Qoros Brand Evening launch video, Shanghai: 28. 11. 2011
SHANGHAI Chinese automaker Chery Automobile Co. and partner Israel Corp. are launching a new brand, seeking fresh appeal abroad and the local market slowdown.
The 50-50 joint venture Qoros Automotive Co introduced Monday in the former zone of the Shanghai Expo, intends to be one of the first Chinese automakers to meet strict Euro 2013 automobile safety, the companies said.
Chery and Israel Corp. an industrial holding company, originally launched their joint venture as Chery Quantum Auto Co. Since 2007, the company has kept a relatively low profile.
Originally, the plan was to Chery, one of the largest independent car manufacturers in China, to contribute in kind as in many joint ventures, providing, for example, land or workers but that vision has evolved one from scratch, said Volker Steinwascher, vice chairman of Qoros.
Chery is now only a financial investor, leaving the company free to develop its own models and keep the brand separate.
You do not have to have any legacies, Steinwascher said in an interview.
Qoros plans to introduce its first model, a compact sedan, in China and Western Europe in 2013, the leaders said after that, it is planned for a sedan, an SUV and an electric vehicle.
The name Qoros was a new word meant to represent a company that stands for quality and works together like a chorus, the companies said in a statement.
People like brands and products they can be passionate, Steinwascher said the quality, design, connectivity and simplicity, these are the key drivers of our brand, he said.
Israel Corp is the largest Israeli holding company, with mainly in the chemicals sector, transportation and energy.
Chery, whose best-selling model is the compact QQ, and other domestic automakers have struggled to break through with brands of their own joint venture brands and foreign imports still account for about 70 percent of sales, with domestic automakers holding only 30 percent.
A slowdown this year in vehicle sales, after years of double-digit growth, has proven a particular challenge for some domestic manufacturers already struggling with thin profit margins.
Chery has not responded to previous projects of its own aimed at launching sales in U S For now, Qoros has no plans for the US market, where prices are very competitive and product liability issues a big concern, Steinwascher said.
The lack of powerful brand names and stringent safety core technologies and standards in North America and Western Europe have prevented Chinese manufacturers to make a significant breakthrough in the more mature markets, although they have increased sales in emerging markets.
Qoros is aiming high, intending to meet 2013 levels of European quality 5 star NCAP, an agency that assesses car safety.
To do this, he worked with Magna Steyr, a major independent automotive design firm of Austria, and has hired designer Gert Hildebrand, formerly of BMW Mini Other suppliers include major auto parts companies like TRW, Bosch and Valeo.
Our main talent is in-house, said Steinwascher, who retired from Volkswagen AG in Germany in 2006, but said he found it was too early.
We are looking very good people that we want to have a few people, but many people said Steinwascher.
Qoros is building a factory in Changshu, an industrial city west of Shanghai, which will have an annual capacity of 150,000 vehicles, which could expand in the future to 300,000 It has a research and development center in Shanghai.
Steinwascher said would be ready this week, with most of the tests to be performed the first motorable Qoros China.
For Chery itself, benefits in technology sharing material will come over time, he said, that the shares of joint venture components and other quality improvements.
China Chery launches new Qoros brand, China, Chery, Qoros.