Jaguar Land Rover may work with Chery to set up Chinese JV

   Date:2011-12-02     Source:liaoyanqulina

Gasgoo.com (Shanghai December 1) - Jaguar Land Rover is awaiting a response from the National Development and Reform Commission regarding a request to develop a potential Chinese joint venture, Jaguar Land Rover President Bob Grace revealed on the floor of last week's Auto Guangzhou 2011 exhibition.

According to a report on the Beijing Youth Daily, the company Jaguar has chosen is very likely Chery. Scott Dicken, former vice president of Land Rover's China operations, mentioned last October that the manufacturer was in negotiations with Chery about a possible joint venture.

Both Jaguar and its partner have submitted requests to the NDRC. A response is expected by next April. Some in the industry doubt that the proposal may gain official approval, as JLR's key products are large engine sized vehicles, which goes against the Chinese trend for smaller and more fuel efficient cars.

Jaguar Land Rover's Chinese sales this year have exceeded 33,600 units, 60 percent higher than last year. Meanwhile, JLR's sales have decreased in its home market of Europe and across the world, with the manufacturer facing increasing competition from Mercedes-Benz, BMW and Volvo. The manufacturer has sold over 40,000 vehicles worldwide so far this year.

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