For the first time in nine years Volkswagen AG will likely sell more vehicles in China than General Motors, retaking the crown for the biggest foreign automaker selling cars in Chian, the world’s biggest automotive market. Both companies will sell more than 3 million cars and light trucks by the end of the year. Through November, VW is ahead by about 70,000 vehicles at 2.96 million, 17% ahead of 2012 figures. Competition is fierce between the two companies, who have planned to spend a combined $36 billion on operations in China in the near future. Last month VW said that it will be investing $25 billion over the next five years on expansion in China. (Read More…)
Tag: China Sales
The municipality of Beijing, China is going to be implementing traffic congestion fees on vehicles by 2017 to address increased air pollution. The plans were revealed as the city government published a five-year plan to deal with that pollution. Parking fees would also be increased and the areas where only locally registered cars and trucks are permitted to be used will be expanded. At the end of last year, Beijing had more than 5.2 million registered vehicles and city officials would like to keep that number below 6 million by 2017. Three other cities in China besides Beijing restrict new car and light truck sales, Shanghai, Gungzhou and Guiyang.
According the the China Automobile Dealers Association, despite efforts by car makers to reduce inventories, Chinese domestic brand dealers still had 49 days worth of supply in June, a figure that would be considered decent in North America, where two months is the norm. But it’s a matter of concern in China, where normal dealer inventories are 24 to 36 days. That figure is an improvement over the 61 days of supply at the end of May. (Read More…)