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China automotive trade breach

Laibao SR-V

The European Commission is threathening legal action against China for discrimination against European car companies, with their latest decision to revise tax tariffs for car parts which indirectly forces companies to source components from Chinese producers.

China has reclassified car parts as ‘fully finished cars’, something like CBU, which carries a 34% tax, double from the previous rate. Because parts are expensive to bring in now, in order to be economically competitive manufacturers have to source parts from Chinese producers to avoid the high tax.

The problem is foreign car manufacturers are not allowed to setup their own businesses in China. They must partner up with an existing Chinese company, forced to accept minority shareholding. Allowing a Chinese company access to all your designs would only result in one thing, vehicle piracy!

Source

Related blog posts:

China Pirates

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BYD Auto F3

It’s amazing what mainland China can come up with these days. Have a look at this sedan - the BYD Auto F3. It’s a B-class sedan weighing about 1200kg.


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Jiangling Landwind X6 Crash Test by TUV

This is TUV’s crash test video of the Jiangling Landwind X6. Bear in mind this is after Jiangling had made some adjustments to the SUV, and this test was conducted at a lower speed of 54km/h instead of 64km/h. Still looks like a disaster to me, although TUV says all’s good and the SUV passes. I wonder why Jiangling wants to sue ADAC?

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Jiangling Landwind X6 Crash Test - Passenger Cabin

Jiangling Motors Corporations Landwind X6 four wheel drive crash test video as recorded by Germany’s ADAC which conducts tests for Euro NCAP safety standards.

This video was recorded inside the passenger cabin.

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Jiangling Landwind X6 Crash Test - Outside View

Jiangling Motors Corporations Landwind X6 four wheel drive crash test video as recorded by Germany’s ADAC which conducts tests for Euro NCAP safety standards.

This video was recorded from a side profile view of the crash test.

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Jiangling Landwind X6 gets zero in crash test

This is the Jiangling Motors Corporation’s Landwind X6 four wheel drive which was recently shown at the Shanghai Motor Show.


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Visionary Vehicles to bring Chery to USA

vvlogo.gifI previously blogged about China Pirates, where Chinese automobile makers were ripping off Japanese and other automobile manufacturers blatantly. Inside China they are virtually invulnerable. They rip off without a second thought, with the worst of worst case being the Chery QQ, a 100% copy of the Chevy Spark.

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Dadi SUV and Pick-ups in Malaysia

LM Star Autoworld will be manufacturing a Chinese brand called Dadi here in Malaysia. There will be three models distributed here in Malaysia. Two SUVs which are the Dadi Shuttle and Dadi Tourer, and a pick-up truck called the Dadi Trekker.


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Hafei Lobo 1.1

There are rumours going around that the Hafei Lobo will be coming to Malaysia soon.


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Rover sold to Nanjing Automobile

The bid for Rover finally goes to Nanjing Automobile after a three-month battle by three companies, of which two are Chinese.

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