Ford and Mazda have been divorced ever since Ford cashed in its shares to finance a survival. Everywhere, except in China. In China, nothing goes without government approval, and because there was none, both Ford and Mazda had to continue their threesome with joint joint-venture partner Changan. An impending dissolution was announced several times. In August, Ford CEO Alan Mulally told reporters in Chongqing: “Ford and Mazda and their local Chinese partner Chongqing Changan have received approval from China’s central government to split their three-way, manufacturing and sales joint venture into two.” Got you! Not true. Now, it finally is. (Read More…)
Divorces can be messy and expensive (ask me how I know) and take longer than thought (ask Frau Schmitto-san how she knows). Or ask Ford and Mazda. When Ford’s love affair with Mazda unraveled because Ford needed the cash, there was the case of their Chinese three-way joint venture with Changan. Two years ago, a deal was struck. It supposedly received the all-important Chinese government approval. Supposedly. Today, the threesome still isn’t dissolved. But it won’t be much longer. (Read More…)
The dreaded huge wave of cheap Chinese exports – is still not happening. Instead, China’s Changan exports factories. (Read More…)
Quite ironically, foreign carmakers, namely GM and now French PSA, help China kick-start its ailing export machine.
Everybody had been hysterical about cheap Chinese cars that would soon flood the market, but it didn’t happen. Quite the opposite is happening: Joint venture brands, led by General Motors, are grabbing a larger and larger share of the Chinese market. And foreigners are gearing up to get China a chunk of the world market. (Read More…)
Many equate China with smoke and soot belching cars. In reality, China’s emission and fuel consumption standards now generally follow the European roadmap. Implementation of standards trails the European role model by only a few years. Ironically, it is a European brand that just ran afoul of this misperception – if Chinese media is correctly informed. (Read More…)
China’s Chongqing Changan is entering the lion’s den. The Chinese joint venture partner of Ford, Suzuki, and PSA will open a research center in Detroit and draw from the rich talent pool. Changan will become the first Chinese automobile company to establish such a center in the US, Gasgoo says. (Read More…)
We had been reporting for quite a while that estranged Ford and Mazda had filed for divorce that would annul their three-way ménage with China’s Changan. If you’ve ever been through a divorce (don’t remind me) you know that that can take a while and can drive you bonkers. Time for a celebration: (Read More…)
China’s Changan (joint venture partner of Ford, Suzuki and PSA) wants to draw on British engineering know-how and established a research-and-development center in Nottingham, England. (Read More…)
A three-way relationship in the open is every man’s dream. Those who tried it usually recommend against it. Why? Just ask them. As predicted, Mazda is putting an end to the three way Chinese Changan-Mazda-Ford joint venture. Mazda wants to go it alone with Changan, and no longer play third fiddle. (Read More…)
Threesomes can get burdensome to keep together. Didn’t we report in January that Ford, Mazda, and China’s Changan want to end the ménage-a-la-trois and forge their individual joint ventures? It was quickly dismissed as “speculation.” Just because it’s a speculation doesn’t mean that it won’t come true. (Read More…)
As if the Japanese don’t have enough problems in China, now the Chinese are beating them at their own game: Quality.
“Many Chinese automakers are focusing on improving their quality control by introducing techniques developed in Japan and elsewhere overseas.” This assessment doesn’t come from a propaganda arm of the Chinese car industry. (Read More…)
France’s PSA wants a bigger slice of the growing Chinese pie. They agreed to set up a joint venture with government-owned Changan. Peugeot already has a joint venture with Changan’s rival Dongfeng, while Changan has a joint venture with Ford. Nevertheless, the new JV will “not compete directly with other partnerships,” the companies said in a statement published by Bloomberg. (Read More…)
A lot of what we have written in the last few days, even what we have not yet written, is utterly wrong, say the objects of our writings. Here are the denials of the day. (Read More…)