Chinese bureaucrats are under increased pressure to support Chinese-made car brands instead of the preferred luxury brands such as Audi, BMW, and Mercedes-Benz. Advertising Age reports:
The combined market share for Chinese sedans and compact cars fell to a four-year low of 28% in 2012, according to data compiled by the state-backed China Association of Automobile Manufacturers.
No Chinese brand was among the 10 top-selling passenger models last year, the data showed. Chinese carmakers risk falling further behind as foreign automakers expand their upscale product lineups with attractively priced crossovers and compact sedans.
Audi dominated the premium vehicle segment in China with a 30% share last year, followed by BMW at 24% and Mercedes-Benz at 21%, according to researcher IHS Global Insight.
Chinese government officials are confined in their automobile purchases by state-controlled limits on their spending:
In 2011, the central government issued guidelines that lowered the price limit on cars used for routine official business by 28% to 180,000 yuan. The lower limit would appear to eliminate the Audi A6L, China’s best-selling luxury car, which starts at 287,300 yuan.
Three months later, the industry ministry issued a proposed list of 412 models approved for purchase by state agencies — a list that excluded foreign brands. The fine print: Those regulations don’t apply to cars used by senior government and Communist Party officials.
Detailed rules probably will be issued after the Congress meets this month, providing a big boost to FAW, SAIC and other local automakers, the Beijing Times reported on Feb. 28, without saying where it got the information.
It is tempting to follow suit and demand our U.S. lawmakers to drive the Chevy Volt….
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Comments
Heck, the Chinese don’t want to buy local cuz a lot of local stuff is no damn good. Who would want to buy a car or any other product when you know the manufacturer’s mindset is … I know this is a piece of crap. If you buy it, it’s your problem cuz you’re a damn fool who ought to know that the product is crap, so don’t come and complain when the crap works like crap, and dont ask me for a refund cuz you ain’t getting any.
They buy Korean, burn to buy American, and have slacked off buying Japanese since the generals are ramping them up to war and hate Japan is the order of the day,
Those regulations don’t apply to cars used by senior government and Communist Party officials.
Straight from the Barry Soetoro “The Little Red Book”.
Didn’t know Jason Statham movies were so big in China…gotta love that Audi.
Not only should our lawmakers be required to purchase and drive Chevy Volts, they should be required to join the governed in blissful subjection to Obamacare, starting today.
Gotta hand it to the Germans. They know how to build cars (They even invented them!) So I can’t fault the Chinese when they look to better engineering. Heck I even drive a VW myself!
I’m surprised, however, that the Chinese government doesn’t have an “Invididual Mandate” which forces people to buy certain cars. Even in America, they have that sort of thing for health care. (Even if it’s ruled unconstitutional, like recess apointments, right?)