Stellantis, the parent company of Jeep has announced the “orderly termination” of its joint-venture with GAC which has been producing Jeep vehicles since 2010.
This announcement comes less than one year after
Stellantis publicly disclosed that it wanted to raise its stake in the joint-venture, much to the irk of GAC
.
The Jeep-GAC joint-venture, which saw a 50 percent sales decline last year,
closed one factory in March
. It also closed two plants with another joint-venture partner, Dongfeng due to excess capacity.
This announcement puts into question recent moves by Jeep Philippines which has been
sourcing products such as the Jeep Renegade and Compass from China
. They also toyed with the idea of bringing in the Grand Commander before this announcement was made public.
Moving forward, Jeep will offer an “enhanced electrified line-up of imported vehicles” for the Chinese market. Closer to home, it’s understood that Jeep is toying with the idea to build some of its vehicles in Gurun, Malaysia where another Stellantis brand, Peugeot is currently being assembled.
Keyword: Jeep Terminates Joint-Venture With GAC