Chrysler Plans Cooperation in China.docVIP

Chrysler Plans Cooperation in China 　　 　　 Fiat-Chrysler is reported to be talking with Guangzhou Automobile Group(hereafter Guangzhou Auto for short) about founding a joint venture to introduce the production line of Jeep into China. 　　Fiat has already been a partner for Guangzhou Auto and will localize the production of a new kind of compact auto in China. This new kind of auto is built on the same platform with the 2013 version of Dodge Dart sedan. Mike Manley, director of Fiat-Chrysler Asian Business, said that this unnamed compact car would be launched in the Beijing Auto Fair in April. 　　Manley said that China would provide great opportunities for Fiat-Chrysler, but he added that the alliance should make more efforts to realize the sales goal which was established in 2009. 　　Manley said: “In order to finish our grand sales goal by 2014 and 2015, the Chinese market will play an important role. China is also one of the most competitive markets in the world and we are actually late in this market.” 　　Actually, Jeep was the first western auto brand that got into the Chinese market. In 1984, American Motors Corp, current owner of Jeep, founded the first auto-making joint venture with a Chinese local auto company to produce Cherokee. However, after Chrysler acquired American Motors Corp in 1987, this project was shut down. 　　 In spite of that, the Jeep brand was still available in China. According to the statistical data, the Jeep brand saw the sales increase from 12364 units in 2010 to 22294 units in 2011. But these cars were made in other countries. The tariffs and transportation cost upheaved the price, which is a negative factor for the price-sensitive Chinese market. 　　It is known that Guangzhou Auto has a lot of experiences of working with foreign automakers. It has already set up several join ventures with Japan-based Honda and France-based Peugeot. 　　Fiat built partnership with Guangzhou Auto in 2009 and they planned to produce the new type of au