Jeremiah 29:11

Dodge made in China? Now that is scary. I guess it will be cheaper to make the Challenger in China some day.


China-made Chryslers by 2010

The first cars made by Chery could hit North America, Europe and other major automotive markets within three years.


July 4 2007: 8:50 AM EDT
BEIJING (Reuters) -- The first made-in-China Chrysler cars, built by local partner Chery Automobile Co., could reach the United States or Europe within 30 months, as ambitious Chinese rivals race to penetrate the world's big auto markets.

Ten-year old Chery, Geely Automobile and Brilliance China Automotive Holdings already export to developing markets, but have had little success in mature markets where competition is more intense.

The two partners will develop, manufacture and distribute Chery-made small and sub-compact cars in North America, Europe and other major automotive markets under Chrysler brands.

The first exports will be a Dodge model, but will not be to the U.S. or Europe.

"The first product within one year, and then into the United States and Western Europe within two to three years," Chrysler Group Chief Executive Tom LaSorda told reporters Wednesday at a ceremony marking the strategic alliance.

Chrysler needs a partner to help develop small cars because of the cost of designing, making and marketing a vehicle in a segment where prices and margins are small, analysts said.

"I would say there are endless possibilities," said LaSorda. "We are looking at multiple approaches," adding that volumes could be "maybe 50,000 or 100,000 and maybe more" depending on the region.

But like the Koreans and Japanese before them, the price advantage enjoyed by Chinese exporters is offset by poor quality, outdated design and the lack of brand recognition.

Quality matters
A Brilliance unit said last week the failure of its BS6 sedan to pass a crash test in Germany was only a temporary setback and it still expected to sell 158,000 cars in Europe over the next five years.

Jiangling Motors Group's sport utility vehicle Landwind failed the same test in 2005, fueling doubts about the reliability of Chinese-made vehicles.

China, the world's second-largest auto market, last year became a net vehicle exporter for the first time, but sales were mostly to South Asia, Africa and the Middle East.

The Chrysler-Chery tie-up was first announced last year but was delayed due to the sale of Chrysler by parent DaimlerChrysler AG (Charts) to Cerberus Capital Management.

Chery, a medium-sized auto company based in eastern China, has posted fast sales growth at home by offering a line-up of inexpensive vehicles, but must convince European and American consumers it can build safe vehicles.

"Quality and safety are our main concerns," said Yin Tongyao, Chery's chief executive.

With the Chery deal, Chrysler sees its sales outside North America doubling over the next four to five years, as it branches out from the NAFTA region, its home market.

That development path has helped many local automakers expand rapidly to where they now account for around a quarter of China's car sales - a market that roared ahead at 30 percent last year - and could capture a 40 percent share within four years.

Price will continue to be a key selling point for Chinese automakers.

Zhongxing Automobile is planning to export 50,000 pickups and SUVs to Mexico this year as a springboard to break into the U.S. market within two years. The vehicles will on average be a fifth cheaper than comparably equipped brand-name competitors.

RLSH700

Cereberus can take those Chery cars and...Use your imagination. Get it in your heads executives at Chrysler, I want a Chrysler not a Mercedes, not a Mitsubishi, not a Hyundai, and most certainly not a Chery. If they think that for one second that the kings of pirating won't steal their technology, there in for a BIG surprise.

Jeremiah 29:11

You are right about the stealing of technology. There is something about the culture that does not bother them when they copy something.

I do not understand what it is. I know that CD's, DVD's, electronic technology, etc. are all getting copied. Even Microsoft has had issues with Windows XP
getting copied.


Anybody have any explanations?

RLSH700

It isn't just technology either over there. I remember reading in class that pirating issues with children's toys is also an issue. China has a severe issue with ethics.

I'm confused by what you are asking. Could you further elaborate on what you do not understand?

Jeremiah 29:11

Why do have lack ethics? What is it about their culture that makes them that way?

sirmagnum

Jeremiah, you bring up a great question, and I think it is because they are guided by ethics embedded in Confucianism instead of Judeo-Christian. In a fascinating article published in 1999, George T. Haley, Director of the Marketing and International Business Programs at the University of New Haven had this to say, "Confucianism moral and religious system of China. Its origins go back to the Analects the sayings attributed to Confucius, and to ancient commentaries, including that of Mencius.," he said "promulgates high ethical standards," but, "they are contextual - that is, they depend upon the relationship of the parties in question. Without one of Confucianism's five relationships existing between two parties, no ethical duty exists for either party." ...there is more info on this topic at http://www.thefreelibrary.com/Chines...ess-a054723331

Jeremiah 29:11

So without a personal relationship, they will rip you off and you get shafted.

Wow, that sounds like a great place to expand my US company to.

tdub2112

Guy's this a dodge challenger site if you want to babble about religion take it somewhere else for heck's sake![:@]

sirmagnum

TDUB, appreciate your input. I believe this is one of the reasons our administrator/moderator added a thread known as "off topic". If you check some of the other posts in this thread, you will see some pretty dynamic and interesting discussions. The great part about this particular forum is that anyone can choose to bypass this thread and disregard the topics altogether, or choose to engage if it is of interest.

RLSH700

This is one of many reasons why there is an off topic section. As that religion is currently considered acceptable to discuss as it is not violating the rules, we are allowed to discuss it. If you do not enjoy religious topics, you don't have to read those threads nor have to comment either if you don't want to. Some members have very deep faith and feel that it is important to discuss about it as it is defended in the Bill of Rights. The point of bring up the religious point in this thread is it is relivant to the topic. The contrast between the two cultures is based in religious differences on what is moral which can influence what is and isn't ethical.

Anyways back to the topic, sirmagnum, that is a very interesting point about confucianism. Thank you for that point.