As if the Chinese auto market isn’t already immense, one Chinese auto exec predicts that it will double in size to 40 million units over the next decade. The prediction comes from Dazong Wang, president of Beijing Automotive Industry Holding Co. In order for Wang’s prediction to become reality, the annual rate of sales growth in China will only have to be half of what it has been over the past decade.
With those figures, nearly half of the world’s auto production would be concentrated in China. Wang however, does not see the Chinese market going the way of the Japanese market and becoming a center of automotive production.
“You will see Chinese products on a global stage, but [Chinese automakers] won’t be like Japan. China will account for 50 percent of the world’s sales volume,” so automakers will produce vehicles in China for the domestic market, Wang said.
Over the past decade it was growth n China’s coastal cities like Shanghai and Guangzhou that spurred growth, but now China’s inland cities are seeing the boom of an emerging middle-class with the means and desire to buy nicer, better developed vehicles.
– By: Stephen Calogera
Source: Automotive News