Chrysler Lancer Reviews

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Chrysler Reviews and News

Chrysler conjures up more models
By Kevin Hepworth · 07 Mar 2008
In Chrysler's case the sales success of the 300C sedan has overshadowed the rest of the range. It is easy to see why when you look at what makes up the Chrysler line-up these days. The PT Cruiser five-door, Crossfire two-seater and Voyager people mover are essentially niche players and at the end of their lives. The arrival of the Sebring last May bucked things up, but the mid-size sedan added only 199 sales to Chrysler's 3059 total for last year. Now Chrysler has expanded the Sebring line-up by delivering two cabrio versions. The four-seater cabrio comes as a Touring model with a fabric soft-top or Limited with a folding metal hardtop. Both have one-touch automatic controls for the roof on the console or key fob. The cloth roof takes 27 seconds to raise or lower. The hardtop takes three seconds more to do the same thing and both disappear into the boot, giving the car an uninterrupted silhouette. Because the car is based on the sedan, it is a roomy four-seater with plenty of space for luggage. With the roof up there is 356 litres of luggage space and with the roof down the boot holds 193 litres. Standard equipment includes electronic stability control, dual front and side airbags, 17-inch alloys, automatic climate control, six-speaker CD stereo, cruise control, automatic-dimming rear view mirror, electric driver's seat, alarm, six-speaker CD stereo, tyre-pressure monitoring and a leather-wrapped steering wheel. The Limited adds heated and cooled cupholders, 18-inch alloys, leather upholstery, heated front seats, premium Boston Acoustics six-speaker MyGig 20GB stereo and automatic headlight washers. The Sebring cabrio is the first Chrysler model locally to use the new six-speed automatic mated to the 2.7-litre V6, both of which will make their way into the Sebring sedan. The cabrio produces 137kW at 5500 revs and 256Nm at 4000 revs. Like its sibling, the cabrio shares the same Macpherson strut front and multi-link rear suspension, which gains extra cross bracing to add some torsional strength. The two-door is 80mm longer than the sedan, but 15mm lower thanks to a more steeply raked windscreen. Extra body strengthening contributes to a stronger body, but also increases body weight by 170kW in the hardtop and 130kg in the soft-top. Prices stary at $43,990 for the Touring and $51,490 for the Limited, bringing the car's entry price in under the Peugeot 307CC, Renault Megane convertible, Holden Astra Twintop and Ford Focus cabriolet.  
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One of us has to go
By Karla Pincott · 25 Jan 2008
Sebring or Avenger? That is the choice as Chrysler looks to cull one of its mid-sized models in a company-wide simplification program that will create more casualties. Chrysler's Crossfire, PT Cruiser convertible, Pacifica wagon and Dodge Magnum wagon were all given a death sentence last year and the company's new president, Jim Press, confirms there will be more cuts as it looks to revitalise its bottom line. Press says many model duplications will be removed to ensure three distinct paths for the Chrysler, Jeep and Dodge brands. Dodge will concentrate on performance, Jeep on adventure lifestyle and Chrysler will be the luxury brand. The Sebring and Avenger are the same car in different clothes and Press admits one will go. “Yes. But we don't have a timeline,” he says. “Directionally, we realise that's where we have to go.” Chrysler design director Trevor Creed says the decision will be made at model changeover. “We're not talking about now. We're talking about next generation,” he says. “At the next generation we'll decide which one will be renewed and which one will be hasta la vista. “That's something that will have to be determined and marketing will come to me and say, `We've decided we're going to do this segment again and this time only Chrysler — or only Dodge.” The current Sebring and Avenger were launched only last year, so they should live for at least four years despite the death sentence, making it easier to fit a single replacement into a new strategy. “Once the strategic direction is clear and we've decided what we want to be when we grow up, it will be relatively easy,” Press says. “It's tough to make the right decisions en route. We need to change the perception of our brands, and that's a big move. It's like eating an elephant one bite at a time.” Chrysler Group Australia welcomes the plans for product rationalisation, but believes the Avenger and Sebring are not a complete overlap here. “At the end of the day, we're driven by customer preference,” managing director Gerry Jenkins says. “As for Sebring and Avenger, their style and positioning appeal to different tastes. We'll see what the future holds.”  
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Kia Sorento 2008 Review
By CarsGuide team · 21 Jan 2008
But the time has come to send two of our long-term garage residents back home. Kia's surprising Sorento and the polarising Subaru WRX are on their way after giving sterling service. Numerous shopping trips, commutes to work and longer drives down the coast gave the Sorento every chance to prove itself a reliable companion. And on the whole, it did just that.With the high equipment level, high passenger satisfaction in terms of comfort and high seating position, there was little to complain about. In appearance, it's not the most glamorous SUV around, with its no-frills looks, but it's not really trying to be. The Sorento diesel starts at an affordable $34,990, but our model was the range topper at $44,990.The only real problem encountered was the “wake up Jeff” cruise control, that would frequently decide to go to sleep on the job.Cargo room in the rear is good for those successful shopping trips, and packing the whole family on board doesn't turn into a back seat scrum, as there's enough room to ensure everyone rides in reasonable comfort.The noticeably diesel model averaged about 600km around town on one tank — meaning a fortnightly fuel bill of about $80.Equipment levels were good with an MP3-compatible CD player, leather trim, a sunroof, dual-control aircon and lots of good safety equipment, including stability control — which, curiously, only works in 2WD — and plenty of airbags. The 2.5-litre, four-cylinder engine isn't the most exciting drive, but is adequate and is at its best when cruising.The biggest discovery from time spent with the WRX was that you could, indeed, spend time with the WRX. Subaru copped plenty of flak over the decision to “soften” its performance Impreza, but most of that would have to be from those who haven't driven the car and certainly don't use it as a daily drive. Comfortable, compliant, spacious for its class and a stylish interior are things you couldn't have said with a straight face about the previous WRX models.The little WRX served bravely as a family car, spending most of its time pottering around the shopping centres and schools of suburbia protesting not a whit at being utilised so far inside its performance capabilities. When asked to step up for a country run or a sprint to an appointment the WRX showed it is still an athlete at heart. Overall fuel consumption was a touch higher than the claimed 10.7litresper100km but not excessive and the only issue was a remote key fob that occasionally forgot its job description.There are no two ways about it, we are really going to miss the WRX.Staying with us for the while is Chrysler's 300C Touring — cruelly dubbed the Mafia staff car. Living with the 300C is like being in a fishbowl. As you move around you are under constant scrutiny. And, in this fish bowl you're the whale.The gangster-mobile wagon with its monstrous grille, 18-inch alloy wheels and small rear windows is not easily missed.Indeed, it's hardly missed at all given the number of heads turning as we have driven it around Sydney over the past few months on this long-term road test.At first, people usually ask if it is the high-performance SRT-8, a 6.1-litre V8 supercar. However, when they find out it is the V6 diesel with surprisingly good fuel economy their interest grows noticeably stronger.We've been filling the 71-litre tank about once a fortnight and it's proven good for about nine litres per 100km. The low-down pulling power of the diesel engine and its amazing 510Nm of torque is impressive.There's no sprightly spring away from traffic lights; instead there is a feeling of tremendous power, ever-increasing as it gradually pulls away. Living with the car has revealed a few problems, such as the awkward set up of driver controls around the steering wheel and dash, poor rear visibility, and the feeling that you are driving a really big car is fairly pronounced at shopping centre car parks.The leather interior is grey and plain and the rear loading space in the wagon is reduced by side intrusions. However, the second row seats fold down very easily creating much more room.And while the economic benefits of diesel engines are leading to an upsurge in sales across most market segments, many Sydney service stations haven't moved with the times.We have found that many diesel pumps are dirty with spilt diesel underfoot and diesel residue on the hoses and nozzles.All very well if you are in your work overalls refilling a truck, but not so great when you are dressed to the nines heading for a night out in a 300C Touring with its limousine looks. SNAPSHOTS CHRYSLER 300C TOURINGPRICE: $60,990ENGINE: 3.0L/V6 CRD turbo diesel, 160kW/510NmTRANSMISSION: 5-speed autoECONOMY: 8.2L/100km combined claimed  SUBARU IMPREZA WRXPRICE: $39,990ENGINE: 2.5L/4-cyl turbo, 169kW/320NmTRANSMISSION: 5-speed manualECONOMY: 10.7L/100km  KIA SORENTO CRDiPRICE: $44,490ENGINE: 2.5L/4-cyl turbo diesel, 125kW/392NmTRANSMISSION: 5-speed autoECONOMY: 9.4L/100km 
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Hopes rise for the red-hot Ram
By Karla Pincott · 21 Jan 2008
After failing to bring the two previous models of the Dodge Ram here despite strong interest, it seems Chrysler isn't ruling out that theone unveiled this week could be released with right-hand drive. “Everything's under consideration,” Chrysler president Jim Press says. But he won't comment on which of the Ram's powertrains may be considered suitable for Australia. The Ram will launch in the US withthree engines: a 283kW/548Nm, 5.7-litre Hemi V8, a 231kW/447Nm, 4.7-litre V8 and a 160kW/319Nm, 3.7-litre V6. Transmission choices are a six-speed manual and four- and five-speed automatics, with part-time and on-demand four-wheel-drive transfer cases in regular, crew and quad-cab bodies with three tray lengths. The Ram's chances of finally gaining an Australian visa may be improved by the new Cerberus management team's focus on export markets. “Global growth is an imperative for the new Chrysler,” chairman Bob Nardelli says. Pointing out that the company sold almost 2.7 million cars last year, with sales outside the US up 15 per cent, Nardelli is confident the car-maker is on the right path. “You do the maths: if you can grow 15 per cent a year, you can double the business every five years,” he says. Nardelli says a lot of changes have been made on Cerberus's watch. Decision-making is a lot swifter since the divorce from Daimler because the process doesn't have to detour through Germany, he says. “We've demonstrated our ability with speed and decisiveness. “We've already approved 200 changes to our existing portfolio, and those changes will move to product that's on the drawing board. “We've made some tough decisions. We don't have a lot of fat; we've got muscle now. There's a strong heartbeat in Chrysler.” Part of what has kept that organ beating over the past few years has been Chrysler's adventurous approach to vehicle design -and that's something the new management is intent on continuing. Asked whether the company can afford to keep producing risk-taking styling, Jim Press replies that it will have to, in order to survive. “I don't see it as risk-taking design so much as great design,” Press says. “We need to continue to have an understanding of what customers want. “And that's not an appliance — it's a visceral experience, a passionate one.”
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Take your mark, get set, Detroit!
By CarsGuide team · 14 Jan 2008
The Big Three are resorting to some very un-American tactics to not only keep up, but attempt to regain their dominance.Now known as the North American International Auto Show (NAIAS), the Detroit motor show brings with it all the hype expected of the biggest motor show in the world.Thousands of media from around the globe pack into the Cobo Arena to be the first to see the newest and best in automotive engineering and design.Yet from jaw-droppingly expensive supercars, strange futuristic concept cars, to the next big thing in environmentally friendly, affordable family vehicles, Detroit has it all.The trends we see in Detroit will almost certainly be followed here.So for all the latest action from the Detroit Motor Show, stay right here at carsguide.com.au. 
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Chrysler C has the gee factor
By Graham Smith · 11 Jan 2008
 It was a time when bigger was better, when automotive prestige was measured by the metre.Many Australians in the 1940s aspired to own an American car of the sort being built and sold by Holden and Ford. But by the time Chrysler released the 300C in 2005, there had been a seismic shift in the market and US cars were regarded as gas guzzlers that were poorly built and less refined than European or Japanese rivals.But the 300C had a number of things going for it that would help it find its niche; US cars still had a following here, it was built and backed by DaimlerChrysler and it was distinctively styled.Model watch The 300C was a surprise hit. With its big, bold chrome grille, tall slab sides and chopped roofline it caught the imagination of a section of the local motoring public.Spend time in a 300C and it quickly became evident it was a head-turner. People might not necessarily have known what it was, but they sure took notice of it.Chrysler was aiming to steal a slice of the big-car market from the Fairlane LTD and Statesman Caprice, and it succeeded.Under the bonnet was either a 183kW 3.5-litre, single-overhead-camshaft V6 or a 250kW 5.7-litre Hemi V8 that had cylinder deactivation to save on fuel bills.Chrysler claimed cylinder deactivation — it was called MDS — was good for 10 to 20 per cent savings.The V6 was given a four-speed auto; the V8 a five-speed auto with a slapstick manual change.On the road, the 300C was surprisingly un-American. Instead of the expected sloppiness, it steered with precision and feel, braked confidently and the handling was well balanced and reassuring.Not such a surprise was the 300C's ride, which was comfortable and absorbent with good isolation and little noise intrusion, even on its 18-inch wheels and tyres.Standard gear included climate-controlled airconditioning, cruise control, fog lamps, CD stacker, remote central locking, full electrics and full leather trim.On the lotFor a V6 pay $36,000-$40,000 for a 2005-2006 model; add $5000-$6000 for a Hemi V8. Though style is an attraction for 300C buyers, the allure of the Hemi V8 probably makes it a better resale proposition than the V6.In the shopIt's early days in the life of the 300C, but owners report few problems so far. Nothing significant has come to light; the issues reported are minor and have been addressed by Chrysler.The softish ride can result in damage to the under body and suspension if driven too fast over speed humps, so make note of any noise coming from the suspension.Replacing low-profile tyres fitted to large diameter aftermarket alloy wheels can be expensive, so check the price of the tyres before deciding on a car with big wheels.In a crunchMass is a great protector when it comes to a crash, and the 300C is well endowed in that area. It weighs more than 1800kg.Being a large car, the 300C is not as agile as a smaller one, but its chassis is well balanced and electronic stability control helps out. The anti-skid brakes are powerful and its steering lets the driver know what's going on, so it has a powerful primary safety package.Airbags all round complete a modern safety arsenal that will provide good occupant protection.At the pump A heavy car with a big V8 isn't a recipe for low fuel consumption, so be prepared for a shock.The cylinder deactivation system on the Hemi V8 is a mitigating factor in its favour, but the 5.7-litre V8 will still be thirsty.Expect 15 litres for 100km around town and 12 litres on the highway for both V6 and V8 models.Owner's viewsShane Hann was one of the first to place an order when Chrysler imported the cars in 2005. Back then these cars were relatively unknown, and the number of looks and comments were astounding. He has done a few modifications; changing the exhaust so the Hemi can really sing, fitting 22-inch rims and dropping the ride height 35mm.Paul Carton is still grinning after two years and 30,000km at the wheel of a 300C. He says it's big and comfortable, but oozes power, and he loves driving it. He gets less than 15 litres/100km commuting and about 11 on the highway run.The bottom line Striking looks turn heads, but the beauty of the 300C is more than skin deep. 79/100 All angles Look for Head-turning stylingHemi V8 performanceReasonable fuel economy for a heavy V8 carComfortable rideReassuring handlingRivalsHolden Statesman/Caprice (2004-2006) $30,000-$50,000Ford Fairlane/LTD (2005-2006) $38,000-$49,000Jaguar XJ8 (1997-2001) $20,000-$51,000  
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Look who?s torquing in 2008
By Ashlee Pleffer · 04 Jan 2008
A hectic 2007 proved to be lucrative for the car industry with a plethora of new cars launched and more than a million sales throughout the year. And there's no indication that it will be slowing down in 2008.AUDI The new A4, to rival the 3 Series and C-Class is expected here about April, while July will see the hot sports wagon, the RS6 Avant and the A3 Cabrio. Extra A5 variants will follow. BMWBMW has a busy year ahead, starting with the 320d and 335i touring this month. The 1 Series Coupe will go on sale around April, followed by the convertible in May-June. But its big one for the year will be the new X6 Sports Activity Coupe, arriving between July and September. It comes with three engine variants, all twin-turbo, an in-line six, a 3.0-litre diesel and a 300kW 4.4-litre V8. Pricing is expected to start at just under $100,000. And the X5 scores a new engine in February, with the first variable twin turbo diesel offered in the range. CHRYSLER/JEEPJanuary will be a busy month for Chrysler, with the Sebring Cabrio and Grand Voyager people mover both arriving in Australia. The Jeep Cherokee will also get a total makeover. CITROENBased on the C4 Picasso, but bigger and better equipped, Citroen will introduce the Berlingo van between July and September, with a mainly diesel range. This will make room in the line-up for the new Nemo small van mid-year. The C5 will also get a new V6 diesel engine.FERRARIDeliveries of the exquisite F430 Scuderia, priced at about $550,000, will start mid year. Only about 40 will come to Australia and New Zealand. FIAT The reincarnation of the 1960s Bambino will arrive in March, but Fiat has already sold the first four months' supply. The new Fiat 500 will have three engine choices, a 1.2-litre petrol, a 75kW 1.4-litre petrol engine or a 56kW 1.3-litre turbo diesel. Pricing is expected to start from $22,000. The new Ritmo will join the Fiat 500 in March with pricing from $30,000. FORD One of the biggest launches for the year will be the new Falcon. Ford will release details of the new model in February and it's expected to be followed by an unveiling at the Melbourne motor show in the same month, with the official launch around May.FPV FPV will start the year with a new model, the hot turbo Territory, known as the F6 X model. It's the first non-Falcon model from FPV, with 270kW and 550Nm. The FPV Falcon range will also arrive this year. HOLDEN/CADILLACWith Ford's big year planned, you can't expect Holden to keep quiet. But so far, Holden has only announced it is expecting the VE Sportwagon, due in the first half of the year. GM-Holden is also introducing Cadillac with the first model due late in 2008. HONDA Honda will start the year with the new Accord model, due to be launched in February. The small Jazz is also getting an update after the middle of the year. Details on the new generation will be released closer to the launch. The Accord Euro is also expected to arrive later this year. HYUNDAI No big launches just yet, although an upgraded Sonata is expected mid year. JAGUARJaguar's major release for the year will be the new XF in June, with pricing expected to start from $105,000. It will be available in a V6 diesel, as well as a V6 and V8 petrol. KIAPreviewed at the Sydney motor show last year, Kia will launch its new seven-seater Rondo crossover in February. It is expected to start from as low as the mid-$20,000 mark. LEXUSNew for Lexus will be the LX570 around April or May, followed by the IS-F towards the end of the year. Details still to come. MAZDAThe second-generation Mazda6 will go on sale at the end of February with pricing from less than $30,000. It will be powered by a 2.5-litre, four cylinder engine, with 125kW and 226Nm.MERCEDES-BENZThe first arrival for Mercedes-Benz is expected to be the C 63 AMG in mid March. It will be followed by the S 320CDI, priced at $189,874 and the C-Class wagon, which will carry a $3000 premium over the sedan, coming in just under $60,000. MINIAnother new version of a 1960s cult car is also headed our way, with the Mini Clubman launched in February. The modern successor of the Morris Mini Traveller, the Austin Mini Countryman and the Mini Clubman Estate won't get into showrooms until March or April. Pricing will start in the mid-$30,000 area. MITSUBISHIMitsubishi will release two turbocharged Lancers this year. The top-level Lancer Evo X GSR will be here in April and sell for about $58,000. The 2.0-litre four cylinder turbo engine pumps out 200kW and 422Nm. Joining it will be the detuned version in the Ralliart all-wheel drive, at about $40,000. NISSANNissan's first addition for the year will be the all-wheel-drive wagon, the Dualis. Starting at $28,990 and stretching to $35,990, it's powered by a 102kW, 2.0-litre engine. PEUGEOTThe big launch for Peugeot will be the 308 replacing the 307 range, which will start with the 308 hatch in February in both petrol and diesel guises. The touring will follow in June or July, with the 308cc model a prospect for late 2008 or early 2009. PROTONProton has announced the Persona, based on the Gen2 hatch platform, will make its debut at the Melbourne motor show in late February, going on sale in March. It will be priced around the mid-teens. The Gen2 will also get engine updates and minor styling changes. RENAULTThe all-new Laguna will go on sale mid-year with a 2.0-litre diesel engine. SAABJune sees the arrival of the Turbo X AWD. SSANGYONGThe South Korean company will go completely diesel in 2008, with no more petrol engines on offer in Australia. SMARTThe new Fortwo arrives in Australia in February. The one-model brand will get both the 52kW and 62kW models, in hatch and cabrio, being bigger than the current models. SUBARUThe star WRX STi comes in February with a 2.5-litre turbocharged engine, although pricing is still to come. The third generation Forester arrives in March. SUZUKIFebruary's proving to be a busy month, with Suzuki also launching its Grand Vitara diesel. TOYOTAAfter a big year in 2007, Toyota is expecting a quiet year, with only the TRD Hilux due to be launched in April-June. VOLKSWAGENVolkswagen will kick off the year with the SUV, the Touareg R50, to be released in April. It's powered by a 258kW V10 TDI engine. The Tiguan also arrives about October.  VOLVOThe recently launched XC70 arrives in showrooms this month, joined by the C30 diesel also in January. It's priced at $43,950. A base model C30 will also enter the line-up, at $34,450. A 3.0-litre six-cylinder engined V70 will arrive in March. 
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Dodge steps up to the challenge
By Paul Gover · 02 Jan 2008
The Dodge Challenger SRT8 will be unveiled as a production car at the Chicago motor show in February, with a full arsenal of Camaro-busting weapons. It will be in US showrooms by June, giving it a 12-month advantage over the Camaro, which is into final prototype testing by GM Holden engineers in Melbourne.“We are a year ahead,” Chrysler chief designer Trevor Creed says. The British-born stylist has led the design-driven success of a range of Chrysler cars and he has high hopes for the Challenger. It was first shown nearly two years ago as a concept car at the Detroit motor show and will be production-ready on February 6. Challenger order books opened on December 3 and 4300 cars were sold that day.Chrysler plans to sell 120,000 cars over the life of the Challenger program, starting with the hot-rod SRT8 automatic. “It's 120,000 over the lifespan of four years,” Creed says.“The first 4000 or so are the SRT8s, and we are building a batch of SRT8s that will have a 6.1-litre V8. And then our next batch is regular Challenger and Challenger RT, which is 3.5-litre V6 and 5.7-litre Hemi. The next year is a regular build of those again, plus SRT8 with a six-speed manual transmission.”Creed says the Challenger has been built from the same mechanical package as the top-selling 300C sedan, but there are no plans for a right-hand-drive model for Australia.“Challenger is a short-wheelbase version of the 300C. It's the same front, the same rear, shorter in the middle by four inches with a new body style on,” he says.The Challenger is coming as US baby boomers snap up retro-style muscle cars, led by the Ford Mustang.
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Chrysler's green message
By Ashlee Pleffer · 07 Dec 2007
Chrysler has promised three eco-friendly new concept cars for the first big motoring event of next year and likewise, Mitsubishi has also announced a fuel-efficient diesel concept car.Chrysler will open with a Dodge Zeo sports car, then roll through the family-focused ecoVoyager to the off-road Jeep Renegade.The cars are only sketches for now as finetuning continues. Detroit will be the first big event since the American company's divorce from Daimler-Benz, after an unsuccessful takeover that was always billed; badly; as a merger of equals.“It's a very important show. It's our coming-out party for the new Chrysler,” Chrysler Group Australia managing director Gerry Jenkins says. “Detroit is always big for us. It's where we really showcase all our products. It's our home base. Quite honestly, it kicks off the year too, so it has a big motivational angle for us."“We put our best foot forward.”DaimlerChrysler has already split in Australia.Jenkins says Chrysler wants to push its green message in Detroit. “We are definitely going green. That is part of our core strategy going forward. No doubt about that,” he says.The Zeo concept is aimed directly at Gen-Y buyers and Chrysler describes it as a 2+2 sports wagon. It also says that, unlike most sports coupes, the baby Dodge is seriously intended for four-passenger use.But the real news is an electric drive system that promises a range up to 400km using a special lithium-ion battery pack. It has been designed for easy plug-in use.The ecoVoyager shares its name with the company's top-selling people mover and has a boxy minivan body but is more smoothly shaped. As with the Zeo, it has a lithium-ion battery pack. But the ecoVoyager should run for close to 500km between recharges because it has a compact hydrogen fuel cell to generate on-board power.The Renegade is typically Jeep, designed for off-roading and dune surfing, with a minimalist body including a hose-out cabin. Its green signature includes minimal use of materials, with an emphasis on recycled parts. Its power pack is a small-capacity Bluetec diesel engine linked to a lithium-ion battery pack. Chrysler claims the hybrid drive in the Renegade means it can run for 70km on electric power and return better than 3.0 litres for 100km with the diesel.The three show cars are a definite pointer to the future, though Jenkins cannot comment on potential production plans.And he does not rule out extra concept cars, without a green colouring, at Detroit.Over at the Mitsubishi stand the Concept-RA will be making its debut in Detroit. Powered by a 2.2-litre, four-cylinder turbo-diesel engine, the Concept-RA boasts both clean and dynamic driving, producing 150kW and 420Nm.The coupe concept uses the S-AWC vehicle dynamics control system driveline from the Lancer Evolution with added Active Steering and Active Suspension control improving traction, cornering and vehicle stability.It also features its Twin Clutch SST automated manual transmission.Mitsubishi has also aimed to improve crashworthiness and reduce weight. 
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Chery cars will hit globally
By Gordon Fairclough · 05 Dec 2007
In the city of Wuhu, China, on the Yangtze River, more than 25,000 blue-uniformed workers are busy churning out cars for Chery Automobile. As they motor through double shifts using the latest imported technology, they're also helping to change the dynamics of the global car industry.Barely a decade after it was founded, state-owned Chery has emerged as China's largest independent vehicle maker; and one that is determined to compete against the world's automobile giants.“In the beginning, no one had confidence in us,” says Yin Tongyao, Chery's chairman and general manager, in a rare interview. Now, he says, “we are looking globally for markets.”The tale of Chery's improbable rise is in large part the story of China's ballooning domestic car market, which has roughly doubled in size since 2004. Its products; mostly inexpensive cars and SUVs, which are also gaining a following in developing countries hungry for low-cost vehicles.But rapid growth is already taking its toll, as executives strain to manage the company's expansion amid a shortage of experienced workers. “We are still fighting for our survival,” says Mr Yin. “We didn't get to learn from the books. We have to learn everything by doing it.”In July, the company signed a landmark deal with Chrysler to sell a series of small cars made by Chery under the American car maker's Dodge brand.The pact marks the first time that one of Detroit's Big Three has outsourced the production of entire vehicles to a Chinese company. The deal also sends a warning to high-cost workers in the US and Europe that even more of their jobs could be at risk.Chery's arrangement with Chrysler follows years of breakneck expansion. Sales of Chery cars have increased more than tenfold since 2001. This year, Chery expects to sell more than 400,000 compacts, sedans and sport utility vehicles. By 2010, the company says, it will be turning out a million vehicles annually, for markets both at home and abroad.Holding the reins of this galloping enterprise are Mr Yin and a handful of other men who've been with the company since it started as the brainchild of local Communist Party officials in the poor eastern province of Anhui.The corporate culture they spawned is an odd hybrid of communist state enterprise and entrepreneurial start-up. Party propaganda posters hang on factory walls. “Know plain living and hard struggle,” one poster exhorts workers, “do not wallow in luxuries and pleasures.” In another part of the plant, bulletin boards display quality-survey data from JD Power & Associates comparing Chery's cars with those of its rivals.Inside the gates of Chery's sprawling production complex, where few foreign reporters have been allowed before, assembly lines run 16 hours a day. Much of the equipment is state-of-the-art, imported from Europe.Chery this year expects to export more than 110,000 cars, up from 50,000 in 2006, mainly to emerging markets such as Russia, the Middle East and Latin America, where its low prices are helping to win it business. The company is building a car-shipping port on the Yangtze near its plant to send vehicles to China's coast and overseas.Still, Chery remains far smaller than the world's big car makers. Volkswagen, General Motors, Toyota and Honda, which have each outsold Chery in the China market so far this year. World-wide, GM and Toyota both sell nearly 9 million vehicles a year.At Chery's research and development centre, engineers say they are now developing 40 to 50 new car models, at least 10 of which could be ready for production as soon as next year.Chery says it expects to benefit from Chrysler's technical expertise and established sales and service networks. Even though their cars will be sold under the Dodge brand, they expect consumers will know they are made in China by Chery.“People look down on our products. There are many doubts about our safety and quality,” says Mr Yin. Selling under the Dodge name initially will boost buyers' confidence, he says. “If we work together with Chrysler, we can go global faster.”Chery has combined low wages with massive capital investment and other government-backed support. This recipe is powering the latest phase of China's industrial revolution, helping firms in industries from cars to consumer electronics become significant global players.Junior engineers at Chery earn $US6000 ($6850) a year, and many sleep in bunk beds four to a room in company dormitories. Some don't have driver's licences and, like most Chinese people, didn't grow up riding around in a family car. Few workers can afford to buy cars they make.Assembly-line workers earn an average of slightly more than $US1 an hour — far less than their counterparts in Europe or North America but, in Anhui, a sought-after wage.Chery can “offer low-cost platforms with speed,” says Tom LaSorda, president and vice-chairman of Chrysler, which has said it will eliminate 25,000 jobs in North America. Visiting Chery's plants in 2006, he says, he found that “everything was very familiar,” with production processes and equipment very similar to those in top Western factories.Chery started building its first factories in March 1997. It hired a Taiwanese company to help it design its first model, a sedan known as the Fengyun, or Wind Cloud, which was cobbled together mostly using parts from components makers that supplied the China operations of VW and GM. The first cars rolled off the line in December 1999.But Chery wasn't allowed to sell them, since it didn't have a government licence to be in the car business. The red tape was eventually untangled when Chery briefly became part of the much larger Shanghai Automotive Industry Corp, a large state-owned company with partnerships with GM and Volkswagen. The Fengyun hit the market in 2001 and 28,000 were sold.Chery also began work on a four-door hatchback mini-car, which would lead to accusations that the young company was knocking off the designs of its competitors. The car, which went on sale in 2003 and is known as the QQ, is similar to a GM model known as the Chevrolet Spark.GM sued Chery in a Chinese court in 2004, alleging that the company had illegally copied its design for the Spark. The companies settled the lawsuit in 2005 without disclosing the terms of their agreement.Amid the controversy over the QQ, a fundamental shift was happening. In 2003, executives and government planners decided that Chery should go beyond recycling outdated technologies for the local market. They envisaged the company as an international player.Encouraged by sales in Chery's first two years and by signs that China's car market was revving up, the company and its state owners decided to embark on a massive new investment program. Chery also stepped up its efforts to recruit Chinese nationals working for car companies abroad, as well as to bring foreign expertise to Wuhu.“There's no way you can move slowly and catch up,” says Xu Min, a former Chery engineer who is now dean of Shanghai Jiao Tong University's Institute of Automotive Engineering. “It took the Japanese two or three decades. We didn't have that kind of time.”The central goal to acquire and develop technology that would belong to Chery and help it compete even in the US and Europe, with their daunting regulatory hurdles and high customer expectations.In 2003, Chery recruited Mr Xu, the engineer who is now an academic. Mr Xu, who was at the time a specialist in combustion and fuel injection at Delphi Corp in the US, says he got the hard sell from executives seeking to bring him back to Anhui, where he was born.Mr Xu says a lot of his friends questioned his decision to leave a secure job in Detroit for a post at a then unknown Chinese company. But he says he felt he was hitting a wall in the US.“In Detroit, you could spend years on something and never see it commercialised,” he says. “The pace was so slow.”Chery, on the other hand, wanted Mr Xu to oversee a project that would develop three new families of engines within just a few years.The engines are now good enough that Italian car maker Fiat plans to use them in some of its cars as well, buying them directly from Chery.Earlier this year, Chrysler executives visiting Chery could see the rapid progress that occurred over 18 months.“I would say the 'aha' moment for us would be when we subsequently visited Chery (in June),” says Richard Chow-wah, a Chrysler senior vice-president.He adds that the “ability to make decisions quickly without a lot of bureaucracy was what was most impressive.”What are some of the rumours you have heard about Chinese cars? 
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