Sales will grow, but pace to ebb

CHERY Automobile Co Ltd estimated its sales could grow 33 percent this year, as it pursues a plan to grab more market share from overseas competitors in the world's second-largest auto market.

The Wuhu, Anhui Province-based car maker forecast that it will sell 393,000 units for this year, including 70,000 vehicles bound for overseas market, Chery Chairman Ying Tongyao said in a statement yesterday.

Sales growth will drop from last year's pace, however, as the company faces production restrictions since China tightened controls to prevent oversupply.

Last year, Chery sold a record 305,236 units, an increase of 109 percent from the year before, making it the fourth-biggest car maker in China.
Chery exported 50,000 vehicles last year compared with 180,000 a year earlier, making it the biggest exporter in the passenger car segment.
The company plans to raise its annual capacity to about 600,000 units in 2008 from 350,000 units now.