Fuji Heavy Industry and Chery Agreement on Subsidiary Production of Subaru
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Informed sources said that the two sides have reached an agreement on many key terms and they are currently communicating with the Chinese government's regulatory authorities in an effort to get the cooperation projects approved.
It is understood that the terms and conditions of the cooperation agreement are similar to those previously reported by the media. "Nikkei business daily" once wrote an article at the end of 2010 that Japan's Fuji Heavy Industries and Chery have negotiated a 30 billion yen (about 366 million U.S. dollars) factory building in China, the initial car of the new factory. With an annual production capacity of 50,000 units, it will grow year after year until the annual production capacity reaches 150,000 units.
However, investment in establishing a new automobile joint venture in China must be approved by Chinese government agencies, including the National Development and Reform Commission and the Ministry of Industry and Information Industry, which regulates major industry regulations.
A spokesperson for Fuji Heavy Industries said he was unwilling to comment on this issue. The Chery spokesman Jin Yibo said that he can only say four words "no news."
According to reports, it is estimated that official information on the cooperation between the parties will be formally announced in the coming months. If it succeeds in cooperating with Fuji Heavy Industries, Chery will become a car manufacturer in China after SAIC, Dongfeng, and Chongqing Chang'an and has reached a cooperative relationship with foreign car companies. 