Chery Automotive will move its sales headquarters to Shanghai, according to local press reports.


In addition some of its research and development operations will be moved from the company’s current base in Wuhu, Anhui Province.


The move is part of a strategy to move towards the wealthier eastern seaboard of China and would also facilitate communication with Chery’s growing base of overseas partners. Chery started producing cars in Russia earlier this year and will launch the QQ in Brazil later this year. Earlier this year it was rumoured that Chery was in discussions with Chrysler about assembling a small car on Chrysler’s behalf in China.


Chery sold 190,000 vehicles in 2005 and has capacity to produce 350,000 a year.

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