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If you've been waiting on pins and needles for a small Chrysler that's due to be built in China by Chery, you're going to have to twiddle your thumbs a little longer. Though we've been hearing about a Chrysler/Chery Hornet or Demon for some time, execs from both companies don't believe the products are ready for North America, yet. Quality and safety are still a concern with the vehicles, but Chrysler's China boss Phil Murtaugh feels the challenges are far from insurmountable. Chery Chairman, Yin Tongyao, is also convinced that more work needs to be done to get the product up to US standards, saying the US and Europe are "very mature markets."
Chery is dying to get its affordable vehicles into the US market, but both Chrysler and Chery seem to understand that any sub-standard Chinese vehicles are destined to take their place next to Yugo in the history books. Chances are that the two companies will only have one shot to get things right, and if the final product is garbage, Chery will be finished in the US, and Chrysler's already dim rep will start to flicker. If the inexpensive vehicles are a big hit, however, the Pentastar will be pulling in Yuan hand over fist.
[Source: AP]
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Reader Comments (Page 1 of 2)
inteller @ Apr 21st 2008 9:03AM
give us two turbo inlets. nothing would scream MINI killer like a TT Demon.
Rocketboy @ Apr 21st 2008 2:57PM
Huh? A better comparison would be Demon vs Miata.
TheRaven @ Apr 21st 2008 4:14PM
I don't think that is the case any more rocketboy.
The "old" demon would have been good competition for the miata as a small coupe (with a convertible option likely), RWD, lightweight, with a great engine in the 2.4 turbo out of the SRT-4.
When the rumors of the demon coming back built by Chery arose, it was to be a plodding FWD crap-heap. There is a certain segment of the population that might cross-shop it with a miata, mainly those that don't care about performance or fun as much as the fact it is a cheap convertible. Still, without RWD and on a crappy heavy chinese platform with some junk-heap of a 4-cylinder it would never be able to truly compete with the miata.
Rocketboy @ Apr 21st 2008 11:01PM
Granted, I don't keep up on Chery's car lineup, but as per the pics that Autoblog has listed as a demon, it looks to me more miata ish. The Hornet on the other hand, looks like they are penning from the MINI/Boxy Japanese car look. Unfortunatally for Chery/Chrysler, the MINI isn't just a small car. It's a premium small car.
I_Hate_China @ Apr 21st 2008 9:33AM
You won't bee seeing a Chery(as either Chery or Dodge) in the US for at least six years.
The fact that Chrysler's Nissan-built offering will be hitting market on 2010 and will stay on the market for at least 2014 means Chery's offering cannot take Nissan's place until that time.
And don't worry about Chery too much, this is a cash-starved paper tiger very different from cash-rich Toyota and Hyundai of yesteryears. Chery is so starved of cash that they are forming joint-ventures with anybody and everybody for the sole purpose of obtaining a few hundred millions. For example, the forthcoming Chrysler-Chery joint venture has Cherysler footing the bill of new plants and Chery offering "technology"(yea, who wants Chinese "technology" anyway) and manpower, but no money.
They very economic and government system of China prevents the emergence of world-class brands from China. The only Chinese companies capable of becoming world-class competitors are cash-rich SAIC and FAW, but not likes of cash-starved Chery.
no no @ Apr 21st 2008 11:02AM
And you really expect people to believe you when you are the one that said Hongqi SUV V12 engine is from Toyota Century when in fact many various news source said that FAW independently developed it.
sovyanz @ Apr 21st 2008 11:33AM
china is pretty rich, although they dont seem to make "new" technology insource, they have been buying up technoloy. iirc they own the rights tot he mini supercharged engine
no no @ Apr 21st 2008 11:54AM
Chang'an motor succesfully developed China's first hydrogen internal combustion engine with its own registered IPR in 2007. And now how many countries have done it ? ( I know that a number of countries like Germany has done it) . Talking about China doesn't develop its technology, and that is just one of the example I have given, and that certainly is not the last.
GSP @ Apr 21st 2008 2:54PM
@I_Hate_Chine:
你累不累啊？整个一个偏执狂！要不就是一个白痴。
Frank @ Apr 21st 2008 10:43AM
Chrysler is doing this right by waiting for the capability of Chery to catch up to "mature" markets. The downside of this is that time to market is critical in the car business. Will anyone be interested in a Hornet or Demon in 4 to 6 years? When Chrysler entered into an agreement to produce a luxury 2 seater with Maseratti in the 80's, they had to keep pushing it back due to quality issues. When the car finally arrived, the interest had waned and the car (TC) looked like a derivitive of the 4 seat LeBaron.
Hank @ Apr 21st 2008 10:59AM
We'll never see that car. It'll be so out of date by the time the Chery thing works out the concept will end up gathering dust in a warehouse and nothing more.
tekdemon @ Apr 21st 2008 11:24AM
I don't think it really matters since the Neon was never up to any real standards of safety or performance or really anything.
But then again that's also why Chrysler went down the drain, lol.
Mike V. @ Apr 21st 2008 12:17PM
You obviously have absolutely no clue about what you are talking about do you?
Ignorance is bliss.
jgp @ Apr 21st 2008 12:16PM
The US government needs to grow some balls and institute a full embargo on Red China. No company that does business in the US should be allowed to do business with Red China.
Sina delenda est.
Brent @ Apr 23rd 2008 2:53PM
The economic growth of China will likely lead to democracy.
nomatta @ Apr 21st 2008 1:06PM
Chery is going to have a lot of recalls now.
nytelecom @ Apr 21st 2008 2:09PM
I sincerely doubt that China, with its T-R-I-L-L-I-O-N-S (say it again slowly so it sinks in) of dollars available for investment, would allow its most recognized automotive brand to fold because a few hundred million.
With gas north of $3.50, and probably never touching $2.XX again, i don't see this car going out of style. In fact, this type of car will become the norm (take a trip to Europe to verify).
I think it looks cool - matter of opinion. And if Chrysler backs it up with lifetime warranty, sign me up.
Rocketboy @ Apr 21st 2008 2:59PM
Again, wasn't Chrysler all ticked off at Chinese cars at one time?
mroverlord @ Apr 21st 2008 4:36PM
I would like a Hornet if it were a joint venture with say, Mitsu, or better yet, VW...since they have the cool 1.8TDI....But so far anything I have seen from China that has any moving parts is a POS. I think this partnership has more to do with the fact that import companies can't operate in China without in-country support of some type. So Chrysler NEEDS Chery to sell cars in China.
BTW- If Neons were such junk, why were they profitable for Chrysler, while the Cavalier and Escort never made Ford and GM a dime?
Azrael4h @ Apr 21st 2008 9:34PM
I'll raise you. If Neons were junk, then why are they still quite dominant in SCCA stock and modified FWD events?