A company owned by China’s central government is taking it on the chin as Chinese customers avoid Japan branded cars. Dongfeng reduced production at its joint ventures with Nissan and Honda, the Wall Street Journal reports today. Amount or duration of what the company calls “production adjustments” is unknown.
At the same time, a 35 percent rise in Ford sales helped Ford joint venture partner Chongqing Changan achieve a third-quarter net profit. In September, the Ford Focus was the best-selling car in China.
“The Sino-Japanese tension has affected [demand for] Japanese automobiles, so we are trying our best to regain confidence from our dealers and customers,” Dongfeng said in a statement.
Three weeks ago, TTAC identified Dongfeng and Guangzhou’s GAC (JVs with Toyota, Honda) as among the companies most exposed to the Japanese car boycott.
According to Globaltimes, Nissan said that all their customers whose cars were damaged in recent anti-Japanese protests are entitled to free repairs as well as medical care coverage for personal injuries sustained during the same incidents.