OREANDA-NEWS. October 19, 2012. In October 2012, Chery-JLR JV project was officially approved by the Chinese government. Early in March 2012, Chery and JLR made a joint announcement on establishing a joint venture in China with an equal 50% stake. According to the plan, the joint venture will establish a vehicle plant, an engine plant and an R & D center in Changshu, Jiangsu province, to manufacture JLR vehicles and JV brand vehicles and engines, and to sell JV-manufactured products.

 According to industry insiders, by virtue of JLR’s brand influence and management experience as well as Chery’s accumulation in such aspects as technology, R & D and market, the project will yield good benefits for both sides. Besides, Chery’s broad sales channels in China’s small and medium cities will make up JLR’s channel gap to achieve its strategic goal in China as soon as possible. To this, Ralf Speth, CEO of JLR, said, “The joint venture will create a thrilling outlook for both Chery and JLR to stimulate huge market potential.” Yin Tongyue, chairman and president of Chery said, “We aim to give play to respective advantages in such aspects as brand shaping, product R & D, technological innovation, manufacturing process and indigenous market resources, to deliver the most advanced, efficient and cutting-edge products.” After the establishment of the joint venture, Land Rover technologies will be applied to Chery products to enhance Chery’s quality and brand, and will have positive impact on Chery’s overseas operations.