Only a few years since its founding, CHERY has not only developed 4 new style cars, part of which are exported, through its efforts, but also been the first car enterprise that establishes car joint venture abroad. That is the road for developing China's auto industry. The government should support such auto enterprises as CHERY, GEELY and HAFEI, which take the road of self-reliance development and proprietary innovation. Preferential policies should be given to them so that they can grow bigger and stronger.