Chery Automobile Co, the partner of Fiat and Chrysler, on Friday
said it sold 25 percent more vehicles in 2007, but missed its sales
target.
Sales at the company, based in the eastern city of Wuhu, grew by
24.8 percent to 381,000 units last year from 2006, it said in a
statement.
But it said the figure is less than its goal of moving 393,000
vehicles.
Chery attributed the gap to a "strategic adjustment" that saw it
take a step back from the price war in the local car market in the
fourth quarter.
The carmaker said in September it would shift its focus from
only expanding sales to stabilizing prices and improving quality,
services and brand value. It delayed the launch of some new
models.
Its 2007 sales ranked No 4 in China's passenger car sector,
trailing a tie-up between General Motors and SAIC Motor Corp, and
Volkswagen's two joint ventures with SAIC and FAW Corp.
Analysts predicted that sales of all China-made vehicles would
hit 8.7 or 8.8 million units in 2007 from 7.2 million in 2006.
Passenger car sales in 2007 are expected to exceed 5 million
units.
Chery said its overseas sales rocketed by 132 percent to 119,800
vehicles last year, surpassing its previous target of selling
100,000 units abroad. The 2007 figure also makes the company the
top car exporter in China for the past five years.
The carmaker said earlier it aimed to sell 400,000 vehicles
abroad per year by 2010, when its overall sales reach 1 million
units.
It plans to have a total of 14 plants in foreign countries by
2010 to assemble its own-brand cars as part of its push to boost
overseas sales.
The firm in August agreed to form a 50-50 venture with Fiat to
produce Chery, Fiat and Alfa Romeo cars in China with an annual
capacity of 175,000 units for both domestic and foreign
markets.
In July, Chery also sealed a deal with Chrysler to build
small-sized cars under nameplates of the Detroit-based auto group
for the US and European markets.
The Ministry of Commerce last month estimated overall vehicle
exports from China would reach 600,000 units in 2007, up from
342,000 units in 2006.
(China Daily January 5, 2008)
