Jaguar and Chery to work together in China – reports from the rumor mill
For Jaguar, China is one of the biggest markets in the world and it is only getting bigger as China’s appetite for luxury motors continues and Jaguar-Landrover (JLR) are looking to take a bigger slice of the market. JLR is planning to enter the Chinese market with a Chinese partner to assemble JLR vehicles in China which will bring the price down considerably and will make their vehicles more competitive once they have lost their high import tax.
Today’s media reports are indicating that Jaguar have reached out to Chery, a low cost automaker based in Anhui province, with regards to building JLR vehicles in China. Whilst their name is the same, in the Chinese market Jaguar and Landrover are two seperate brands run by two different sales teams, so it is unclear if both Jaguar and Land Rover or just one of the two will work with Chery. Jaguar China have already under gone a certain amount of adjustment in China, with Jaguar buying back the dealership rights from four different sales agents within China, which will allow Jaguar to unite its China offerings and send out a concise marketing plan and improve after sales service to Jaguar clients.
Land Rover entered China in 2003 and sold several hundred units in the first year, but in 2010 sales have past the 10,000 unit market already which is an increase of 135% and China has become Landrover’s third largest market after the UK and the USA.
According to reports in the Daily Economic News, JLR has reached out to Chery to talk about the prospect of building JLR vehicles in CKD form in the Chinese market, however this was denied yesterday by a Chery spokesman and a Jaguar spokesperson would not comment on the issue.
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“Whilst their name is the same, in the Chinese market Jaguar and Landrover are two separate brands run by two different sales teams”
What do you mean, their name is the same? They are always and everywhere two separate brands, run by two different sales teams. Maybe in the future new owner Tata will bring them closer together (engines, distribution, parts) in order to save costs, but for now they are still and always have been two separate company’s.
Media in China is heavily corrupted, you can buy them to fabricate any news. I am sure this JLR-Chery JV is rumor only. If Chery just uses CKD to assemble the Jaguars & LandRovers, there is not much to learn from this kind of operation. Such rumor can only help JLR to sell it’s JV plan and bargain for better terms in talks with potential candidates.
“you can buy them to fabricate any news. ”I’m pretty sure this is untrue, unless you can go and bribe all Chinese medias to report ridiculous things.
Yes, you are right Ed. In China the media are controlled by powerful CCP and all they know is money and politics. News fabrication and ridiculous things are on Chinese newspapers daily. Even in the US, the media are controlled by Jews to censor and cookup news favourable to them. Back to the real world Ed !!!
Ed, not meaning to burst your bubble but HK is right. It is very easy in China for the media to be corrupted. It is not uncommon (ie, happens everyday) for PR companies to pay reporters to gain media coverage. The CCP does control everything but as long as no censorship laws are broken noone cares too much about it. Many masters students also pay a magazine to have some articles printed because they need to be “published” in order to pass their courses (I know both these things from friends who have done so).
Whoever Jaguar decides to deal with (if any) lets hope they bring the price of an XJ down
@hk & Ed:
In Europe the media can’t be bought, but you can play them. It’s easy to cook up a story and have them publish it.
A company called Data Driven was founded over a year before the last elections here in Flanders, and they started sending “study’s” about politicians, voters, etc… to various newspapers, magazines, TV-stations, …
One of the study’s for example was about which kind of voter gets the most sex. The conclusion: Liberals (to clarify to English-speakers: liberal in Continental Europe is on the right side of the political spectrum, left is socialist)
After the elections, they came out of the closet, admitting they fabricated all their research and surveys. Just for fun. Every newspaper published multiple “study’s”, which came from this joke-company. Apparently nobody checks his story when it’s “interesting news”.