Auto sector still a good choice for investment

Foreign automakers continue to plow money into factories in China, the world's largest car market, even as the biggest economic slowdown in a quarter of a century crimps sales growth.

Market leaders Volkswagen AG and General Motors Co show no signs of letting up on their planned investments, while Toyota Motor Corp and Ford Motor Co are also pursuing new China expansion plans.

That is in spite of the economic slowdown further depressing the car market in January-March, when sales grew only 3.9 percent, compared with 9.2 percent a year ago and way below the 7 percent growth that the China Association of Automobile Manufacturers predicts for this year.