Category: News

EXEED TXL, an all-scenario super five-star SUV, was launched in Russia on October 22, 2020. As an independent premium brand, EXEED has built products up to international standards with global vision to deliver quality Chinese products to the world. The launch of EXEED TXL in Russia marks the start of EXEED’s new journey of globalization.

EXEED causes panic buying in Russia, shows new height of China’s auto industry

EXEED intended to enter Russia early and won the “2020 Breakthrough Award” in the selection of “Models of the Year”, a Russian national auto award in September 2020. The honor shows consumers’ recognition of EXEED’s R&D strength and product platform.

Newly-launched EXEED TXL will target male consumers with strong mind and on the career rise in Russia’s medium & high-end auto market. The model was highly recognized by Russian consumers and caused panic buying upon launch for its ultra-long 2,800mm wheel base, luxury craftsmanship and persistently outstanding quality in extreme cold.

EXEED aims to deliver globally competitive products, all-scenario super five-star EXEED TXL conquers Russian consumers

EXEED aims to deliver globally competitive products based on Chery’s top international R&D team and 23 years of mature experience in auto manufacturing.

EXEED TXL launched in Russia comes in two four-wheel-drive variants. The standard five-seat configuration, combined with “super five-star” safety, intelligence, space, exterior and quality, offers Russian consumers a premium mobility experience beyond expectation, and shows the model’s outstanding manufacturing strength and solid process quality. With the five-star + safety DNA of the EXEED brand, the model is a premium intelligent vehicle defining global quality.

Over the decades, China’s auto industry has forged ahead to achieve breakthrough and go global. The launch of EXEED TXL in Russia marks a new step of Chinese premium brands in globalization. EXEED will continue to develop and lead Chinese premium brands in delivering more popular Chinese products to global consumers.

At the 2020 Summit on Global Image of Chinese Enterprises, advised by the Publicity Department of the CPC Central Committee, the State-owned Assets Supervision and Administration Commission of the State Council (SASAC) and the All-China Federation of Industry and Commerce, hosted by the China Foreign Languages Publishing Administration (CFLPA), Chery was listed among “2020 Top 20 Chinese Enterprises with the Best Global Image” (“Belt and Road” Edition) for its years of results in overseas brand building, moving into the top 10 along with enterprises like Huawei, Lenovo and Alibaba. This is the 5th time that Chery has won this honor and Chery came out on top in the auto industry.

From July to September 2020, CFLPA and China Report Magazine conducted the 6th Chinese Enterprise Global Image Survey along with the Academy of Contemporary China and World Studies and Kantar Group. Through a big data analysis, 120 Chinese enterprises operating in 12 “Belt and Road” countries were selected as analytical samples for the survey. 6,000 citizens in Asia, Europe, Africa, South America and other regions were interviewed. After a model analysis of 4 first-level indicators and 20 second-level indicators, a list of “Top 20 Chinese Enterprises with the Best Global Image” (“Belt and Road” Edition) rolled out.

2020 marks the 20th year of Chery’s globalization. As the first Chinese independent brand to the international auto market, over the 20 years, Chery has implemented a “three-step” globalization plan, and gradually figured out a “Chery scheme” for the globalization of Chinese brands from “going out” and “going in” to “going up”.

Under the “Belt and Road” initiative, Chery has stepped up operations in Ukraine, Russia, Egypt and other “Belt and Road” countries. After years of operations, Chery has established longstanding and friendly cooperation with its partners in most “Belt and Road” countries, and become a well-known auto brand in key markets like Russia and Egypt. To date Chery has established the Wuhu headquarters, global R&D bases in Shanghai, Europe, North America, Brazil, and developed 10 overseas plants, over 1,500 dealers and service outlets. Chery’s overseas production capacity has totaled 200,000 units per year. Chery has exported auto products to over 80 countries and regions, of which 46 are along the “Belt and Road”. With cumulative exports of over 1.65 million units, Chery has been China’s largest passenger vehicle exporter for 17 consecutive years.

While Chery was listed among “2020 Top 20 Chinese Enterprises with the Best Global Image”, Chery’s anti-epidemic case was selected by the Information Center of SASAC as an outstanding case of global image building of Chinese enterprises in 2020 (overseas anti-epidemic category).In the global anti-epidemic campaign this year, Chery provided over 1 million articles of medical supplies, anti-epidemic experience and humanitarian aid to more than 20 countries and regions, supporting overseas markets in fighting the epidemic and resuming work.

Entering key European and American markets is an integral part of Chery’s globalization strategy according to its “three-step” plan. After accumulating some experience in Italy and other overseas markets, Chery has accelerated operations in Europe and America in ways such as technology cooperation and product cooperation.

On October 15 which marks the 20th anniversary of Chery’s export, Tiggo 8 Plus, a new member of Tiggo 8 series, was launched at the Yanqi Lake, Beijing. At the launch conference, tens of Tiggo 8 Plus owners, represented by Mariusz Orbach, First Secretary of the Embassy of the Republic of Poland in China, took keys from Yin Tongyao, Party Secretary and Chairman of Chery Automobile Co., Ltd. (Chery) and Dr. Gao Xinhua, Vice President of Chery and President of Chery Automotive Engineering Research Institute, to join the great family of “TIGGO M.A.N” as the first batch of Tiggo 8 Plus owners.

As an independent Chinese auto brand that went global earliest, Chery has become the most popular Chinese auto brand abroad after 20 years of overseas operations. To date Chery has been listed among “Top 20 Chinese Enterprises with the Best Overseas Image” four times, established 4 R&D centers, 10 production bases and over 1,500 sales service networks abroad, exported 1.65 million vehicles to over 80 countries and regions and been China’s largest passenger vehicle exporter for 17 consecutive years.

Chery achieved substantial export growth amid the global spread of Covid-19 this year, and exported 69,371 passenger vehicles in the first three quarters, up 36.4% year on year. Chery’s star models, led by New Tiggo 8, became the most popular Chinese models with record sales and market shares in countries like Russia, Saudi Arabia, Chile and Ukraine.

As a flagship SUV up to global standards, Tiggo 8 Plus is a new model integrating global wisdom and core technologies, as well as Chery’s global strategic model. Chery has initially completed the global deployment of Tiggo 8, and will launch Tiggo 8 Plus in countries like Saudi Arabia, Russia, Uruguay, Ukraine and Chile, to take a further step towards the strategic goal of “becoming a globally competitive brand”.

Chery has applied for 19,191 patents and obtained 12,393 patents. How has Chery building on technology for 23 years persistently accumulated innovations through patents to set up competition barriers? How has Chery progressively changed intellectual property (IP) into “capital” and “rich ores” that can be developed, be utilized and constantly create new value from patent protection to IP operation? On the afternoon of September 17, the National Intellectual Property Administration, PRC organized over 10 key Chinese media outlets such as people.cn, CCTV, China Daily and China Intellectual Property News, to visit Chery under the theme of “Intellectual Property, Future of Competition”, thereby finding out how Chery has spurred innovation vitality and build “hardcore” brand competitiveness through IP.

01 Building the moat of “Technology Chery”

Since its founding, Chery has taken independent innovation as its core strategy, and invested 5 to 7 percent of its annual revenues to independently develop core technologies restricting the development of China’s auto industry, thus developing an array of independent technologies and products, and forming strong IP reserves.

Take the core technology of the engine known as the “heart” of the vehicle for example. Until the early 21st century China had not developed any car engine independently and imported engine technologies had been backward.

In this context, Chery bet all what it had-about 2 billion yuan on engine development in 2002, which was then considered to risk its life with money in the industry.

Chery went through all hardships to successfully develop the ACTECO engine series with independent IP, to achieve a breakthrough in Chinese high-performance engines, and set off an engine development fever among Chinese automakers.

To date Chery has brought over 8 million units of engines off line and six engines have been listed among “‘China Heart’ Ten Best Engines”.

From engines to transmissions, from core parts to platform development, from traditional automotive technologies to “electric, intelligent, connection and sharing” technologies such as new energy and intelligent connection…Chery has broken foreign core technical barriers one after another. Meanwhile, Chery was aware of the importance of IP protection early. Since 1998, Chery has applied for patents for all its innovations to build a “moat” of “Technology Chery” .

Increasing patent applications and authorizations have witnessed Chery’s confidence in “keeping core technologies firmly in hands” and the ever-growing innovation strength of “Technology Chery”. To date, Chery has applied for 19,191 patents and obtained 12,393 patents, including 3,692 patents for invention, ranking top among Chinese automakers. Chery owns nearly 30 national innovative enterprises, technical centers and laboratories, and has won the “National Science & Technology Progress Award”, “China Top 10 Innovative Enterprises” and other honors over 10 times.

02 Increasing the “gold content” of IP

“The large number of patents is far from being enough for the creation of a high-level IP system”. According to Li Yongjie, IP Director of Chery Holdings, Chery has changed its IP protection focus from the number of patents to the quality of patents early since 2008. Within only two or three years, the percentage of Chery’s applied patents soared from 70% in 2007 to 61% in 2011.

Chery has mapped out an IP development strategy, established an IP work system based on organization and supported by systems and processes, and worked on IP throughout R&D, production and sales.

Chery has also improved its patent layout according to the trend of auto development, and stepped up deployment in cutting-edge technical fields on the basis of consolidating traditional core auto technologies. According to the “2019 Auto Patent Innovation Index” released by China Automotive Technology and Research Center Co., Ltd., Chery was ranked first among Chinese automakers in terms of patent quality-the most valuable ranking category; in the field of intelligent connection representing cutting-edge technologies, Chery was ranked among the world top and first in China.

As one of China’s earliest new energy vehicle developers, since starting to develop energy-efficient and new energy vehicles early in 1999, Chery has established a perfect new energy technology R&D system covering vehicle integration, core technology and core parts development, and applied for over 1,000 new energy patents and obtained over 600 patents, ranking top in the industry. Take the lightweight all aluminum body independently developed by Chery New Energy for example, the company applied for 124 patents for the body alone, and the body has created over 10 “firsts” in China such as “first production all aluminum body” and “first body-battery pack integrated structure”.

03 Horizontal & vertical “alliances”, future of competition

During China’s upgrading from a “manufacturing power” to a “brand power”, IP is not only a “protective umbrella” for corporate innovations, but also “capital” and “rich ores” that can be developed, be utilized and constantly create new value.

Chery has started from scratch, grown in number and achieved a qualitative leap in IP development, and is now working on IP protection and operation. According to Li, to establish a long-effective mechanism, Chery has initially established a “three-in-one” work pattern, i.e. further extending IP work horizontally and vertically based on its existing work system to promote local economic and industrial development. Horizontally, Chery has initiated the “Wuhu Wanjiang Intellectual Property Operation Center” to push Wuhu’s other industries into a fast track of IP development; vertically, Chery has established the “Anhui New Energy Vehicle Industry Intellectual Property Alliance”, to drive the upstream and downstream sectors of the auto industry to set up industrial patent pools with IP as the link of interests, connect patent value and accomplish integrated development.

Intellectual property, future of competition. Benefiting from the building of core competitiveness including IP, Chery has created a forward development system, and significantly improved in technology, quality, cost, delivery and investment. According to a survey conducted by J.D.Power, a global automobile quality test institution in 2019, Chery was ranked 26th above most international brands in terms of product quality, up to leading standards among Chinese brands.

On May 18, 21 years ago, Chery’s first engine was ignited and rolled off the production line. Since then, the “China Core” of China-made cars has had an exciting development.

Only 4 years later, the first generation of ACTECO series engine independently developed by Chery rolled off the production line, marking that Chinese brands had the first serial engine that was fully forward developed and possessed independent intellectual property rights.

21 years later, Chery ACTECO series engine, now, has developed a series of products with displacement from 0.8L to 4.0L after three generations of “evolution”, with accumulated users exceeding 7 million. Chery engine products have been exported to more than 80 countries and regions around the world with its full vehicles, and separately exported to America, Japan, Germany and other automotive industrial powers. As a powerful representative of “China Core”, a total of 6 engines of Chery Group are selected as the “Top ten Engines”.

Since the beginning of this year, faced with the adverse impact of COVID-19 epidemic on the automobile industry, Chery Group has experienced a rapid recovery in sales. Because the main models, which have witnessed a month-on-month increase in domestic sales and overseas exports, are all equipped with the third-generation ACTECO 1.6TGDI engine of Chery. From the new generation of Chery Tiggo 8 and Tiggo 7 Pro to high-end brands such as EXEED TXL/TX and LX, ACTECO 1.6TGDI engine has brought exciting and smooth power experience to global users.

Chery started its development from the engine. In 1997, the building of Chery Automobile was commenced and it was the engine plant pile that was first driven.

Engine is the “heart” of cars as well as the first challenge Chery needs to overcome in car building process. At first, Chery introduced a second-hand engine production line from abroad at a huge expense. Because Chery did not master technologies to assembly the production line, it could only sign an agreement with the foreign party in the form of a “turnkey project”, i.e. the foreign party sent technicians to assemble the production line, while Chinese party could not participate in the whole assembly process and could only obtain the start “key” after the whole line was assembled. This heavy reliance on foreign technology left Chery in a passive and inefficient position, making Chery realize it has to master the core technologies to take the initiative.

Chery, a fast-growing company, decided not to rely on foreign technology but to develop and manufacture its own engines. After the successful ignition of the first engine in 1999, Chery initiated painstaking technology exploration and independent development. Chery invested about 2 billion Yuan in cooperation with AVL in Austria to develop a series of engine products. In 2003, the first generation of Chery ACTECO series engine officially rolled off the production line. This engine was also the first self-owned engine of Chery. The first generation of ACTECO series engine covered a variety of models such as 0.8L/1.0L/1.5L/1.8L/2.0L natural aspiration, which were used in classic models such as Fulwin, Cowin and QQ at that time, indicating that Chery had truly mastered the core engine technology in its own hands.

Time flies. In 2009, the second generation of Chery ACTECO series engine came off the production line. Since then, Chery has achieved a “zero” breakthrough in China-made high-performance engine. Compared with the first generation engine, the second generation engine has achieved comprehensive progress in power, economy and emission, and is also more optimized in structure, with the advanced lightweight level in the industry at that time. The second generation engine covers multiple models such as 1.6DVVT/1.5DVVT/1.0TCI/1.5TCI, and is assembled on multiple products of Chery Arrizo and Tiggo series.

Relying on the forward development system and leading technological advantages, Chery continuously develops engines with higher technical level and stronger performance. In 2018, the third generation of Chery ACTECO series engine came into being. The third-generation engine of Chery includes models such as 1.6TGDI/1.5TGDI/1.2TGDI. ACTECO 1.6TGDI engine is the first product of the third-generation engine. This engine is excellent in power performance with a maximum power of 145 kW and a peak torque of 290 N•m. Moreover, with 37.1% thermal efficiency, it continues to lead in China-made engines. This engine is the first to adopt five core technologies of Chery, including iHEC (smart) combustion system, rapid heating thermal management system, rapid response booster technology, friction reduction technology, and lightweight technology. In 2019, the third-generation of Chery ACTECO 1.6TGDI engine won the title of “Top Ten Engines of the Year”. In the same year, the third-generation of Chery 2.0TGDI engine was successfully ignited and would come into the market first equipped on EXEED VX this year.

In 2019, the third generation of Chery ACTECO 1.6 TGDI engine adopted high-pressure casting all-aluminum alloy cylinder block in new materials, and many new technologies such as modular integrated design and structural topology optimization, so the engine weight was 21 kg lighter than that of the previous generation engine, further improving fuel economy with more excellent power experience at the same time.

Meanwhile, Chery, as one of the earliest automobile companies in China to develop new energy engines, undertook a number of national new energy projects. At the 2019 World New Energy Vehicle Congress, Chery’s special 1.6TGDI hybrid engine attracted much attention. After verified in the thermodynamic development test, the highest effective thermal efficiency of this engine reached 41%, reaching the world’s leading level.

The evolution of Chery’s “China core” embodies its adherence to “technology-oriented enterprise” and consolidation of core competitiveness over the past 20 years. Chery is the first automotive company in China to master engine, automatic transmission, chassis, engine management system (EMS) and platform technology through independent innovation. After many years of hard work, Chery has made a series of breakthroughs in core technology fields such as power technology, platform technology, new energy, intelligent network connection and autonomous driving technology. By the end of 2019, Chery Group had applied for a total of 18,601 patents and obtained 12,012 authorized patents, of which 3,561 were invention patents, accounting for 30% of the authorized patents and ranking among the best in China’s automobile industry.

At the recent 5th Auto Finance International Summit, Chery HuiYin Motor Finance Service Co., Ltd. (Chery FS) received the “Jinding Award for Best Auto Finance Service Innovation” in recognition of its innovation efforts and efficient services.

As a renowned professional auto finance summit, the 5th Auto Finance International Summit took place in Shanghai, with the theme “Accelerating the compliance and online development of auto finance in the new situation”. It brought together finance elite to interpret new industrial policies, analyze key problems in the sustained development of the industry and explore ways for industrial development.

The “Jinding Awards” presented at the summit include 17 awards, cover three categories: innovation, product service and star enterprise, and target automakers, dealer groups, auto finance companies, trust companies, fund companies and banking institutions. Upon reviews by the financial institute expert panel, Chery FS stood out by customer service innovations, to claim the “Jinding Award for Best Auto Finance Service Innovation”.

Finance is one of the seven industries deployed by Chery Holding Group. Founded in 2009, Chery FS is the only Chinese auto finance company among the five standing members of the Auto Finance Committee, China Banking Association.

Thanks to its diversified development channels, as well as efficient and targeted intelligent services, Chery FS has developed over 2 million personal loan customers and over 3,000 partners, and issued a total of 70 billion U.S. dollars in loans worldwide.

Chery-incubated EFORT Intelligent Equipment Co., Ltd. (EFORT) went public on the START Market of the Shanghai Stock Exchange on July 15, with the ticker symbol “688165”. This is another listed subsidiary incubated by Chery after the listing of Bethel Automotive Safety Systems Co., Ltd. on the Main Board in 2018.

EFORT issued 130 million shares at 6.35 yuan per share. On its first trading day, the stock opened at 26.66 yuan per share, and skyrocketed 387.87 percent to close at 30.98 yuan per share with a market capitalization of about 16.165 billion yuan.

Over the years, Chery has offered about 150,000 jobs by incubating enterprises in emerging industries such as industrial robotics, general aviation, new energy, modern agricultural equipment, intelligent connectivity, auto finance, tourism real estate and cross-border e-commerce.

EFORT is a Chinese leading industrial robot enterprise, one of China’s top 100 intelligent manufacturers, as well as a member enterprise of Chery Technology-a key enterprise in Chery’s automotive parts sector. The last three digits (“165”) of the ticker symbol “688165” taken by EFORT represent its first independently developed 165kg heavy-duty point welding robot.

EFORT has created a layout of core parts, machines and high-end system integration covering the whole industrial robot chain, used robot products and solutions to empower industries such as new energy vehicle, rail transit, aerospace, 3C electronics, PV, construction machinery and foundry, and exported them to Europe, Asia and Africa.

EFORT will invest the raised capital in the R&D and industrialization of next-generation intelligent high-performance industrial robots, the performance improvement and capacity building of core robot parts, as well as the R&D and industrialization of a robot cloud platform, in an effort to become a globally competitive robot company.

In recent years, Chery has taken full advantage of its institutional advantage and brand effects, focused on the auto industry, deployed in seven business sectors: automobile, automotive parts, shipping, real estate, finance, modern services and intelligence, and established over 270 member enterprises. With over 90 parts manufacturers, Chery Technology, a key enterprise in Chery’s automotive parts sector, has implemented the strategy of “industrial management + capital operation”. With nearly 20 listed companies, Chery has kept promoting the capacity improvement and win-win development of its member enterprises.

The top 100 list of “2020 China Best Employer Award-Campus Recruitment Cases” has recently been released. Chery Automobile Co., Ltd. was selected into the list for the second straight year due to its outstanding campus recruitment performance amid the epidemic.

Initiated by Zhaopin, a leading talent recruiting platform, “China Best Employer Award-Campus Recruitment Cases” aims to explore the key points connecting campus recruitment brands to universities on an independent and objective ground, through a professional and scientific investigation and selection, offer university students effective “good employer” and “good work” references, and provide more outstanding cases and practical experience for employer brand building. This year over 1,400 enterprises entered the award. Apart from Chery, other renowned enterprises like Lenovo, JD and Coca-Cola are on the list.

Affected by the epidemic, China’s employment situation has become grimmer. This year 8.74 million university students are expected to graduate, up 400,000 from last year. Due to the increase in the number of graduates and the impact of the epidemic, offline job fairs have been postponed. This year graduates will face the toughest graduation season ever. To stabilize graduate employment, Chery promptly introduced innovative means such as online two-way job fair, live video job fair and employee alumni resources after the epidemic, to address graduate employment in the special period.

Besides, Chery did not forget the students that postponed returning to universities and will graduate in 2020. In the early spring, Chery pushed the knowledge of epidemic prevention by e-mail, telephone and WeChat to deliver care to every student; in the early summer, Chery frequently contacted signed students to inquire about their progress of dissertation writing and graduation time. Given that some students may delay in graduation and reporting, Chery handled special cases in special ways and a humanized manner. Teachers and students voted overwhelmingly for Chery because of its outstanding performance in campus recruitment.

Chery has established the ideal and faith of “serving the country through industry” since its founding. Over the 23 years, it has performed the social responsibility of stabilizing social employment by creating direct jobs for nearly 50,000 people, gathering over 870 automotive and automotive parts manufacturers in Wuhu to create some 150,000 jobs in the upstream and downstream sectors of the automobile industry, and creating over 10,000 jobs abroad.

Besides, to reduce the impact of the Covid-19 outbreak on local employment, Chery accelerated production resumption and develop new business fields amid the epidemic, to ensure labor use and avoid mass unemployment caused by the epidemic. Next Chery will continue to perform social responsibility, create more social value through its mature human resources management system, help to secure employment after the epidemic and warm the employment season by actual action.

Recently the General Office of the Ministry of Industry and Information Technology (MIIT) has released the “New-generation AI Innovation Key Task Undertaker List”. Chery’s “Communication System Applied in Aided Driving or Autonomous Driving Vehicles” was on the list.

MIIT started to recruit undertakers of AI innovation key tasks in December 2019, for the purpose of recruiting and selecting a number of innovators with core technologies and strong innovation capacity, breaking the bottleneck of AI development, accelerating the deep integration of China’s AI industry with China’s real economy, and promoting innovation development. Being selected into the list means Chery will take a part in national new-generation AI innovation as a major innovator.

As one of the enterprises that deployed operations in the area of intelligent driving earliest in China, Chery teamed up with the Hefei Institutes of Physical Science, Chinese Academy of Sciences in 2010 to establish an

autonomous driving vehicle technology platform. In 2018, to fully embrace intelligentization, Chery launched an intelligent strategic brand-“Chery Lion”. The platform includes five business sectors (Chery Lion Intelligent Driving, Chery Lion, Chery Lion Intelligent Win, Chery Lion Intelligent Manufacturing, Chery Lion Intelligent Travel), and covers Chery’s full life cycle from R&D to manufacturing, marketing and service. “Chery Lion” focusing on ICV and “Chery Lion Intelligent Driving” focusing on autonomous driving are the two core business sectors.

In technology reserves, Chery has worked with Baidu Apollo to launch an autonomous driving technology platform. In 2019, Chery kicked off public road tests in North America as the world’s 65th holder of California’s Autonomous Vehicle Driving Permit. On the basis of putting L2 autonomous driving vehicles into mass production, Chery is expected to achieve L3 conditional autonomous driving by 2020 and L4 highly autonomous driving by 2025.

Besides, Chery first concluded the “Cooperative Agreement on 5G Application in Autonomous Driving” with China Telecom in 2019. Under the agreement, the two sides will jointly build a 5G autonomous driving demonstration park and a united 5G intelligent vehicle laboratory, and jointly promote 5G application in the development, testing and demonstrative operations of Chery’s autonomous driving technologies. To date 5G has been fully accessible in 5G autonomous driving demonstration park.

Selecting Chery into MIIT’s “New-generation AI Innovation Key Task Undertaker List” shows the recognition of Chery’s AI achievements and the expectation for Chery’s future development. In the future, Chery will continue to push forward vehicle intelligentization, deepen operations in the AI area, follow China’s national AI strategy and advance the commercialization of intelligent vehicles.