Jeep Plans Its China Comeback

Bertel Schmitt
by Bertel Schmitt

The first American automobile built as a joint venture in China could soon be built at a China joint venture again. Fiat plans to bring Jeep production back to the Middle Kingdom, Bloomberg says.

Mike Manley, COO of Fiat and Chrysler in Asia told Bloomberg that Fiat is in “very detailed conversations” with its joint venture partner Guangzhou Automobile (GAC). Manley is currently evaluating whether his company should “be localizing the entire Jeep portfolio or some of the Jeep portfolio.”

Chrysler currently builds all Jeep SUV models at plants in Michigan, Illinois and Ohio. Manley referred to adding Jeep production sites rather than shifting output from North America to China.

Despite being imported at high prices from America, Jeep sales in China have more than doubled to 33,463 this year through September. The brand topped total deliveries for all of 2011 by July of this year.

The Jeep Cherokee XJ was the first joint venture car in China. In 1985, the first kit-built Cherokees rolled down the line in the new factory in Beijing. When Chrysler bought AMC, it became the new owner of the 50 percent share of the Beijing-Jeep joint venture. In 2009, Chrysler abandoned the Beijing-Jeep joint venture. The Cherokee lived on as the BAW Qishi S12. It still is in active duty at the Chinese army.

Bertel Schmitt
Bertel Schmitt

Bertel Schmitt comes back to journalism after taking a 35 year break in advertising and marketing. He ran and owned advertising agencies in Duesseldorf, Germany, and New York City. Volkswagen A.G. was Bertel's most important corporate account. Schmitt's advertising and marketing career touched many corners of the industry with a special focus on automotive products and services. Since 2004, he lives in Japan and China with his wife <a href="http://www.tomokoandbertel.com"> Tomoko </a>. Bertel Schmitt is a founding board member of the <a href="http://www.offshoresuperseries.com"> Offshore Super Series </a>, an American offshore powerboat racing organization. He is co-owner of the racing team Typhoon.

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 3 comments
  • AJ AJ on Oct 22, 2012

    I don't see much difference between the UAW building vehicles and the Chinese.

  • Pete Zaitcev Pete Zaitcev on Oct 22, 2012

    It would be great if they kept Liberty produced in China.

    • Solracer Solracer on Oct 23, 2012

      Really? As the former owner of a Cherokee I never warmed to the Liberty, the gen 1 I rented seemed tippy by comparison and too plasticy inside. Not to mention the styling never really did it for me and the gen 2 redesign made it even worse. But as the new Grand Cherokee is great-looking I have high hopes that the next-generation Liberty (which may be called Cherokee) will get back to the roots of the original Cherokee but in a modern interpretation.

  • Ajla My understanding is that the 5 and 7-Series cater almost exclusively to the Chinese market and they sell them here just so they don't look weak against Mercedes and Audi.
  • EBFlex Interesting. We are told there is insatiable demand for EVs yet here is another major manufacturer pivoting away from EV manufacturing and going to hybrid. Did these manufacturers finally realize that the government lied to them and that consumers really don’t want EVs?
  • Kwik_Shift_Pro4X What's worse than a Malibu?
  • MaintenanceCosts The current Malibu is poorly packaged; there's far more room inside a Camry or Accord, even though the exterior footprint is similar. It doesn't have any standout attributes to balance out the poor packaging. I won't miss it. But it is regrettable that none of our US-based carmakers will be selling an ordinary sedan in their home market.
  • Jkross22 You can tell these companies are phoning these big sedans in. Tech isn't luxury. Hard to figure out isn't luxury.This looks terrible, there are a lot of screens, there's a lot to get used to and it's not that powerful. BMW gave up on this car along time ago. The nesting doll approach used to work when all of their cars were phenomenal. It doesn't work when there's nothing to aspire to with this brand, which is where they are today. Just had seen an A8 - prior generation before the current. What a sharp looking car. I didn't like how they drove, but they were beautifully designed. The current LS is a dog. The new A8 is ok, but the interior is a disaster, the Mercedes is peak gaudy and arguably Genesis gets closest to what these all should be, although it's no looker either.
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