OREANDA-NEWS. May 31, 2011. Chairman Xu Lejiang of Baosteel Group Corporation and president Ma Guoqiang of Baoshan Iron & Steel Co., Ltd. went to Wuhu Anhui to visit Chery Auto. Xu Lejiang and his entourage visited Chery's engine company, welding workshop, general assembly workshop and test center, and made in-depth exchange with president Yin Tongyue and relevant personnel of Chery Auto. Both parties wished to continue and deepen the cooperation and create a page of the strategic cooperation on technologies between Baosteel and Chery, reported the press-centre of Baosteel.

Since established in 1997, Chery Auto has formed 4 brands, i.e. CHERY, RIICH, RELY and KARRY, and more than 10 series and dozens of entire car products after 14 years of development. Meanwhile, Chery Auto also possesses its own engine brand. Last year, Chery sold 682,000 vehicles worldwide totally, registering a y-o-y growth of 36.3%, and has ranked the first place for export volume among the domestic passenger car manufacturers of local brands for 10 years in a row, as well as the first place for export volume among the domestic passenger car manufacturers for 8 years in a row. Baosteel has maintained a good cooperative relationship with Chery for a long time, and Chery started to use Baosteel's products from the manufacture of the first car. Over the years, Baosteel not only supplied quality steel to Chery, but also provided relative excellent service on material selection, application of high strength steel, optimization of supply mode and setting up professional service team, etc. Chery also provided resources support for trial use of Baosteel's new steel grades.

Yin Tongyue said in the exchange that, as the projects in Dalian, Erdos and Kaifeng, etc. are launched gradually, Chery Auto's attention to automotive steel not only stay at price only, but more and more on the value contained. He wished that Baosteel can take a proactive part in the development of Chery's medium and high end models. Meanwhile, he wished to strengthened the cooperation on the application of high strength steel and jointly pushed forward the production of home-made automobiles to develop toward the direction of lightweight and high strength.

Ma Guoqiang pointed out that the motive power of Baosteel's progress comes from the customers. The communication and exchange between both parties are conducive to propel the implementation of Baosteel's "packaged" solutions in Chery and satisfy Chery's requirements for development. As Baosteel keeps enhancing its productive and technological capability, Baosteel is confident in supporting the rapid development of Chinese automakers including Chery.

Xu Lejiang pointed out in the exchange that Baosteel is always oriented by the customers' demands. The good cooperative relationship between Baosteel and Chery provides the foundation for deepening the cooperation. Both parties can carry out cooperations on reducing cost with technologies for existing car models; in respect of the development of medium and high end car models, Baosteel has "packaged" solutions and is able to play its role in the development of Chery. Meanwhile, Baosteel has accumulated tremendous experiences in steel shearing, distribution and auto parts, and both parties can develop more extensive cooperation. Xu Lejiang expressed that the annual exchange between the senior executives of both parties can help both parties to boost the cooperations on technology, R&D and commercial with new achievements made continuously.