More trouble for Ranger and HiLux with all-new ute

Life just got even tougher for the ute establishment.

Chery, the fast-rising Chinese brand with big aspirations for the Australian market, has unveiled its first dual-cab ute at the Shanghai Motor Show overnight. The Chery Himla (named for the Himalayan Mountains) gives the brand a direct rival to the Ford Ranger, Toyota HiLux and other established utes, as well as newcomers like the BYD Shark 6 and MG U9.

Chery was light on information at the Shanghai reveal, but reports from South Africa have confirmed it will be sold there with a turbo diesel engine and a hybrid powertrain. This is good news for Chery Australia, as South Africa is a right-hand drive market, so Chery International will be building it with the steering wheel on the correct side for our country, clearing the way for its potential arrival.

Zhu Shaodong, Deputy General Manager of Chery International said at the reveal that Chery is looking to tap into one of the biggest markets in the world, with the company projecting utes/pickups will surpass 6.3 million sales by the end of the decade.

“Chery brand always keeps original intention as the first choice of family-oriented customers,” Shaodong was quoted.

Crucially, Chery made specific note of its ability to tailor its vehicle to individual markets depending on their needs, calling it a “one region, one strategy” approach that should mean the Himla is well-suited to Australian ute buyer’s tastes – should it be confirmed here.

Should Chery Australia lock in the Himla for local sale it will join an armada of new utes hitting the market. It’s already started with the Shark 6, while the MG U9, LDV Terron 9, JAC Hunter, Foton Tunland and Kia Tasman all set to arrive in the next 12 months.

This dramatic increase in the number of available utes has led to some concern amongst the establishment that the current rate of growth is not sustainable. Toyota Australia sales and marketing boss, Sean Hanley, said earlier this year that he believes the current best-selling Ford Ranger and his own Toyota HiLux will struggle to stay at the top of the charts as the ute market gets more crowded.

“Or, maybe we should put it another way, have we, in fact, reached what I call peak ute?” Hanley said.

He added: “We know that ute buyers can look forward to having much greater choice available to them. But despite that, total ute sales are likely, I think, to remain fairly static.

“And the more fragmented segment will make it increasingly difficult for a single model to dominate the sales charts. With the ute under challenge as Australia’s most popular vehicle, it is more than possible, I think, an SUV, perhaps, and I say perhaps, even our very own RAV4, may very well rise to the top of the sales charts within the next couple of years.

“So watch that space very carefully as we progress.”

Certainly the arrival of the Chery Himla, which could be very competitively priced based on the brand’s aggressively affordable SUV offerings, could further put pressure on Ford, Toyota and the rest of the ute market.