Automotive News

Gasgoo.com (Shanghai August 20) - Following news of a Chery-Subaru joint venture, Liaoning province's capital city and leading automobile manufacturing center Dalian has become the focus point of media attention. The city is home to Chery's new production site, which looks to be completed by the end of the year. The factory may begin production by 2013, auto.163.com reported.

In addition to Subaru vehicles, the factory, located in the Dalian Development Area, will reportedly be responsible for the production of Chery Riich and Rely brand vehicles, as well as exported models. The Dalian Development Area is home to manufacturing sites for over ten global enterprises, including Forbes 500-listed company Johnson Controls.

Many manufacturer's have sites set up in Dalian, which is famed for its logistics services. The 3 billion yuan ($472.4m) factory is located only around 50 km from the city's center. It will contain welding, painting, chassis and other assembly facilities. Production on the site reportedly began last May, with the basic structure already being completed. It is predicted to begin production in 2013. Chery is also planning on establishing a training center at the site.

According to reports, the Chery-Subaru venture is currently awaiting official approval. The two manufacturers have reportedly agreed on the general framework for cooperation.