Domestic Automakers to Carry Out Overseas

　　At the beginning of 2010, with good news about the domestic auto market, overseas markets began to show signs of recovery.

　　According to the statistics about the exports of automakers provided by China Association of Automobile Manufacturers, in last November Chinese vehicle manufacturers exported 38,200 units, up 32.40% compared with the previous month, or up 12% year on year. The exports volume of last November set the highest level for the year of 2010.

　　All the major domestic automakers have disclosed their marketing plans for 2010. Though domestic production and marketing are important, they have to rely on overseas markets.

　　At the same time, domestic automobile manufacturers have begun to depend on exports to keep growing. They have deployed their forces to expand their layouts of overseas branches.

　　Last week Chery Automobile published news of personnel changes. Zheng Zhaorui, the Vice President of Chery Sales Corporation, was transferred to be in charge of Central and South America business of Chery International Corporation. The former Assistant General Manager Wang Lang now serves as Vice President who is responsible for sales. In fact, Central and South America region is Chery's focus in 2010.

　　It is learned that China mainly exports vehicles to Eastern Europe and Africa. But in recent years the exports business in Southeast Asia, Latin America and North America develops rapidly. Several manufacturers headed by Chery have established dozens of overseas production bases. Last year, Chery's exports business showed rapid recovery. In December, Chery exported 7593 units, up 40.6% year on year.

　　According to the executives from Chery International, Chery is the only Chinese automaker which has obtained certification in the South American Community. Chery has set up assembly plants in Brazil and Uruguay, forming direct competition with Japanese automakers and posing threats to European vehicles. Tiigo plays as a pioneer to explore South American market for Chery. First of all, Chery has carried out depth research about market demands and consumption trends. After a strict examination in Uruguay and Brazil, Tiigo was introduced into Argentina. It can be said that Chery had got ready prior to a battle.

　　So far Chery has successfully landed on more than 70 countries and regions and set up nine factories in seven countries overseas and prepare for the construction of another ten factories.

　　Chery is not the only one to develop overseas business. Other domestic automobile manufacturers have begun to make efforts to explore international market. Gonow Auto, which belongs to Gonow Group, recently nominated a new General Manager. Li Fengyu, who has abundant experience about automotive marketing, will act as the General Manager of Gonow Auto. The former leader, Tao Yunde, will serve as the Deputy General Manager of Gonow Import-Export Co., aiming at raising the overall level of management. An insider from Gonow Sales Co. told Beijing Business Today that the personnel change was the largest adjustment since the establishment of Gonow Auto.

　　Though various automakers took different strategies in the overseas expansion, they have reached a consensus about increasing investment in overseas markets. They are waiting for another surging development.

　　Many manufacturers pointed out in 2010 every automaker had got preparations for overseas exports. For example, Great Wall Motors has set its highest exports goal in history-150,000 units. Domestic automakers have higher development goals for overseas expansion. Since all the automakers do not plan to engage in large-scale expansion of production facilities, service is still the most important work, which matters for the management of human resources. Overseas expansion will help domestic automakers train local talents. For every enterprise, it is one of the most critical tasks to reassess overseas layout. (Translator: Qinghua/Hanxin)

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