First JLR-Chery car to be shown in 2015-2016

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The deal between JLR and Chery which will likely see Jaguar cars being built in the Chinese market has not yet been officially signed off by the Central and Provincial Governments, although this has not stopped Chinese media speculating on the launch of a new car brand from the two companies.

Three years ago Chery signed a deal with Alfa Romeo to produce a new car specifically for the Chinese market, ultimately this deal fell through and Chery was forced to go it alone for several years until they found new partners in Israeli Corp, and possibly Subaru and Jaguar Land Rover.

A person close to the Chery-JLR deal was quoted by the Economic Observer newspaper as saying that a new car will launch in 2016 which will be a joint product between the two companies. “Foreign companies have given platforms to their Chinese partners before, see FAW, SAIC, and GAC for examples, but not one of them has been overly successful in developing a new car brand on the back of an old platform, so if Chery and JLR do not come up with a new method for sharing technology then it maybe curtains for the JV before they even get government support for the new venture.” The unnamed source went on to explain that the joint venture is likely to be similar to the Mazda-Ford relationship where both parties bare burden to R&D costs of developing new models. The source went onto speculate on his insider knowledge by saying that the first product will be an entry level premium four door compact saloon and a five door hatchback in a similar vein to the BMW 1-series and Audi A3.