Chinese automaker in talks to sell in U.S.

A recent Bloomberg report says that DaimlerChrysler, the first foreign carmaker in China, is in talks with Chinese government-owned Chery Automobile Co. to sell Chinese-built subcompact cars in the United States.

DaimlerChrysler would join Honda Motor Co., Japan’s third-largest carmaker, in exporting vehicles from China.

The reports says that DaimlerChrysler said last year it may export Chinese-made cars in order to cut its labor costs, which were estimated as one-18th those of U.S. workers.

Chery, based in eastern China’s Wuhu city,  operates three assembly lines and cranks out 400,000 vehicles a year and intends to increase up to 1 million vehicles per year.