tigerhonaker
09-25-2006, 07:15 PM
Published: September 25. 2006 3:00AM
Auto news
DCX, Chery in talks to sell in U.S.
September 25, 2006
BY JOHN LIPPERT and
JEREMY VAN LOON
BLOOMBERG
DaimlerChrysler AG, the first foreign carmaker in China, is in talks with government-owned Chery Automobile Co. to sell Chinese-built subcompact cars in the United States and Europe, a person familiar with the negotiations said.
DaimlerChrysler, based in Stuttgart, Germany, is seeking to broaden its line of inexpensive fuel-efficient cars as sales of its SUVs and pickups drop because of high gas prices.
Chief Executive Dieter Zetsche is cutting production of vehicles in the United States in the face of a projected $1.5-billion third-quarter loss at Chrysler. DaimlerChrysler would join Honda Motor Co., Japan's third-largest carmaker, in exporting vehicles from China.
DaimlerChrysler first said last year it may export Chinese-made cars in order to cut its labor costs, as the company then estimated pay for Chinese workers was one-18th those of U.S. workers.
Chery, based in eastern China's Wuhu city, is aiming to sell more than 300,000 vehicles this year, exporting 10% of its production and selling 281,000 units domestically. Chery's vice president, Jin Yibo, and president Yin Tongyao could not be reached Sunday for comments.
Germany's Der Spiegel magazine reported Saturday that DaimlerChrysler is close to reaching an agreement to sell Chery-built automobiles in the United States. DaimlerChrysler may later develop and produce cars with Chery, according to Der Spiegel.
http://www.freep.com/apps/pbcs.dll/article?AID=/20060925/BUSINESS01/609250455
Auto news
DCX, Chery in talks to sell in U.S.
September 25, 2006
BY JOHN LIPPERT and
JEREMY VAN LOON
BLOOMBERG
DaimlerChrysler AG, the first foreign carmaker in China, is in talks with government-owned Chery Automobile Co. to sell Chinese-built subcompact cars in the United States and Europe, a person familiar with the negotiations said.
DaimlerChrysler, based in Stuttgart, Germany, is seeking to broaden its line of inexpensive fuel-efficient cars as sales of its SUVs and pickups drop because of high gas prices.
Chief Executive Dieter Zetsche is cutting production of vehicles in the United States in the face of a projected $1.5-billion third-quarter loss at Chrysler. DaimlerChrysler would join Honda Motor Co., Japan's third-largest carmaker, in exporting vehicles from China.
DaimlerChrysler first said last year it may export Chinese-made cars in order to cut its labor costs, as the company then estimated pay for Chinese workers was one-18th those of U.S. workers.
Chery, based in eastern China's Wuhu city, is aiming to sell more than 300,000 vehicles this year, exporting 10% of its production and selling 281,000 units domestically. Chery's vice president, Jin Yibo, and president Yin Tongyao could not be reached Sunday for comments.
Germany's Der Spiegel magazine reported Saturday that DaimlerChrysler is close to reaching an agreement to sell Chery-built automobiles in the United States. DaimlerChrysler may later develop and produce cars with Chery, according to Der Spiegel.
http://www.freep.com/apps/pbcs.dll/article?AID=/20060925/BUSINESS01/609250455