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  • Volkswagen Plans 4 Million Sales, Occupies 20% Market Share of China At Least
    Volkswagen Plans 4 Million Sales, Occupies 20% Market Share of China At Least

    Volkswagen territory expands in China. Changchun plant is about to put into operation on Aug 16. Xinjiang plant, Ningbo plant and Foshan plant are going into operation one after another. It is all for one goal that sales of Volkswagen shall reach 4 million in China in 2018. At the first half this year, Volkswagen sold more than 1.5 million cars in China, and remains its fast forwards moving. Meanwhile, Volkswagen takes more than 20% market share of passenger car segment. In the future, 20% market share is the bottle line for Volkswagen. The company will adopt more market strategies to remain its advantage in passenger auto segment. Recently, Heizmann, CEO of Volkswagen, toldreporter that Volkswagen will remain its leadership at new energy area. It has symbolic significance because Volkswagen hesitated for new energy segment of China before. In fact, not only Volkswagen, BMW and Toyota launch their electronic and hybrid vehicles in succession. Compared with before, foreign brands new energy vehicles published this time are closer to Chinese consumer demand, which means multinational company are fully enter Chinese market. In Chinese market, Volkswagen achieves never seen success. No matter mass market or luxury market, Volkswagen leads them all. DSG event bursts in March, but it does not influence Volkswagen much. According to financial report by Volkswagen Group, the company increases 5.5% over the world market, and increases 18.7% in Chinese market. According to Volkswagen statistics, it takes 12.7% market share over the world, but in China, the figure is up to 20.2% to 20.6%. Meanwhile, how could Volkswagen maintains its 20% market share position? According to the company plan, it will achieve 4 million sales in China before 2018, and keep 20% market share at least. 2014 should be the very first year of Volkswagen’s hybrid auto in China. At present, Volkswagen China is holding “Brand Day” which aims popularize its new technology. Li Ding, leader of R & D Volkswagen, told reporter that hybrid car is expected to break the market ice in 2014 and will take 3% of Volkswagen models. In the next ten years, Volkswagen Group has a very objective vista,  limited by battery capacity of pure electronic car, it will not have a bright future right now. However, with the popularity of new energy car, foreign capital is aiming the segment, and confident with its future.

  • Japanese Passenger Car Market Share Increases to 17.61%
    Japanese Passenger Car Market Share Increases to 17.61%

    Japanese company have its weapon to face slowly recovery. It launches new type vehicles one after another. GAC Honda sold 177,190 cars at the first half this year, which increases 0.49% over the same period of last year only. However, the figure suddenly increases 31.3% in July. Car dealer advertise some promotion like price cutting, besides, new launched upper medium car Crider is a very important reason as well. Since 26 June Crider come into market, it has 15 thousand orders already. In July, it sold another 10,357, which is less than CR-V only among Honda cars. Jun Yu, new boss of GAC Honda China, said to the media that GAC Honda has remained its sales according to its plan by now. Crider and Accord 9th generation which will come into market in September will increase sales at the next half year. He is confident will 30-40% sales increase. Besides, GAC Honda has 480 4S shops, and it has 100 second tire shops. With their spread to country- level market, GAC Honda has a bright future waiting for them. The 9th generation Accord will launch market next month. Accord 8th generation launched market 5 years ago, which was the most important model based on years research of Honda. Besides Honda, Toyota, Nissan, Mazda, Mitsubishi etc. will launch their new cars in the next half year one after another. And successors of GAC Toyota Yaris, FAW Toyota Vios, Toyota Reiz FAW, and FAW Toyota RAV4 will bring stiff competitive in each segment next month. What’s more, China-made Mazda CX-5, ATENZA and JADE Honda will launch market in the coming future. Japanese auto will burst after a long while finally. Highland has quite good sales in SUV segment which contributes to GAC Honda occupies top 1 sales volume among Japanese auto companies. It achieves 50.6% of its annual goal at the first half year, which is the only one among Japanese auto companies exceed their plans. Market share of Japanese auto keep warming up. According to CAAM’s research published on 9 Aug, Germany auto takes 21.38% of total passenger auto segment, and Japanese auto takes 17.61%. The figure of Jan to July was 19.6% for Germany auto and 15.14% for Japanese auto. Since the outbreak of Diaoyu island event, market share of Japanese car drops dramatically from 19% to 7.6% of last October. But it has picked up evidently since March this year. Japanese auto and Germany auto are about the same strength before 2012 in China. However, market share of Japanese auto drops real fast since Diaoyu island event. Germany auto grab the chance to space sales out of Japanese auto does. At present, Japanese auto has advantage of various brands, but Germany auto win at luxury segment. With the successors come into market and depreciation of Yen, Japanese auto will increase its sales for sure. However, it is still not possible for Japanese auto taking back the occupied market overnight.

  • Beijing Hyundai sales exceed 75 thousand in July, increases 25.5%
    Beijing Hyundai sales exceed 75 thousand in July, increases 25.5%

    Beijing Hyundai announces its sales recently. It sells 75,568 in July, increases 25.5% over the same period of last year. Till end of July, accumulated sales of Beijing Hyundai is up to 585.8 thousand which moves forward to 1 million goal this year step by step stably. As it understood, July has 4 more working days than June has, but auto industry enter slack season. What’s worse, economy recovers slowly and economy growth rate is still under downturn to 7.4% from 7.6% forecast early this year. Therefore, sales environment does not ideal enough, but Beijing Hyundai still achieves 25% growth over the same period of last year, which prove how exuberant vitality Beijing Hyundai does. Based on the forecast of slack sales environment, Beijing Hyundai makes new promotion strategy actively. At first, supporting automobile exhibition around Chang Chun area, and digging demand deeply in slack season by commercial tour among lower-tier cities; on the other side, it grabs SUV segment and try to attract potential consumer.

  • Chery Terminal Channel Integration
    Chery Terminal Channel Integration

    After hackling its research & development system, Chery now starts to reform its sales system. As reporter known, Chery changes its sales company name as “Chery Marketing Corporation” on Monday, and integrates Sales Department 1 and Sales Department 2 into one, and cuts sales regions from 14 to 8. According Beijing- Inner Mongolia region supervisor’s introductions, original Sales Corporation was divided into Department 1 and Department 2 , and terminal sales network was divided into two parts as well. Part 1 sells Storm 2, A1, A3 and Tiggo; Part 2 sells QQ, Cowin and Eastar, E5 etc. After adjustment of sales system, Sales Department 1 and Sales Department 2 will merge together. The part 1 and part 2 under sales region will merge at the same time. Besides organization structure adjustment, Chery redefines and integrates sales regions from 14 to 8. Each region has its “territory” and function departments. Some region is expanding, but some are merged by others, for example, Beijing- Inner Mongolia region now is canceled. Inner Mongolia Province now belongs to North-East region, and Beijing, Tianjing, Hebei Province and Shanxi Province are integrated to North China region. People concern about that is there any change for Chery dealers because of sales region integration. Relative officer said sales network 1 and network 2 will not change after sales region adjustment, and it will not have any merge movement recently. However, as reporter heard from dealers of Chery that it is possible for Chery to merge sales network together after integration. Arrizo 7 was belonging to sales network 1, but when Chery chooses dealers to sell the product, it does not distinguish them by network 1 or 2.

  • Guangqi Mitsubishi's annual production capacity to reach 130000 automobiles in 2014
    Guangqi Mitsubishi's annual production capacity to reach 130000 automobiles in 2014

    Guangqi Mitsubishi is aiming to increase its annual production capacity from the current 30,000 vehicles to 130,000 vehicles following the redesign of its painting and assembly facilities in the first quarter of next year. Guangqi Mitsubishi's production site works on single eight-hour shifts currently, with production capacity estimated to be around 120 vehicles a day and 7,000 vehicles a quarter. The joint venture's sales this quarter totaled 6,351 vehicles, nearly on par with its maximum production capacity. However, with new models in the works, including the domestically manufactured Pajero Sport due at the end of this year and a new SUV model in 2014, Guangqi Mitsubishi has no choice but to tackle its issue with limited production capacity,the JV will begin implementing double work shifts daily, which will help its monthly production capacity reach 5,000 vehicles and annual capacity reach 60,000 vehicles within this year. Annual capacity will increase even further following redesign of the JV's automobile factory, topping 130,000 vehicles. In addition to increasing its production capacity, Guangqi Mitsubishi also has plans to expand its Chinese sales network from the 60 dealerships active at the end of last year to 130 dealerships. The JV is aiming to strengthen its presence in second-tier, third-tier and even fourth-tier cities.

  • Changan Ford's sales grow 92% in Q1
    Changan Ford's sales grow 92% in Q1

    Changan Ford's year-on-year sales growth reached 92 percent in the first quarter, making it one of the country's fastest growing automobile enterprises. The introduction of several new models, including the Kuga, EcoSport and New Focus (pictured above), has been crucial in helping boost Changan Ford's sales over the past few months. Even sales of the current generation Mondeo increased 11 percent over the first three months of the year.  Changan is currently constructing a new engine factory in Chongqing, which is aimed to be completed and begin operation in June. The new factory will manufacture the majority of Ford EcoBoost engines to be sold in China.

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