Chinese Automakers Rush to Build Luxury Models
[2009-05-13]
Despite global economic recession, Chinese automakers have been rushing to build luxury cars of their own brands, targeting at high-end users such as business people and overseas buyers, the state-run Xinhua news agency reported today.
Geely Auto unveiled an extreme luxury car named Geely Excellence (Geely GE) at the Shanghai auto show in April, which will only be made by order and will probably be priced at more than $100,000. Geely also introduced a new high-end brand Englon at the Shanghai show.
Another Chinese automaker Chery Auto unveiled two new high-end brands, Riich and Rely, which were aimed at well-off purchasers. Chery's president Yin Tongyao said at the release ceremony that Chery has the ability to develop more luxury cars.
Brilliance China Auto displayed its third-generation Grace MPV. This high-end MPV is expected to go into market in late May.
Economy cars will remain a short-term focus of Chinese automakers, as the government encourages purchases of small-emission cars to help them boost sales. In the country's small- and mid-size compact car segment, competition is fierce and automakers are seeing a narrowing profit margin as prices keep falling.
Still, China has a huge sales potential for both small and luxury cars, which provides opportunities for automakers to shape and promote new successful brands.
In April, China's passenger vehicle sales hit a new high of 831,000 units, up 37.37% from a year earlier. In the first four months this year, passenger car sales totaled 2.83 million units, up 15.09% year on year.
Geely Auto unveiled an extreme luxury car named Geely Excellence (Geely GE) at the Shanghai auto show in April, which will only be made by order and will probably be priced at more than $100,000. Geely also introduced a new high-end brand Englon at the Shanghai show.
Another Chinese automaker Chery Auto unveiled two new high-end brands, Riich and Rely, which were aimed at well-off purchasers. Chery's president Yin Tongyao said at the release ceremony that Chery has the ability to develop more luxury cars.
Brilliance China Auto displayed its third-generation Grace MPV. This high-end MPV is expected to go into market in late May.
Economy cars will remain a short-term focus of Chinese automakers, as the government encourages purchases of small-emission cars to help them boost sales. In the country's small- and mid-size compact car segment, competition is fierce and automakers are seeing a narrowing profit margin as prices keep falling.
Still, China has a huge sales potential for both small and luxury cars, which provides opportunities for automakers to shape and promote new successful brands.
In April, China's passenger vehicle sales hit a new high of 831,000 units, up 37.37% from a year earlier. In the first four months this year, passenger car sales totaled 2.83 million units, up 15.09% year on year.
Source: Gasgoo.com
Keywords:Automaker luxury car
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