Chery Auto targets sales of 900,000 units in 2011

Shanghai December 24 (Gasgoo.com) Chery Automobile Co., Ltd. will target sales of 900,000 vehicles (including export of 150,000 units) in 2011, an increase of 30% from a year earlier,  Nfdaily.cn reported Friday.

The Anhui-based automaker is on track to achieve its 2010 sales target of 700,000 units, of which sales of the Chery-branded vehicles are expected to reach 45,000 units.

Market capacity for the A-class cars or cars around 100,000 yuan ($15,000) has expanded greatly this year, accounting for 50% of the entire automobile market, reflecting a rising consumption concept of the Chinese people, said Ma Deyi, general manger of Chery sales.

Chery exports have increased sharply this year, approaching 100,000 vehicles, he added. 

China's auto market will grow 10% to 20% next year, the demand will remain rigid, and China will maintain its 8% GDP growth as well, he said, adding that these are all favorable factors for the auto market.

Ma Deyi, also the vice president of Chery Auto, said the Chinese government will cancel the preferential purchase tax for sub 1.6L cars, and this will hinder the growth of the country's auto market, but will not have too large an impact on it.

Chery showcased its mid-to-high end sedan, the Chery Riich G5, at the ongoing Guangzhou Auto Show, and will launch two high-end sedans: the Riich G6 and G3 next year. The automaker will spend two to three years on improving the performance and quality of the Riich cars, aiming to boost the brand's annual sales to 100,000 units during the period, Ma said.