He tells the truth about doing business in China and pays the price.
Thanks to the oddities of local laws, virtually every foreign automaker wishing to manufacture and sell cars in China must do so through a joint venture with a domestic automaker. Those joint partnerships don’t always go so well as clearly evidenced by the implosion of the marriage between French-Italian-American company Stellantis and Guangzhou Automobile Group or GAC. In a stunning reversal, Stellantis said it will no longer be making Jeeps specifically for the Chinese market.
It was just in January when GAC was angry with Stellantis for claiming the venture would no longer be 50-50, the foreign automaker claiming it would increase its stake to 75%, since the legal documents hadn’t been signed. The Chinese auto market is notoriously xenophobic and touchy, a sad fact Jaguar Land Rover learned by successfully pursuing legal options against a copycat brand only for Chinese consumers to react adversely.
Read more on Gears Of Time
You must be logged in to post a comment.