Chery Stalls With Another Foreign Partner

Chery Automobile said it has delayed a planned joint venture with Fiat because of the global downturn in car sales.

Chery CEO Yin Tongyao told reporters, "We have slowed down the JV project with Fiat and production will not start this year as previously planned, but we have not shelved the project."
Late last year, Chery and Chrysler officially parted ways on a proposed deal under which Chery was to supply affordable small cars to Chrysler in North America and other markets.
Now, Chrysler has proposed an alliance with Fiat, in which the Italian automaker will take an initial stake of 35 percent and will supply Chrysler with small cars and engines.
Fiat reportedly has pulled out of the Shanghai auto show, too.

Write By : Hu Lei

2009 Chery Riich G6

Chery Automobile unveiled two new high-end sub-brands in the run-up to the 2009 Shanghai Auto Show, part of the carmaker's plan to boost profitability and expand into overseas markets.
One of China's larger automakers, Chery added the Riich and Rely brands to its portfolio. The Riich badge will be used on more luxurious models, including the new G6 sedan. Chery said at least five models are planned under the Riich brand, including a sporty coupe and three compacts.

The Rely name will be used mainly on sport-utility vehicles and multipurpose vehicles.
Introducing the high-end models represents Chery's efforts to enter the higher market segments. It also paves the way for the automaker to drive into overseas markets as competition in the domestic market stiffens.

Chery aims to boost its total sales by 17 percent to 419,000 units this year, including 263,000 sold in China and 156,000 for export.

The first model, the Riich G6, rolled off the assembly line at a plant in Wuhu on Wednesday. Equipped with a 192-horsepower 3.0-liter V6 or a turbocharged 168-hp 2.0-liter four-cylinder engine, Chery said the car would be on par with the Audi A6L, the most popular business sedan in China.

"The (G6) will play a major role in expanding into the mid-to-high-class segment and compete with premier cars made by foreign rivals," Chery said in a statement.
The self-developed Riich G6 will sell between $26,000 and $32,000. It features double-wishbone suspension with adjustable shocks, bi-xenon headlamps, LED taillamps, a rearview back-up camera, power seats and more.
Chery said the Riich G-series will be followed by M-, X- and Z-series models.