-segment vehicles are being imported from the Asia region. The major reason is their cost structure and their ability to engineer and design in those segments. And we really cannot compete nor can anyone making it in this region.”

Q â€“ This being an election year, will this be used as a political statement about more jobs going to China?

Tom â€“ “Well, first of all, I can’t control what people say politically. What I can control is the fact that we are already exporting cars into China â€“ the Chrysler Group. We’re also producing locally the 300, the minivan into China, and most people don’t know that we’re exporting a large percentage of the componetries of these cars â€“ the engines, the transmissions and major high-cost parts that are made by Americans and Canadians primarily â€“ are being shipped over to these markets for us in China. I tell you, there are a lot of jobs being preserved by our growth in China and our exports there. And this (the Chery deal) will have no impact because we’re not even involved in the B-segment today.”

Q â€“ Can China build a quality car that will satisfy North American consumers?
Tom â€“ “Well, absolutely, and our role here is to ensure that our engineering and design and quality teams are working with Chery along the way to meet the stringent standards, not only in North America but around the world. And that teamwork will continue throughout this project.”

Q â€“ Will this car mean the death of the Hornet, the muscular small car concept that we saw at the Geneva auto show this year?

Tom â€“ “The Hornet is a great statement of our design. It is also a statement that it’s something that we’re going to continue to take a look at, and depending on the business case going, we’ll look at that independently from this particular project.”

Q â€“ How will this help the Chrysler Group’s attempts here in the United States to shift some of the mix away from pickup trucks, minivans and SUVs with gas prices high right now?

Tom â€“ “Well, the consumers are, quite frankly, just looking for choice, and the fact that the Chrysler Group doesn’t even play in this segment, it’s very important that we do. This is important for our growth here, but not only here in the NAFTA region – and I’m talking Canada, Mexico and the United States – but the European markets and other growth areas, where the growth is going. We need to follow with a cross-section of great cars and trucks across our whole portfolio. That’s why we need this in this region as well. Our attempt here will help us in this region because the gas mileage of this car will be exceptionally good and we’re looking forward to this coming in to help us as this segment is growing in this region and we just need to play a part.”

Interview Source: Chrysler’s TheFirehouse Blog

This story originally appeared on Paul Tan's Automotive News on Sun, 27 May 12 15:36:21 +0000.

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Chery recalls 1,875 Chery T11 Tiggo SUVs

Paul Tan — Tue, 26 Dec 2006 09:48:18 +0000

Chery Automobile Co. Ltd has shown signs of being a responsible car manufacturer that intends to stick around, rather than taking the “make fast profits and ignore issues like brand building and after sales support” approach that many others have adopted with their shitty deathtraps.

A recall notice has been issued for the Chery T11 Tiggo SUV, a unique visual blend of the 2nd generation Toyota RAV4 and the 2nd generation Honda CR-V which uses Mitsubishi 2.0 and 2.4 litre engines. The recall affects 1,875 of the Chery Tiggo SUVs with automatic transmissions, of which 80 are for the export market. The faulty component involves a fan controller which needs to be repaired. The faulty fan controller might cause engine failure, likely due to overheating.

Related Posts:
Chery Tiggo (Chery T11) coming to Malaysia

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No more Chery Visionary Vehicles for the US?

Paul Tan — Tue, 05 Dec 2006 01:31:37 +0000

Malcolm Bricklin, who wanted to bring in Chery vehicles into the USA via his company Visionary Vehicles has abandoned his plan, some say because of the news of Daimler Chrysler talking to Chery to produce a small car for them – i.e.: the Dodge Hornet. But the actual story was Chery and Bricklin could not come to an agreement of how to use a US$200 million seed by billionaire George Soros. Malcolm Bricklin has been known to be the one who is daring enough to bring foreign auto brands into the US, some of his better stories have been Subaru, and his worst is likely Yugo.

However, Chery officials have said it still has plans to enter the US market, and Chery suppliers have confirmed that Chery is talking with several potential investors about developing and selling a Chery-branded car in the United States (which isn’t exactly what Mr. Bricklin intended – he wants the cars to be badged Visionary Vehicles), though an agreement is not likely to be reached anytime soon.

Shown above is Chery’s recent Chery A3 concept car, with one more photo of it after the jump.

Source

This story originally appeared on Paul Tan's Automotive News on Sun, 27 May 12 15:36:21 +0000.

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Fiat to use Chery’s AVL-designed ACTECO engines

Paul Tan — Sat, 11 Nov 2006 01:55:45 +0000

Fiat and Chery have signed a Memorandum of Understanding that will result in Fiat using Chery’s ACTECO family of engines in it’s China-produced cars, with a possibility of the ACTECO engines finding it’s way in Italian models like the Bravo.

The deal involves Chery’s 1.6 litre and 1.8 litre ACTECO engines, though the ACTECO family has a wide range of displacements and configurations, from a tiny 0.8 litre to a huge 4.0 litre V8.

The ACTECO family of engines was developed by AVL, an Austrian-based automotive consulting firm. Despite the negative stigma surrounding China products, the ACTECO family of engines is actually quite modern, incorporating aluminium alloy cylinder blocks/heads and direct fuel injection, complying with Euro IV emission standards.

Pictured on the left is the ACTECO 1.8 litre DOHC turbocharged engine. With a bore of 81mm and a stroke of 87.2mm, the long stroke turbocharged engine makes 180 horsepower at 5,750rpm and a very healthy 250Nm of torque at 4,300rpm.

Source

Related Posts:
Chery and Fiat in talks

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Chery and Fiat in talks

Paul Tan — Tue, 31 Oct 2006 05:14:48 +0000

Chery Automobile’s latest ally to be in the automotive industry might just be Fiat. Fiat has an existing alliance with a Chinese auto manufacturer – Nanjing Automobile Group, but that partnership has been far from profitable so far. One option being discussed would be Chery making cars using Fiat technologies and selling them.

That sounds wonderful, give Chery access to your technology Fiat, and perhaps the next Chery QQ will look like a Fiat Punto.

Source

This story originally appeared on Paul Tan's Automotive News on Sun, 27 May 12 15:36:21 +0000.

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