More news regarding European and Chinese collaboration in the auto sector comes the PSA group’s partnership with Chang’an autos. The agreement will see the Citroen DS3 and Peugeot 508 models produced in China as well, with the latter being produced at Wuhan facilities and debuting sometime in 2011.
The Citroen DS3 on the other hand, will constitute a third brand for the local Chinese car market and should debut in 2012. It’s seen as an important part of the 200,000 cars PSA and Chang’an intend to produce together and if its style is appreciated by the locals, it should be able to fulfill that role.
Mercedes is taking an intelligent approach to expansion in emerging markets by further investing in its R&D facilities in India. The R&D unit based in Bangalore will have increased staff numbers from 400 to a full 650 by the end of this year. The plant works with the global development centre in Germany and focuses on passenger cars.
The expansion is part of Daimler’s view to consolidate its presence in India and China and we’ll be very interested to see if any India or China-specific Mercedes models emerge from the process. It’s just another step in showing that the powerhouses of European car manufacturing see their future in Asia and are prepared to do more than just export luxury models.
Source | CarBlogIndia
The previous Saab 9-5 will be constructed in China by Beijing Auto (BAIC), which will start assembly operations in the next six months of the old sedan model. The project has come about after BAIC acquired part of Koenigsegg operations.
The new production in China of the old model will start only after Saab has launched the new 9-5, planned for April next year. BAIC has full control over the model, and no news has been released about the possible changes from the Chinese that we will see on the old model. What’s more, the move seems to indicate a future joint venture where Saab models will be assembled directly in the local Chinese market.
The Ferrari 599 GTB Fiorano China One-Off has been sold at auction for 1.2 million euros to an anonymous purchaser from Shanghai. The 599 China edition was the first collaboration between Ferrari and a Chinese artist, and shows livery inspired by traditional Chinese porcelain design from artist Lu Hao.
The proceeds from the auction will go to students and young researchers from the automobile engineering department at Tsinghua University. Students may then have the opportunity to study at Milan’s prestigious Polytechnic University for engineers and architects, and complete apprenticeship programs with Ferrari.
Other lots on auction were a suit from Giancarlo Fisichella, a helmet and a 599 GTB model scale signed by Michael Schumacher, who also personally presented the car.

The plan by China’s Sichuan Tengzhong Heavy Industrial Machinery to buy GM’s Hummer brand could be in jeopardy as the economic agency for China might reject the bid. Tengzhong will be negotiating with the National Development and Reform Commission to secure approval for its purchase of Hummer.
Unconfirmed reports, however, say that Tengzhong and Hummer have not yet presented the case and that any rumours of blocking the agreement should be considered pure speculation. Chinese state radio has revealed, though, that environmental concerns and Tengzhong’s lack of experience may mean the deal is never reached.
General Motors had originally tentatively agreed to sell the Hummer brand to Tengzhong, and talks between the two companies are proceeding as planned. Tengzhong is based in the Sichuan province and manufacturers special-use vehicles, construction machinery and energy equipment.
Source | Wheels
According to Swedish daily “Dagens Industri”, Chinese companies Dongfeng Motor and Chang An Automobile are interested in the acquisition of Volvo. These companies, together with Saic and Faw, are part of the Chinese Government’s auto company selection as brands that drive consolidation in the sector and make competitive products. They produce about two million vehicles a year.
Volvo has already gained the attention of Chinese manufacturer, Geely, in the past, but the situation is currently very unclear. Volvo is currently waiting on the decision from the European investment bank group on the loan of 445 million euros. Come Easter, the future should be clearer.
Meanwhile, Yang Jian from Automotive News China is convinced that Chinese manufacturers are not ready for the purchase of a company like Volvo, despite their large financial capacity. Problems to arise would be the management of the company, controlled by the Chinese state, and managers not competent in global operations.
The new Chery A3 might not only worry Audi for its name, it also represents an important model for the Chinese company, with a touch of European style. The new vehicle will be available in hatchback and sedan versions, with a four cylinder engine at 1.6 and 1.8 litres. The price should start at about 8,900 euros.
Curiously, the photos show a five door Chery A3 with the rear handle masked in Alfa 147 style, with a German numberplate. While currently designed for China’s local market, a possible European debut could be on the cards for the future. The process of an appearance in Europe is already underway thanks to Italy and the DR1 model.
Source | Es.Autoblog.com

The Chinese are well known for their efforts in adopting style and design across all products from other parts of the world, and hear we see a Chinese car copy of the Fiat Panda. Apparently the model pleases the local market, with Italy’s Repubblica newspaper reporting that the “Peri” will be produced and distributed in China after a High Court decision in Hebei rejected attempts to block the copy.
While perhaps questionable, the Fiat Panda Chinese copy will be restricted to that local market, with European exports prohibited and fines in place for any models that reach Western shores. With no further appeal possible, the Chinese “Peri” will be produced across the Asian territories.
As noted by the Repubblica, if the Fiat Panda copy is allowed, the Chinese could create a carbon copy of the entire list, composed of clones. After the jump is a digital comparison of the vehicles; the Chinese Panda’s future on the Asian market will be interesting to follow.
Continue reading: Great Wall Peri: Chinese Fiat Panda copy gets production go-ahead
China has just closed its doors to the Hyundai-Kia group, one of the strong players in the promising Chinese car market, declaring an import ban on cars from the South Korean company.
The stop to imports has occurred after an apparent violation of the Chinese antitrust norms, which appears to be linked to irregularities in the local sales network, according to Reuters reports.
It’s not the end of the world for Hyundai-Kia as of the 520,000 cars sold in China every year, only 50,000 are actually produced in Korea. The rest are assembled in China through joint ventures with local manufacturers. Photos from the Hyundai Geneis Coupe launch.
Continue reading: Hyundai-Kia import ban in China due to antitrust violation

After the Fiat Multipla and the Lancia Lybra, an Alfa Romeo project has also been given the go-ahead for production in China. Alfa in China will make its 166, a difficult thing for Alfa fans to digest even though the 166 hasn’t had shades of brilliance throughout its long career.
The car will be manufactured by Guangzhou Auto, a Fiat and Nanjing partner in Perla production (derived from the world car Palio and Siena ed Albea project). Apparently plans could be underway for an Alfa 166 restyling to make it more appetising for the Chinese market. Here’s hoping the initiative will give a new boost to the Italian company, still in agony.
Source | Italiaspeed.com (thanks to A1 for the tip)

Links between Chinese and Western manufacturers are increasing, given the stagnating European and US markets. Looking overseas is not so strange, even when talking about important sectors such as technology research and development.
In this light, the Detroit company has decided to invest its R&D in China. General Motors has announced its opening of a new research centre in China, with plenty of solemn ceremony to mark the occasion.
The complex will be in Pudong, in the urban region of Shanghai, and will cost around 2.5 million dollars for the automobile group. Once it runs at full capacity, the facilities will employ around 2,500 employees, 300 of whom will be researchers.
Source| ChinaCarTimes

This crazy photo demonstrates exactly how seriously the Chinese take speed control in their cities. This is a cement slalom that means no room for error…