| Buyers go bananas over luxury vehicles
By Lao Gong (China Daily)
Updated: 2004-06-17 11:13
At present, the luxury car market in China is mainly controlled by
Volkswagen's Audi, which started to produce sedans in the nation more than 10
years ago.
Visitors at Auto
China 2004 [newsphoto] | Audi intends to assemble
its A8 car at Volkswagen's joint venture with First Automotive Works Corp (FAW)
to safeguard its leadership in China, said sources from the venture.
The joint venture, in Northeast China's Jilin Province, is making the Audi A6
and A4 as well as Volkswagen Jettas, Boras and Golfs.
More than 60,000 Audi sedans were sold in China last year.
Volkswagen also started to sell its newly-launched Phaeton luxury sedan in
China in April.
"We have sold more than 20 Phaetons so far in China," said Ye Wen, the
communications manager of Volkswagen Group China.
Most of the world's other luxury car companies are also speeding up efforts,
especially local production, in China to cash in on the fast-growing market.
Mercedes-Benz will begin producing E and C-class sedans next year in Beijing
as part of its parent DaimlerChrysler's strategic alliance with Beijing
Automotive Industry Holdings Corp.
"Our sales on the Chinese mainland grew by 60 per cent during the first five
months of this year. We expect to sell between 130,000 and 140,000 vehicles for
the full year (up from nearly 10,000 units last year)," said Joachim Schmidt,
Mercedes-Benz's global vice-president of sales.
The company plans to increase the number of its sales networks on the Chinese
mainland to more than 50 by the end of this year from 42 now.
| 
