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Current DateTime: 10:24:51 08 Nov 2009
LinksList Documentid: 30830730
Expiration DateTime: 11/8/2009 10:27:30 AM
    • Fiat's 5-Year Road Plan for Chrysler  05 Nov 2009

        Fiat said its 5-year road plan to turn around Chrysler will result in the doubling of revenue. "There is no alternative but for Chrysler to be ambitious at this point," Stefano Aversa, co-president of restructuring specialists Alix Partners, said Thursday. "They have plenty of cash."

    • Ford's Safer Seatbelt  05 Nov 2009

        Ford is unveiling its groundbreaking seat belt. CNBC's Phil LeBeau has the details.

    • Chrysler's Rebirth  05 Nov 2009

        Chrysler is kicking off its rebirth and hoping its new game plan will please the government as well as the industry. Mike Jackson, chairman and CEO of AutoNation, shares his insight.

    • Toyota Reports Surprise Profit, but Outlook Bumpy  05 Nov 2009

        Toyota's results blew past expectations Thursday. The Japanese automaker posted a surprise quarterly profit and halved its annual loss forecast. "Toyota is still making a loss. It's still going to face a very difficult future ahead," Graeme Maxton from The Insight Bureau said. "This doesn't mean that the auto sector has turned around."

    • Health-Check on Auto Industry  04 Nov 2009

        Given the shape of the auto industry globally, China is providing a large amount of relief to automakers, notes Mohit Arora, senior director for India at JD Power & Associates. He analyzes the health of the auto industry, with CNBC's Karen Tso.

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Current DateTime: 10:24:51 08 Nov 2009
LinksList Documentid: 30830722
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Behind The Wheel

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Aug.08
8:51 AM ET
Wednesday, 8 Aug 2007
China's Chery Car: Safe At Any Speed For U.S. Market?

There's a new video on the web that's sure to entertain skeptics of the Chinese auto industry. It's video of a car from China's Chery Automobile faring poorly in a crash test in Russia. For those who fear the Chinese auto industry hurting the Big 3, this video will give them the ammunition they need to take shots at the Chinese.

But as you watch this video or read about how poorly the car in the test performed, keep in mind we are still a long, long was from seeing Chinese made cars in the U.S. In other words, don't worry.

First of all, the Chinese automakers do not have their models up to the safety standards required in Western Europe and the U.S. This has been pointed out for years, and yet, I'm often stopped by people in Detroit who ask me, "How long until we see Chinese cars on American streets?" Folks, it's not happening anytime soon.

Second, We are a ways from seeing Big 3 branded cars that were built in China actually show up in U.S. Showrooms. Yes, Chrysler is partnering with Chery automobile to build subcompact cars that will ultimately be badge as Dodges or Chryslers and sold in the U.S. But that deal has just been signed, and Chrysler will go to great lengths, to ensure those cars meet U.S. Standards.

Finally, as fast as the Chinese automakers are moving to hire the talent and acquire the knowledge needed to be world class competitors, they still lack the sophistication to compete in the U.S. That means you can take a big grain of salt when someone says Chinese cars will be here soon.

Do I think we will ultimately see Chinese made cars on U.S. streets? You bet. In a few years China will be the largest auto market in the world and it's only a matter of time until either an established automaker or a Chinese automaker sells a car here that was built there. But, when that happens, you can bet the car will meet our safety standards.

Questions?  Comments? 

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