Passenger vehicle sales in China, the world's second-biggest auto market, grew by more than one-fifth in the first half of
this year as carmakers cut prices and launched new products to woo buyers, an
industry body said on Friday.
January-to-June sales of domestic-made passenger vehicles - sedans, sport utility vehicles, multi-purpose
vehicles and mini vans - reached 3.08 million units, up 22.3 percent form a year
ago, according to data from the China Association of Automobile Manufacturers.
sales jumped 25.9 percent to 2.29 million units.
Passenger vehicles sales in June alone were 511,900 units, up 28.6 percent
from the same period last year.
Analysts attribute the buoyant growth largely to car producers' price
incentives and new product offerings, such as the Skoda Octavia, Toyota's new
Corolla, Nissan's Livina and the Geely Vision.
Car prices in China fell by 3.3 percent from January to June, according to
Cheshi.com.cn, a Beijing-based website that tracks car prices nationwide.
On Tuesday, US carmaker Ford Motor Co's venture with Chang'an Motor Corp
slashed prices of the Focus compact, its best seller, by 6,000 to 12,000 yuan.
Ford Motor China said the venture's first-half sales surged by 57 percent to
93,587 cars, including 55,676 units of the Focus.
The company, which also makes the Ford Mondeo, Volvo S40 and Mazda3 in
southwestern city of Chongqing, will launch an all-new Mondeo later this year.
"Car prices will further decline in the second half as a result of mounting
pressure on old products from new comparable models to lure customers," said Hua
Xue, CEO of Cheshi.com.cn.
A total of 32 all-new passenger car models will be launched in China this
year, according to market intelligence from German carmaker Volkswagen's venture
with First Automotive Works Corp (FAW).
(China Daily 07/07/2007 page10)
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