China Daily reported that Chrysler Group LLC is aggressively exploring the possibility of building more vehicles in China where the company is on track to sell 40,000 cars and trucks this year.
The US automaker which is managed by Italy Fiat SpA could build cars and trucks in China through a joint venture between Fiat and Guangzhou Automobile Group Co Ltd.
By taking advantage of the joint venture, Chrysler can expand more quickly in China. Last year the automaker sold 31,000 vehicles in the country, the world largest auto market where 18 million vehicles were sold in total.
Mr Mike Manley who heads Chrysler Jeep brand and international operations said "To find a partner, negotiate, get government approval and build a plant that's a long time. Fiat is already through that."
Fiat signed a joint venture in 2009 with Hong Kong-listed GAC, China No 6 domestic automaker to make cars in China where Chrysler currently builds older versions of its minivan. Fiat took over management control of Chrysler just over two years ago when the US automaker emerged from bankruptcy.
During those years, the two companies have deepened their operational ties by sharing technology and dealer networks.
Mr Manley said referring to the Chinese market "If there's an opportunity for us in the same way as we've done with Fiat in terms of technology or using their distribution, our speed to market is going to be so much quicker."
He added that for Chrysler to make its mark in the highly competitive smaller SUV segments, it would have to begin building those vehicles in China. He also said "Localization is the key to volume it's as simple as that."
Sourced from china daily