American Motors began negotiations in 1979 to sell its vehicles in China and gain access to then low-cost Chinese labor. The Chinese wanted more-modern automotive technology; Beijing Jeep suited the needs of both parties and produced the American Motors Jeep Cherokee (XJ) in Beijing. While talks began in the late 1970s, operation started in 1985. The initial investment by AMC was $8 million. Assembly of the Cherokee continued after Chrysler purchased American Motors as did production of the classic Beijing BJ212-based SUVs.