Chrysler has "business as usual" in China

Published: 04 May 2009 00:41:03 PST

Shanghai, May 4 (Gasgoo.com) After its bankruptcy filing and future alliance with the Italian automaker Fiat S.p.A. Chrysler's international subsidiaries are not part of the Chapter 11 filing and its business in China is going on as usual, xinhuanet.com reported today.

Daphne Zheng, spokeswoman for Chrysler's Asia-Pacific division, said the bankruptcy won't affect operations there. Chrysler's China business is small and will focus on imports. In the first quarter, Chrysler sold about 3,600 vehicles in the Chinese market, down about 25% from a year earlier. Imports accounted for more than half of those sales.

In late 2008, Chrysler pulled out of Daimler's joint venture with Beijing Auto. A Chrysler deal to produce cars with China's Chery Auto failed in December. Another partnership to share technology, components and distribution channels with Great Wall Motor is on hold. The U.S. automaker has no immediate plans to make cars locally for the Chinese market.