Another American car company rides to the rescue of China’s feared, but so far dismal car exports. Ford is in talks with its Chinese Joint venture partner Changan to export China-made Ford vehicles to emerging markets, two people familiar with the matter told Reuters.
This follows a move by GM that started exporting Made-in-China Sails, and which will ship Made-in-China Chevys to emerging markets in South America, Africa, Middle East and Eastern Europe. There is also the supposedly Made-for-China, but in reality made for export from China Bao Jun, a product made by GM’s joint venture with SAIC and Wuling. PSA is also planning to delight emerging countries with brands made at their China ventures.
So far, homegrown Chinese cars remained pretty much unsalable in export markets. Companies like Chery and Great Wall are trying to change that, but it is hard sledding. The Chinese always wanted to sell their joint venture cars abroad, but joint venture contracts kept them from doing so. These barriers fall one by one.
This is not the first time the matter had come up. A spokesman for Ford steadfastly denied the story. A Changan spokesman declined to comment.
In a few years, when fears become reality and we are awash in Chinese cars, remember who opened the floodgates.