Chery Auto records 6.6% drop in vehicle sales in 2008

Jan. 9, 2009 (China Knowledge) - Chery Automobile Co. Ltd (Chery Auto), one of the leading Chinese home-grown auto makers, announced its vehicle sales declined approximately 6.6% to 356,000 units in 2008 from 381,000 units of 2007.

Chery Auto said its exports rose to 135,000 units last year from 119,800 units in 2007. The carmaker failed to meet the sales target of selling 300,000 units at home and 180,000 units abroad last year.

The Chinese automaker ascribed the sales decline mainly to the decreasing demand triggered by the deepening financial crisis worldwide.

However, based on the sales figures for last year, Chery Auto is still China's fifth largest carmaker in terms of the total sales volume, sources said, citing Yin Tongyao, chairman and president with Chery Auto, as saying.

In November, Chery Auto inked a cooperation agreement with Thai Yarnyon Co to assemble Chinese cars in Thailand. The tie-up marked the official entry of the Chinese automaker into the Thai market as well as the Southeast Asian regions, according to China Knowledge's earlier report.