Chery Auto Breaks Ground on Dalian Plant
Holding a grand ground breaking ceremony in Dalian, Chery declared the start of construction of its RMB 4.7 billion production base in the city on 28 Sept. Covering an area of 1.2km², the investment of the first-phase project is two billion Yuan, and construction is expected to be completed by the end of 2011. According to planning, the new facility, mainly producing passenger vehicles, will have an annual production capacity of 200,000 units, and is expected to reach this capacity in 2015. Mr. Yin Tongyue, President and General Manager of Chery Automobile Co., Ltd attended and addressed the ceremony. This was the first production base of Chery outside Wuhu, which would create favorable geographic conditions for further exploiting markets both at home and broad, marking a significant step forward, said Mr. Yin.
Located in the Bohai Sea surrounding economic circle and the center of northeastern economic zone of China, Dalian is the most vigorous city in north China, the cradle of Chinese auto industry. As one of the 4 largest ports for import and export, Dalian is an important trans-shipping base for Chinese auto manufacturers. Chery’s production base lies in Dalian’s bonded area which is the most geographically advantageous, most open and most functionally complete special economic zone that enjoys the most favorable policy of the country.
As the first auto enterprise to settle in Dalian, Chery is in an attempt to best use the city’s favorable conditions and environment to break the current bottle neck in production and increase shares in different markets. For domestic market, Chery will drive the development of regional or even the whole auto industry and optimize industrial structure with its increasing influence. For overseas market, choosing the port city Dalian and taking the advantage of its shipping facilities, Chery will be able to reduce certain cost, accelerate logistics, and create better environment for the exploitation of overseas market.
Chinese auto industry thrives despite of global economic downturn. And, Chery is striving to overcome the adverse effects brought by financial depression through consolidating markets both at home and abroad. Driving sales with production, Chery keeps growing steadily.