Will Chery Automobiles Purchase Volvo?
Chinese automobile manufacturers have yet to sell one vehicle in the US market, but that will soon be changing. An American company is purchasing knocked down kits of a Chinese electric car and will sell them as the Wheego Whip beginning this summer. Brilliance Automotive says that they’ll be establishing their own dealer network beginning this year to sell its line of pure electric cars by the start of 2010. One of the first Chinese manufacturers looking to establish a toehold in the US market was Chery Automotive. Its $6600 Chery QQ was believed to be US bound, but its distribution agreement with an American company eventually collapsed. However, Chery may circumvent the usual entry way to the market by buying out another company. In this case Volvo is rumored to be in Chery’s cross hairs, the luxury Swedish brand currently owned and up for sale by the Ford Motor Company. A Chery purchase of Volvo would be an unusual step to take, given the relative inexperience and small size of the
