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The following article was published in our article directory on December 22, 2010.
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China Low-end Cars Requirements Surge Surprise

Article Category: Business

Author Name: Amanda xzh

In response to the new middle-class buyers of low-cost car surge in demand for foreign car manufacturers are re-used older designs, competing low-cost launch vehicle in China's unique brand.

Guangzhou Auto Show opened today, and this change is obvious. In this show, foreign vehicle manufacturers and their partners in China, will display and talk about them in order to meet the emerging middle class in Mainland China made new efforts to consumers. Many of these consumers exceeds the annual income of 5 million, which managers in the automotive industry appears to be Chinese car ownership - a threshold.

General Motors responsible for China operations, said Kevin Weir, for the low-cost car, a great demand in Mainland China. He said that in China, the annual sales of low-cost vehicle has reached 6 million, more than France and Japan and other major markets. Selling high-end cars in big cities, while the demand for low-cost cars is also growing, which indicates that from a business point of view, "China is not only a country, but many countries within a country."

The purpose of these actions is to reduce development costs, achieve and Geely and Chery Automobile, China specializing in low-end car manufacturers of the persons required to compete price.

In the Chinese auto market will undoubtedly reelection in the world situation, about 600 companies participating in the Guangzhou Auto Show December 20 in Guangzhou City, the curtain opened. Major manufacturers have introduced new models and brands, highlighting the importance of the Chinese market posture. In the future China's auto market is expected to exceed 20 million sales mark, including significant growth in the Chinese manufacturers, including around this huge market, competition will become more intense.

As of the end of November this year, China's auto sales reached 16,395,400, an increase of 34.l%.

The Chinese government may terminate the grant at the end of the year car allowance. In addition, the Government also discussed the purchase of new cars to ease traffic congestion in Beijing and other cities. These factors make people rush to buy cars. A Japanese company executive said: "12 months of monthly sales may exceed 2 million, which is equivalent to sales in Japan for several months." Therefore, China's total annual sales this year will be more than 18 million is a foregone conclusion, and break created by the United States in 2000 annual sales record of individual countries.

The Chinese government is vigorously promoting the development and popularization of electric vehicles. 20, the opening of the Guangzhou Auto Show, national car manufacturers to seize the Chinese market pains. However, spreading of electric vehicles, there are still many issues. Can China's automobile production and sales of electric forefront of it?

The reason why China's efforts to develop electric car industry, because of the rapid popularization of the domestic automobile environmental pollution and resource consumption caused serious problems. The amount of per capita car ownership in China is now only one-tenth of Japan. Even if the new car sales growth rate of about 10% of China's auto sales will also be in 5 years and 10 years respectively 30 million and 50 million. If women only increased gasoline cars, the environment and resources in China can not stand pressure? China in terms of gasoline hybrid fuel cars and started late, like just entered the practical stage of the electric car to catch up on U.S. and European industries.

Drawback of electric vehicles: the high cost of driving a short distance, charging equipment is not sufficient and so on. Because building electric car charging stations face many issues, BYD Auto delay time was put into electric vehicles. During the year the company planned to invest 100 in Shenzhen, electric taxi, the results released only 50, far from the city of about 13,000 and the size of Jiu than regular taxis.

Asian Games being held in November, Guangzhou City, dozens of cars into a large electric bus. Although the local government decided to put electric buses, but because of its high price (each approximately 170 million), the current penetration can not be determined. South rainy weather is likely to become popular prejudice a factor of electric buses. Electric vehicle charging station, a technician said: "If you suddenly began to rain, the electric car is likely to fail. The need for further improvement."

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