China’s vehicle exports up, but still not a major exporter of cars
China’s auto exports jumped to 47,200 vehicles in August of this year, making total exports for the first 8 months of the year total 336,100 units, which is a year on year increase of 80.01% according to figures released by the China Association Automobile Manufacturers (CAAM) earlier this week.
Whilst China’s automotive market is obviously booming at an incredible rate, its own exports seem to be lagging far behind what one expect a major car producing nation to be achieving, of course China’s appetite for automobiles is large enough that China can largely satisfy its own internal demand.
Passenger vehicle exports in August were a mere 26,400 units, but this was up 3.60% from the previous month and a massive increase of 167% over august 2009. Commercial vehicles saw exports of 20,800 vehicles which was down 1.11% monthly but saw an increase of 72.55% over the same period in 2009. According to CAAM’s figures, Chery lead the way so far this year with Jan to August exports of 57,300 units, Chan’an Auto exports 40,600, GWM exported 37,700 units, Dongfeng Auto 29,300 units and Beijing Auto 24,100 units.
Clearly Chinese automakers have a long way to go in boosting overseas sales and building brands, Chery seem to be leading the way with strong interjections into South American and Eastern European markets where their vehicles are well received, as are Greatwalls vehicles which are also sold in similar regions to Chery and also in the Australian markets.
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Why is an otherwise good product like a Great Wall pickup, and other practical vehicles, so difficult to export?.
Perhaps today’s Chinese do not have the adventurous spirit of the
earlier generations who make up the millions called “Overseas Chinese”. It takes a mind open to other cultures to be able to do the hard work of marketing one’s product in a foreign land. Perhaps education in the last 50 years hasn’t prepared Chinese business people for that challenge. It takes a person who is fully willing to get down with the native folk, to live among them, and to do the hard marketing work required to promote the product.
Certainly it takes an education that offers more than just the memorization of ordinary math, science, political slogans and doctrine. It takes a spirit of creativity born of an education aimed at teaching people to think for themselves.
English and other western languages are also essential to the task.
And so an entire field of training company staff destined for overseas assignments, is waiting to be developed.
A beginning case study might be the floundering Japanese assigned to China (by Toyota or Honda) trying to function without a knowledge of Mandarin, or the current culture and mindset of folks raised in the PRC. And of course that study should include how, on the other hand, the Germans have been so successful.
@ dragin
> Why is an otherwise good product like a Great Wall pickup, and other practical vehicles, so difficult to export?.
They are built to Chinese market conditions.
Building them to western standard raises cost and drives these models out of market since Chinese consumers don’t demand quality and safety from Chinese brands, only the lowest possible prices.
@IHC
“Building them to western standard raises cost and drives these models out of market”
May I remind you that Jonway’s UFO SUV (EV version) will be available in the US market under ZAP dealerships. Your old tune is not working here, please think of a better China-bashing way.
@dragin
It was talking for many times in CCT, Chinese automakers are preparing to attack the matured markets. SAIC’s MG will be coming very soon, Geely’s Emgrand will be found in Volvo dealerships. As it is always said, the question is not if but when.