Chery Will Invest $350 Million In R&d To Build Core Technological Competitiveness

In the beginning of 2010, chery launched the "Intensive Cultivation 2009" project in Beijing. The annual plan clearly stated that chery will develop traditional automotive technologies and new energy technologies simultaneously: chery will continue its efforts on enhancing R & D ability, especially enhancing technologies of test, achieve breakthroughs in core technology areas, such as engine and automatic transmission etc. and at the same time, accelerate the process of industrialization and marketization of new energy technologies. The plan also proposed that sales target in 2010 is to ensure 0.7 million, and strive for 0.9 million units.
 
According to the plan chery announced, in 2010, chery’s R&D investment will reach $350 million, which is estimated to account for 4.8% of total yearly revenue. chery will build the largest auto lab of Asia, and strengthen core competitiveness through R & D capabilities.
 
The establishment of the largest automobile laboratory of Asia enhances core technologies of R & D
 
February 26, the construction of new base of chery R&D Center in Wuhu, Anhui China, officially started, which will become the largest auto lab of Asia, and can accommodate 15 thousand professional R&D personnel, including 7,000 square meters of test and analysis center, 5,000 square meters of design center, 500 million square meters of the trial factories, emphasizing “strong in bones and muscles". In 2010, on technological aspects, chery will focus on enhancing breakthroughs in core technologies, such as trial technology capacity and engine, automatic transmission etc, while speeding up the process of industrialization and marketization of new energy technologies, so as to develop the two lines of conventional and new energy vehicles simultaneously.
 
The laboratory will gradually form the ability of 6 experiments, including components, NVH acoustics, vehicle energy-saving & environmental protection, vehicle roads, powertrain, passive safety (crash), etc. After the second and third-phase projects of the lab are completed, it will form more experiment abilities, including electromagnetic compatibility (EMC) laboratory, material testing and measurement capabilities. The lab will open a "green passage" for the future of chery in aspects of mastering core technology and enhancing product quality, thus ensuring chery's overall leading position in product technology.
 
Chairman of Chery, Mr. Yin Tongyue said at the groundbreaking ceremony, “The new base will take mastering core technology and keeping industrialization-oriented as its responsibility, carrying out original R & D of core and forward-looking technologies of finished vehicles, engines, transmissions and key components.”
 
17 new models will be launched, supported by better technological strength
 
In 2010, a total of 17 new models under Chery’s four brands, including M14 sports car and Fulwin 2 hatchback of Chery brand, G3 and G6 of Riich, X5 and H5 of Rely, and several other products. In the overall layout, Chery will also have a better technological capacity to support each brand and each model. Chery will further increase both average sales and profitability of single model, and effectively control the balance between quality and cost.
 
In addition to new cars, Chery transmission and engine will achieve a major breakthrough this year. A new generation of CVVT engine and CVT transmission will officially debut on Riich G3 which will come into market in May this year. Riich G3 is a mid/high-end compact having 3 engine options, 1.6L, 1.8L and 2.0L, which are all new generation engines of Chery, using CVVT technology. Chery CVT transmission is also the first one among all Chinese indigenous brands to realize industrialization.
 
It is known that 9 of Chery new engine products (including gasoline and diesel engines) will come into the market this year, with product technology covering VVT, GDI (gasoline direct injection technology), supercharger and many other advanced technologies. In terms of new energy, 3 new technologies, ISG strong hybrid, plug-in hybrid electric vehicle (PHEV) and pure electric vehicle (EV) will realize industrialization, and there will be 6 ISG, PHEV and EV models to be launched in 2010, realizing new energy technological breakthroughs.