The ‘compact plus’ segment growing fast in China


408 commentary 300x173 The ‘compact plus’ segment growing fast in ChinaMid-size cars are growing bigger and bigger. When the Volkswagen Santana landed in China 25 years ago, the 4.54-meter-long car did not look small, but when the New Passat, a mid-size car specifically designed for American and Chinese market, hit the market, the 4.87-meter-long car offers few advantages in size when facing Honda Accord (US & Chinese version) and the Nissan Teana.

Recently, compact cars are willing to follow this trend, and even be stretched more. Perhaps, these stretched compact cars can be called ‘compact plus’ cars.

Peugeot 408 should be regarded as the founder of the new segment. The 307SW based saloon measures 4.67 meter in length and 2.71 meter in wheelbase, much longer than its competitors, and even 4 millimeter longer than its elder brother 407. Literally, it seems that 408 is the successor of 407, but it is much cheaper than any mid-size cars in Chinese market. According to Peugeot, the real successor of 407 is 508.

As a matter of fact, PSA built a similar car 5 years ago. Citroen c-Triomphe was a stretched C4 saloon, aiming at the mid-size business market. But few businessmen like the romantic design and the narrow body. Although it measures 4.80 meter in length, c-Triomphe has never been successful in both the business market and family market.

But this time, Peugeot reset the target on Chinese families. 408 is a big comfort family car with a reasonable price, not an aggressive driving machine. 408 is priced between 307 and 508, just like its size.

Besides the 408, the Buick Excelle GT, and theVolkswagen New Sagitar are all growing much bigger.

The emergence of compact plus segment is not surprising. Mid-size cars are big family cars in Europe and America, but they always play the rolls of business cars in China – most Chinese family cannot afford to buy into this segment yet. Chinese families want a car with not only big room like a mid-size car but also reasonable price like a compact car. If you know the compact cars are called mid-size cars by most Chinese press and authorities, you will understand the great demand for the compact plus cars.

gongzaiyan avatar The ‘compact plus’ segment growing fast in China

Gong Zai Yan

Gong Zaiyan is a researcher at the Center for Automotive Industry, School of Automotive studies, at the prestigious Tongji University.Going Zai Yan focuses on the study of the green vehicle industry in the Chinese market, he also focuses on policy and regulations in the overall market.

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