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Sina Automotive News On December 16, 2004, Chery Automobile Co., Ltd. and the United States Visionary Vehicles signed an agreement on automobile exports in Wuhu, Anhui Province. According to the agreement, Visionary Vehicles will have the distribution rights of five new Chery cars in the North American region (the United States, Canada, and Mexico). Both parties plan to start exporting cars to the United States in volume from 2007. In April 2004, Vision Automotive Co., Ltd., which had been very interested in Chery's cars, and United States Aaron Investment Co., Ltd., came to Chery, and they both negotiated and cooperated to explore the North American market. U.S. Vision Motors (Fantasy Motors) has a significant influence in the U.S. market. Executive General Manager Mr. Brick has 45 years of automotive production and sales experience. After more than 10 rounds of mutual visits and negotiations, the two parties reached a cooperation agreement. According to the agreement, both parties will invest heavily in establishing a research and development and production base at Chery. In addition, the United States will continue to organize dealer teams according to international standards and establish 250 standardized sales outlets for cars. The goal is to sell more than 250,000 cars per year. This low-key contract has caused intense attention from the industry. As a representative of China's own brand, Chery Automobile has been actively seeking a breakthrough in the international market. As early as October 2001, the first cars of Chery Automobile exported to the Middle East, which opened the curtain for Chery to compete in overseas markets. In August 2003, Chery signed an overseas contract with Iran’s SKT to establish a precedent for the production of Chinese cars overseas. In November 2004, Chery's contract with Malaysia indicated that Chery’s export structure has developed from single-product exports and CKD exports. The output of intangible assets shows the strong strength of independent brands. The forthcoming export to the United States shows that Chery has the strength and confidence to participate in international competition in the developed country market. In 2003, it exported more than 1,200 cars and became the largest passenger car manufacturer in China. In 2004, it exported 8,000 cars and once again occupied the first place in car exports. So far, Chery has successively established cooperation agreements with more than 20 countries around the world for exporting vehicles or establishing cooperative factories. Products related to Fengyun, Qiyun, QQ, Oriental Sons, and upcoming SUVs and NEW CROSSOVER models. Previously there were comments that: Chinese auto companies will target overseas exports to the Middle East and developing countries, and in the face of developed countries dominated by Europe, Japan, and the United States, Chinese auto brands will take time. Only a month or so later, Chery once again created "myth" and sold its products to the most developed United States, participating in the competition of top international brands. Chery Automobile Export Events: n In October 2001, seven months after the Chery sedan was officially sold, the first batch of Chery cars exported to the Middle East formally opened the first step for Chery's sedan to participate in international competition. n In August 2003, it began to work with Iran. A CKD cooperation project has opened up the first step in the international cooperation of Chery cars; it also created a precedent for China's own-brand car technology transfer and overseas construction; n In August 2004, General Manager Yin Tongyao held a conference in Europe during his visit to Europe. A conference attended by 31 dealers from 15 countries in the world. During the conference, Yin showed a new car developed by Chery Company that will be put into production in Europe and the United States in 2005. This caused a huge sensation. European and American companies competed for Chery cars. The local agency has become the most challenging part of the international business in 2004; n On November 12, 2004, Malaysian ALADO Corporation and China Chery Automobile Co., Ltd. held a grand ceremony of authorized signing at the Great Hall of the People. Chery Automobile will fully authorize ALADO Malaysia to manufacture, assemble, distribute and import Chery branded passenger cars. ALADO plans to introduce Chery’s other three new models by 2005, and complete the introduction of all six models in 2006. And as a springboard to enter the ASEAN market, it has taken a solid step in the domestic technology transfer of independent brands. n On December 16, 2004, Chery signed a contract with Visionary Vehicles, Inc., and Visionary Vehicles became the distributor of Chery in North America, planning for 2007. Bulk exports of Chery cars. Prof. Lu Feng of Peking University’s School of Government Administration commented on this: “Chery exported to Iran and then assembled CKD. It was a model of a joint venture with China, but it turned over completely. The brand of Chery’s outside commercial use had to be handed over. Brand fees, which is to say why China should engage in independent development. "Without its own brand, how many cars are built is the brilliance of others!"