By on May 15, 2012

Chery has asked the Chinese government for its blessing regarding a joint venture with Jaguar Land Rover worth $1.9 billion.

The proposal calls for a new plant in the Jiangsu province that would produce as many as 130,000 cars per year. Chinese government officials will have to perform an environmental assessment before the plant goes ahead. Approval from the National Development and Reform Commission, China’s main governmental economic body, will also be required

Chery recently saw plans for a tie-up with Subaru go belly-up, but an agreement with JLR combined with China’s appetite for luxury vehicles and SUVs should help take the sting out. Jaguar will need to help make some of its product more attractive for China – a V6 engine has been cited as a must-have for the XJ due to taxation reasons.

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5 Comments on “Chery Seeks Permission From Big Brother For Jaguar Land Rover Joint Venture...”

  • avatar

    Chinese and Indian engineering at its best.

  • avatar

    “…officials will have to perform an environmental assessment before the plant goes ahead.”

    Is this a true assessment, or one of those rubber stamp type approvals? You know, the kind we use here in America for new home developments and office parks.

    • 0 avatar

      As someone who has had to go through environmental assessments for large projects, I say get your facts straight before making statements like this. Approvals for site and land development, including these uses, take months, even years, and costs hundreds of thousands of dollars. They are not simply rubber stamped.

      • 0 avatar

        I am aware that these large projects take time and considerable money, but I am also not oblivious to the fact the the process is often abused, and open too manipulation.

        I have seen developers purposely schedule public hearing and community impact meeting when they believe they will have the lowest turn out. In my area, property was taken from people under eminent domain, under the guise of improving mass transit. Instead, much of it was used for private development, i.e. a shopping mall.

        The local/state governments appear to be more interested in increasing their tax base, than in the actual impact their planning decisions have.

  • avatar

    Well, there is a diesel V6 in the XJ, so probably no problem there, unless the Chinese hate diesel.

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