Beijing Auto Denies Interest in Chrysler

Beijing Auto Denies Interest in Chrysler

  Chinese automaker Beijing Automotive Industry Co. denied Monday that it was in talks with Chrysler about buying assets or technology from the Detroit automaker, Reuters reported.

The denial came in response to a Chinese Business News report, citing an unnamed executive at Beijing Auto, that the companies had initial talks.

Though Chrysler no longer has a car-making venture with Beijing Auto, the Chinese company still produces Chrysler 300 models for the local market.

Chrysler did have ties to Bejing Auto. Chrysler and Daimler AG had a car-manufacturing venture with Beijing Auto, though Chrysler withdrew from the arrangement after private equity firm Cerberus Capital Management became its primary owner. The venture still builds the Chrysler 300, however.

Beijing Auto has a very successful car-making venture with Korea's Hyundai Motor Co. It is the parent of Chinese truckmaker Beiqi Foton Motor Co.

The Chinese Business News report said Beijing Auto was interested in buying some of Chrysler's vehicle and engine manufacturing facilities as well as technology to help boost its development of its own brand of automobiles. The report said Beijing Auto would likely receive financial support from the Beijing city government.

A Bejing Auto spokesman denied any such talks had taken place. Chrysler didn't comment.

Photo by Chrysler

Beijing Auto builds the Chrysler 300 in China for the local market.

Michelle Krebs:  is Editor-in-Chief of AutoObserver.com. Follow @AutoObserver on Twitter.