BEIJING: Global carmakers gathered in Beijing on Monday to show off their wares as competition intensifies and growth slows in the world’s biggest auto market, with the key SUV and new energy vehicle sectors the focus of attention.
The flamboyant show, which alternates between the capital and commercial hub Shanghai, came after auto sales in China grew just 4.7 percent last year, down from 6.9 percent in 2014, data from industry group China Association of Automobile Manufacturers (CAAM) showed, reports AFP.
Total sales reached 24.6 million in 2015, making it a crucial market for foreign manufacturers as well as domestic brands.
“It is slowing down,” Ford China chairman and CEO John Lawler told reporters. “The market is really acting more and more like a mature market rather than an emerging market.
“It is part of a more competitive environment.” More than 70 exhibits by automakers from around the world stretched across the vast exhibition centre with crowds gawking at displays of concept cars from Chevrolet and Faraday Future and lining up to slip behind the wheel of a Tesla.
Perhaps the most attention-grabbing exhibit was homegrown startup Qiantu, which plans to launch its K50 concept vehicle—a carbon fibre and aluminium-bodied luxury electric sports car—next year.
Models in short flight-attendant style skirts—but not bikinis which are banned this year—stood with frozen smiles as passers-by took photos with their phones.
German manufacturer Audi has an enviable brand position in China and has long been seen as a marque to aspire to by consumers, but it too is feeling the pressure.
“For sure, our competitors are trying to grab market shares from us, and some are successful,” said Joachim Wedler, president of Audi China.
Pricing was “getting tougher, this is obvious” he said.
China’s GDP growth slowed to 6.9 percent last year, its lowest for a quarter of a century, and worries over its outlook have roiled stock markets worldwide.