Look Out, Detroit: Geely on Track to Be the New Toyota

By Rob Quinn, Newser Staff

Posted Jul 15, 2009 6:56 AM CDT

(Newser) – The crash of the US auto market has sped up the global auto industry's shift toward emerging markets, and no one is better poised to take advantage than the Chinese, the Wall Street Journal reports. Geely, one of the few Chinese auto firms that operate without a foreign partner, has emerged as a frontrunner to buy Volvo from Ford and experts believe it could be selling its own models to the US in less than 5 years.

Analysts say Geely—which has set up its own engineering colleges around China— appears to be readying itself to repeat Toyota's rise to the top of engineering, but on a vastly accelerated timescale. Many predict an eastward shift of jobs and talent similar to the move of Geely's research and development chief, who quit his job with Chrysler 5 years ago to help develop the auto industry in his native China. "I saw the end of Detroit," he says.

[Images (2)]

[Quotes (2)]

Visitors look at Geely's GE model at the Shanghai International Auto Show. (AP Photo/Eugene Hoshiko)

The Geely logo is shown at the North American International Auto Show in Detroit last year. (AP Photo/Carlos Osorio)

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We are making progress. GM is big but moving down. We are small but moving up.
- Frank Zhao, president of Geely's research and development arm

China may soon become the most significant hub of low-cost engineering for the global auto industry. - Michael Laske, head of the China operations of Austrian engine-technology firm AVL List GmbH

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COMMENTS

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Showing 3 of 12 comments

scrappy2

Jul 16, 2009 11:50 AM CDT

Two words sums it up for me: America=Gullible

The_Pinkston

Jul 15, 2009 12:06 PM CDT

I don't have anything against American cars, but its their own fault they are going bankrupt. While companies like Honda and Toyota were making smaller more fuel efficient cars and developing the hybrid. The American companies were years behind creating fast engines (Hemis,v8s), and marketing their large SUVs like the escalade. I hope its not too late for the big three. There are a lot of jobs at stake.

kokuaguy

Jul 15, 2009 7:34 AM CDT

Good example Dan. I think they should be kept out until they agree to world wide environmental standards and stop using slave labor.

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China • General Motors • Ford • Volvo • auto industry • Geely Automobile Holdings

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