Chery branches out into ship-building business

Shanghai. September 29 (Gasgoo.com) - China's biggest home grown automaker, Chery has acquired a ship-building plant to facilitate its automobile exports, a local Chinese newspaper reported today.

The Anhui Daily News reported that Wuhu Xinlian Ship Building Corporation, which is recently acquired and restructured by Chery Automobile, held its opening ceremony yesterday.

Chery Automobile is China's largest automobile exporter, however, its export business has been hampered by sea transportation. Chery has decided to build ships to solve the shipping problem.

In August, Chery acquired 100 percent stake from former Wuhu Ship Building Company and founded Wuhu Xinlian Ship Building Corporation after obtaining government approval.

The newly restructured company will primarily focus on building bulk cargo vessels smaller than 30,000 tons, which will be used to ship automobiles, chemical products and oil products.