Jeep sales rose 63 percent last year to 19,013 -- less than three days worth of China sales for General Motors Co. (GM), the top foreign automaker in the market. Detroit-based GM has 2,900 dealers -- more than 24 times the Jeep number -- that sold 2.55 million vehicles last year, mostly Buick, Chevrolet and Wuling models.It's not surprising they're looking at local assembly given that the tariff barrier is the tip of the iceberg - coupled with the non-tariff barriers, the prices for imported Jeeps in China are staggering:
The Jeep Grand Cherokee starts at 575,900 yuan, or $91,064. In the U.S., it starts at $26,995, according to company websites. The 2012 Grand Cherokee SRT8 version costs at least 1.2 million yuan, or $189,750, compared with $54,470 in the U.S., according to Edmunds.com.I've heard there's some demand for used American SUV's and minivans, which are prized for having bigger engines and more luxurious options than available in the Chinese market.
Dealing with the Chinese is cutting your own throat in the long run. My company makes auto parts for nearly everyone. New parts, molds, and processes engineered at our expense, are going to China for production. This is backfiring on GM especially as they have to bring production back to USA when the Chicoms can’t handle production loads by throwing people at it