Chang'an Hopes to March Into Overseas Mark

　　On March 20, Xu Bin, the Chairman and Party Secretary of China Ordnance Equipment Group Corporation and Chairman of Chang'an Automobile Group met with Alan Mulally, the CEO of Ford. Two sides had a friendly conversation about deepening strategic cooperation and speeding up the development of their joint venture.

　　Firstly, Xu Bin introduced the promising achievements of China's economy. Facing the international financial crisis, China maintained stable and rapid development. He pointed out internal factors which propelled Chinese auto market to rise in financial crisis and outlined the thriving trend of Chang'an. Xu Bin confirmed the positive results brought the cooperation between Chang'an and Ford, saying after 30 years of Reform and Opening up, Chinese people's purchasing power has kept rising. Chinese economy has been developing rapidly with sound political stability and society becomes more and more harmonious. With the rapid and healthy development of Chinese automotive industry, government has issued a series of preferential policies including restructuring of automotive industry and revitalization plan, which effectively promotes more and more families to buy cars. The measures accelerate the development of auto market, particularly providing a unique opportunity for those models with smaller engines.

　　Xu Bin said facing the momentum of China's auto industry, as the most important strategic partner of China Ordnance Equipment Group, Ford should further enhance its confidence in developing Chinese market. Based on the cooperation between two groups, Ford should deepen its relationship with Chang'an and speed up to improve efficiency. Therefore the joint venture will develop better in China and achieve greater influence as well as profits.

　　Xu Bin suggested that Ford should be concerned about the development in Chinese market and accelerate the pace of introducing models. In addition, Ford should strengthen the research and market development of products especially for Chinese auto market and upgrade the cooperation in the field of new energy vehicles to seize the high ground in future competition. Moreover, two sides should carry out strategic cooperation in a higher level and raise the level and broaden the scope of cooperation to achieve substantial progress in international market. On one hand, such cooperation can deepen the existing relationship. On the other hand, Chang'an can directly form cooperative links with Ford. Both sides should begin to introduce models with independent brands produced by joint ventures and accelerate the development of domestic brands with the breakthrough of establishing technology centers. Thus joint ventures will gain greater space and attract more resources in development. Joint ventures should further enhance the ratio of local procurement and upgrade the level of ancillary capabilities and cost control. Last but not least, Chang'an and Ford should strengthen quality management and service. Management process should be optimized to constantly improve the quality of support and service.

　　Alan Mulally extended his thanks to Xu Bin and expressed sincere congratulations on the development and achievement of Chang'an. As to Xu's analysis of the prospect of Chinese auto market and suggestion about enhancing cooperation between the two sides, Mulally fully supported his proposals. Alan Mulally briefly introduced the turnaround process of Ford and its development plan. He said that China is the fastest-growing auto market with greatest potentials and sales. Ford Motor has attached great importance to Chinese market and set China as the most important market to devise plans. Ford is confident that Chinese auto market will become more competitive. Regarding speeding up the cooperation with Chang'an, Ford has formed high-degree consensus and set clear targets and got fully prepared with a strong team. Alan Mulally hoped that both sides should bring the agreement to an operation level and promote the development of joint ventures to a new level.

　　Other executives also attended the meeting including Yin Jiaxu, Vice President of China Ordnance Equipment Group and Vice Chairman of Chang'an, Nie Xiaofu, Deputy General Manager of China Ordnance Equipment Group, Liu Shouwu, Deputy General Manager of China Ordnance Equipment Group, Lai Yusheng, Director of International Cooperation of China Ordnance Equipment Group, Zou Wenchao, Vice President of Chang'an Automobile Group, Zhang Baolin, Vice Party Secretary and General Manager of Chongqing Chang'an, Joe Hinrichs, President of Ford Asia Pacific and Africa, Robert Grazlano, Chairman and CEO of Ford Motor(China), John Kwant, Vice President of Asia Pacific Government Affairs of Ford Motor. (Translator: Qinghua/Hanxin)

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