Chery inks pact with Wuhan Steel to develop auto steel

Shanghai, May 23 (Gasgoo.com) Chery Automotive Engineering Academy has recently signed a technique cooperation agreement with Wuhan Iron & Steel Group Corp (Wuhan Steel).

The agreement would accelerate the construction of Wuhan Steel's automobile steel production base. And both parties would join hands in developing new models of automobiles and new types of steel used for auto-making in the coming ten years.

Wuhan Steel and Chery Auto started cooperation last year in the whole vehicle manufacturing project for model A5. All the body parts of Chery A5 vehicles are made of the sheet steel of Wuhan Steel.

The operation of its second cold-rolling lines of auto steel has greatly boosted Wuhan Steel's capacity of producing sheet steel for sedan making. Their variety and quality can meet the demands of carmakers at home and abroad.

Chery has plans to develop and make more sedans of high-end brands, and this will increase the quantity of high-strength steel products to be used in Chery's vehicles. Chery Auto sold 321,500 vehicles in 2007.