US firm is the biggest target so far as mainland players look to overseas acquisitions
Mainland carmakers' possible interest in buying the struggling United States-based Chrysler unit from DaimlerChrysler, as reported yesterday, is just their latest but biggest move in three years of reaching into the international market by acquiring overseas assets.
Shanghai Automotive Industry Corp (SAIC), China FAW Group Corp and Chery Automobile, along with other carmakers, have been in talks to buy all or part of Chrysler from Germany's DaimlerChrysler, according to sources.
Chrysler, the third-largest carmaker in the US, lost US$1.5 billion last year and is cutting 13,000 jobs. Earlier reports said General Motors had also entered early talks with Chrysler for a possible acquisition.
'In the longer term, [mainland carmakers] are definitely interested in expanding in the global market and buying overseas assets is one of their choices,' said Wilson Liu, PricewaterhouseCoopers' Greater China automotive leader.
'Some Chinese automakers are eligible to acquire global auto assets after rapid development and expansion in recent years.'
