Enlarge
France's RFI Chinese-language website recently published an article titled "Interest in Chinese cars rising among German consumers, what will happen to Volkswagen (VW)?"
The Chinese-language site of France's international broadcaster Radio France Internationale (RFI) recently published an article titled "Interest in Chinese cars rising among German consumers, what will happen to Volkswagen (VW)?"
According to a report from German regional public broadcaster NDR, Marcus Hoppe, a resident of Hildesheim, purchased a silver SUV from Chinese auto giant BAIC for 40,000 euros (approximately 7.12 million yen). It was almost fully equipped with a panoramic sunroof, four-wheel drive, electric retractable running boards, and more; if he had chosen a model in the same class from a European manufacturer, he would have had to pay an additional 20,000 euros (approximately 3.56 million yen). He said with satisfaction, "Many people feel resistant just because it's made in China, but now we have to determine whether it's worth the cost. And this car offers much more than usual."
The article stated that "While German automakers set high prices for various options, Chinese cars often appear on the German market almost fully equipped," and quoted Marcus Wall, owner of a car dealership, as saying, "You can choose colors like silver, black, or white, but there are no options like wanting a different set of wheels or heated rear seats. There's only one equipment package."
According to Wall, who has been handling Chinese brand models for several years, the demand for Chinese cars has been rising in recent years, and he feels that "they are becoming increasingly accepted by consumers." His dealership also sells models from DFSK, Forthing, and BAW, in addition to BAIC. These are brands little known in Germany, but interest is gradually increasing. In the past year, he sold 70 new Chinese-made cars, including internal combustion engine vehicles, electric vehicles, and hybrid vehicles. He says this is a considerable number for a small dealership.
The article stated that "Experts agree that a wave of exports from China is surging towards German automakers, including VW. These cars are produced at low cost with state subsidies." It also mentioned that in July, the market share of Chinese automakers in Germany's new car registrations significantly increased from 3.9% to 7.1%, and reported that "Although established German manufacturers like VW still maintain an overwhelming lead, the growth rate of Chinese manufacturers is astonishing."
According to the article, BYD is achieving remarkable success among Chinese manufacturers, having topped all German manufacturers in the number of newly registered plug-in hybrid vehicles (PHEVs) in May. Beatrix Keim, director of the Bochum University of Applied Sciences' Center for Automotive Research, said, "Chinese manufacturers still need to work on improving brand recognition, image, customer service, and establishing a dealership network. However, these are matters of time; Chinese brands have learned that online sales alone are not enough and that an excellent network and advertising are needed. And that will naturally happen."
According to the article, Oliver Blume, CEO of VW, believes that competition with Chinese manufacturers is unfair and is calling for the introduction of tariffs on PHEVs. In an interview with NDR in July, he said, "If we don't compete with Chinese manufacturers, we won't gain competitiveness in Europe." A car dealership in Liebenau sells Chinese cars for 10,000 to 15,000 euros (approximately 1.78 to 2.67 million yen) cheaper than German cars, and also offers a 3-year warranty (extendable for another 3 years). While German manufacturers are complaining, sales manager Stefan Würzlberger said, "Smartphones and other devices are also made in China, aren't they? People don't have as much financial leeway as before."