Chery might open plant in SA

Chery, the Chinese car maker that produces what is now this country's cheapest car, could set up a manufacturing plant in South Africa if the brand takes off here.

Last week Chery and its South African partner, McCarthy , launched the QQ3 city car, with a price tag of under R60000 for the entry-level 800cc model, which has a claimed fuel consumption of around 5 litres/100km.

The last time a new vehicle was available in South Africa for this price was in 2001.

Though it launched only 11 years ago, Chery hopes to be churning out a million cars a year by 2010, half of which will be exported.

China already is the world's second-largest car market, behind the US, and is expected to be the biggest by 2015.

The QQ3 has cute looks, four doors, four seats and a passing resemblance to the next cheapest vehicle, the Chevrolet Spark, which costs R66500.

“Only 13% of South African households have access to a motor vehicle,” said McCarthy chief Brand Pretorius at the launch in
Johannesburg .

McCarthy is hoping to sell around 300 vehicles a month across the three-model range . Chery already has assembly lines in Russia, Ukraine, Indonesia and Egypt. Pretorius hinted that it could invest in South Africa, too, if sales potential justified it.

Source: The Times

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