Chery: Strategic alliances with high-tech companies, exporting 500,000 units by 2025
Sales exceeded 500K units in Jan-July, top Chinese auto exporter for 18th year in row
Chery Holding Group Co., Ltd. (Chery Holding) is a diversified business group (unlisted as of July 2021), mainly engaged in the automotive industrial chain. Its business fields include automobiles, parts, finance, real estate, services, and intelligent connectivity, and its subsidiaries include Chery Automobile Co., Ltd. (Chery Automobile), Chery Commercial Vehicle (Anhui) Co., Ltd. (Chery Commercial Vehicle), Chery New Energy Automotive Co., Ltd. (Chery New Energy), Chery Jaguar Land Rover Automotive Co., Ltd. (Chery JLR), and Wuhu Lion Automotive Technologies Co., Ltd. (Lion Tech), which is engaged in intelligent connected businesses. At the end of 2019, Chery Holding increased its capital equity and became a non-state-owned holding company.
Chery Holding's cumulative sales volume in the first half of 2021 increased by 80.4% year-over-year (y/y) to 424,457 units. Of this total, exports increased 168.4% y/y to 118,743 units, and sales of New Energy Vehicles (NEVs) increased 243.9% y/y to 40,401 units.
Currently, Chery Holding has four major passenger car brands: Chery, Exeed, Jetour, and Cowin. In addition, Chery JLR, a joint venture with the Tata Group, manufactures and sells Jaguar and Land Rover brand vehicles. Commercial vehicles are sold under the Karry, Wanda, and REV brands.
Chery is learning from Toyota and Tesla during its "14th Five-Year Plan" (2021-2025) to solidify its development direction with regards to intelligentization and NEVs. In addition to consolidating the superiority of conventional core technologies such as gasoline engines, the company will also accelerate the construction of the "New Four Modernizations" (CASE) technologies such as electrification and intelligentization. Moreover, since the end of 2020, Chery has formed strategic alliances with high-tech companies such as Huawei Technologies Co., Ltd., Alibaba Group Holding Limited, iFLYTEK Co., Ltd., and Horizon Robotics.
Regarding internationalization, Chery has been the top exporter of passenger cars in China for 18 consecutive years. The company has its headquarters in Wuhu, Anhui Province, R&D bases in Shanghai, Europe, North America, the Middle East, and Brazil, 10 overseas production plants, and a service network of more than 1,500 overseas dealers. The company’s products have been exported to more than 80 countries and regions around the world, and the total number of overseas users has reached 1.8 million. From 2020, the company has been accelerating its globalization, including the establishment of a globally unified R&D and sales service system, and localized operations in global markets. Chery Holding exported 114,000 units in 2020 and expects to export 300,000 units in 2021, and is targeting to export 500,000 units by 2025.
2021 H1 China market: New vehicle sales up to 12.88 million units, NEVs reach 1.21 million units (Aug. 2021)
Chinese market Q2 2021 (1) : Activities of China's state- and privately-owned OEMs (Jul. 2021)
Auto Shanghai 2021: BAIC, Changan, GAC, Chery (May 2021)
Chinese market Q1 2021: NEV sales exceed 500,000 units, Chinese OEMs accelerate CASE (May 2021)
Chery: Aiming for annual sales of 200,000 new energy vehicles, 1 million total units by 2020 (Sep. 2017)