CHINA DAILY | HONG KONG EDITION Monday, April 20, 2020 MOTORING | 17
Hongqi looks to keep Short Torque Virus tanks auto sales momentum market in Europe European car sales tanked last month amid strict lockdown meas with smart vehicles ures to contain the coronavirus that shut down dealerships for at least half of March and dried up con By CAO YINGYING sumer spending. ACEA, the Euro [email protected] 7.6 pean carmaker’s association, said billion yuan Friday that new car registrations Hongqi, the premium brand of “recorded a dramatic drop’’ of 55 investment for Hongqi’s new percent to 567,308 units. The drop FAW Group, broke ground on a plant in Changchun, is worse even than during the new energy vehicle factory on Jilin province Wednesday in Changchun, capital 20089 global financial crisis, which of Northeast China’s Jilin prov triggered a sixyear slump in car ince. purchases. The steepest losses dur With a total investment of 7.6 200,000 ing that financial crisis occurred in billion yuan ($1.07 billion), the vehicles January 2009, when sales fell 27 new plant is expected to finish percent. Auto industry production are expected to be produced shutdowns have affected 1.1 million construction in 2022 and produce annually at the new plant 200,000 vehicles annually, includ jobs and reduced production by at ing new energy vehicles and intel least 1.2 million vehicles through ligent connected vehicles. the end of last month, according to Xu Liuping, chairman of FAW 21 ACEA statistics. Group, said that the move shows models FAW’s ambition of independent will be launched by Hongqi Tesla opens first innovation, strong ability and con in the next five years flagship store on Tmall fidence to invest amid a depressed Buick's new SUV GL8 of GM is displayed during the media day for the Shanghai auto show last year. auto industry worldwide. ALY SONG / REUTERS United States electric car com Last month, FAW completed an design, new energy, new materials pany Tesla announced Thurs expansion of its Hongqi plant in and processes, smart manufactur day it opened its first online Changchun, raising annual pro ing, as well as artificial intelli flagship store on China’s lead duction capacity to 150,000 from gence and 5G application, Xu said ing ecommerce platform 100,000. at the conference. Tmall.com. This came about In the first quarter of 2020, The brand will massproduce Middle and highend one week after the company Hongqi produced 21,300 vehicles, vehicles with Level 3, or handsoff announced plans to introduce a 74 percent increase yearonyear. technology, and achieve Level 4, or another version of Model 3 to Its sales reached 25,000 units, eyesoffroad autonomous driving the Chinese market. Consumers an 88 percent increase compared technology by 2021, according to can purchase auto parts and MPVs emerging as charging services as well as with same period in 2019. Hongqi. The expanded product lineup Its new Hongqi H9 model, make test drive reservations at will enable Hongqi to maintain its which made its world debut in the online store. Tesla said it sales growth. Beijing in January, is equipped hopes to better serve the young In 2019, Hongqi’s sales hit with selfdeveloped intelligent choice for families er generation of consumers in 100,000, double its target number connectivity technology and Level China by expanding into a for that year. This led to ambitious 2.5 autonomous driving technolo thirdparty platform. goals being set. gy. Lower value cars in segment see dropoff Hongqi will strive to reach The brand also has the Hongqi South Korea’s auto annual sales of 200,000 units in HS5 and Hongqi HS7 SUV; the By ZHANG DANDAN market is being reshaped, especially exports see growth 2020; 400,000 units by 2022; and Hongqi EHS3 electric compact [email protected] by the middle and affluent classes South Korea’s automotive exports exceed 600,000 units by 2025. utility vehicle; the Hongqi H7 and China has entered a with strong purchasing power. At the brand’s conference held Hongqi H5 sedans; as well as the The increasing demand for family “It has been proven by the devel rose last month thanks to the roll in January, Hongqi said it plans to Hongqi L5 limousine on the mar cars, especially in the wake of the new era of opment of China’s luxury car market out of new models, a government launch 21 models in next five ket. novel coronavirus outbreak, is consumption. in recent years,” said Gu Yebin, head report showed last Monday. Car years. Hongqi, established in 1958, expected to stimulate the market of Buick marketing with SAICGM. exports reached 210,900 vehicles This includes 18 new energy once made limousines for top Chi demand development for multipur Chinese consumer Gu’s words were echoed by Cui in March, up 1.3 percent from a models and the mass production nese leaders. pose vehicles, according to insiders. market is being Dongshu, secretarygeneral of the year earlier, according to the Min of vehicles equipped with autono The group started a campaign The MPV, which combines the China Passenger Car Association, istry of Trade, Industry and Ener mous driving technology. in early 2018 to revitalize the large space of a station wagon, the reshaped, especially who said that highend MPVs have a gy. In terms of value, the auto The company will further brand, vowing to make it the No 1 comfort of a sedan and the function by the middle and prospective market. shipment grew 3 percent to $3.82 enhance global R&D for Hongqi, automotive company in the coun ality of a van, specializes in meeting “In the long run, the MPV has mar billion. It was attributed to strong focusing on forwardlooking try and renowned globally. families’ travel needs. affluent classes with ket potential,” said Yale Zhang, man demand for newly launched vehi “The months spent with my family strong purchasing aging director of Shanghaibased cles and the higher number of during the coronavirus epidemic consultancy Automotive Foresight. working days last month com reinforced that having a companion power.” More market players are expected pared with a year earlier. The is very important to elderly parents Gu Yebin, head of Buick to join the MPV segment to intensify shipment of SUVs jumped 13.2 and little kids, and we should spend marketing with SAICGM the competition and lower the sell percent for the year to 138,837 more time with them,” said a netizen, ing price, Zhang said. That way, more units in March, good for the sec reported by ce.cn. individuals and families will consid ondbiggest monthly reading. “When the epidemic ends, I want The sales volume of highend er buying a MPV. MOTORINGAGENCIES to buy a larger car to take vacations MPVs reached 272,562 units in 2019, with my family.” with a market share of 19.87 percent, However, compared with sport up 2.63 percentage points from 2018. utility vehicles and sedans, the MPV A total of 147,644 units of Buick has shown a trend of increasing mar GL8 were sold last year, up 5.99 per ginalization over the years. cent yearonyear. In 2019, 1.38 million units of MPV In December 2019, the model had were sold, representing a 20.2 per a sales volume of 14,743 units, soar cent decrease from the previous year. ing by 46.9 percent from the same Analysts said that the decline in the period of the previous year. MPV market in recent years hit the On Apr 12, SAICGM launched the lowend models hardest, while mid latestgeneration Buick GL8 Avenir, dle and highend MPVs generally as part of the joint venture’s efforts to maintained stable market perform consolidate its presence in the high ance. Such vehicles included the end MPV segment. A Hongqi HS7 is shown at the Guangzhou auto show last year. Buick GL8, Honda Odyssey and “China has entered a new era of ZHANG DANDAN / CHINA DAILY Honda Elysion. consumption. Chinese consumer Carmakers to resume production as economy reopens
FRANKFURT — German car tion to ensure that workers remain makers including Volkswagen and 1.5 metres apart while on the job. MercedesBenz will restart pro Other measures include the stag duction at some German factories gering of shifts and lunch breaks, this week after the country eased plus steps to change worker inter restrictions designed to contain action in VW’s supply chain. the coronavirus outbreak. “In the light of the pandemic, we Chancellor Angela Merkel on need to adapt our routines. One Wednesday said that Germany has answer is our new agreement on achieved a “fragile intermediate health protection,” said Bernd success” in its the fight against the Osterloh, chairman of the compa coronavirus and that its emer ny’s Works Council. “With about gence from lockdown would begin 100 measures, we are keeping the with the partial reopening of shops risk of infection at Volkswagen as next week and schools starting low as possible.” In China, where May 4. Volkswagen has already imple mented health measures, 32 of the JETO INVESTMENT LIMITED 33 plants have resumed produc (Company No.: 1934773) tion and no coronavirus infections (the “Company”) among employees have been (Incorporated in the British Virgin Islands with limited liability) reported. (in Voluntary Liquidation) MercedesBenz parent Daimler Employees work at a production line for the electric Volkswagen said its plants in Hamburg, Berlin NOTICE IS HEREBY GIVEN pursuant models in Zwickau, Germany. MATTHIAS RIETSCHEL / REUTERS and Untertuerkheim will resume to Section 204(1)(b) of the BVI Business production this week. Its Berlin Companies Act, 2004, that the Company plant makes enginemanagement is in voluntary liquidation. The voluntary Unlike Italy and Spain, Germany Plants in South Africa, Argentina, systems for vehicles sold in China. liquidation of the Company commenced never banned car production, Brazil and Mexico will reopen in Production will initially start in on 31 March 2020 and Ms. Cheung Ka Ki of 49/F., Lee Garden One, 33 Hysan though factories came to a stand May. a oneshift system, Daimler said, Avenue, Causeway Bay, Hong Kong still after authorities restricted the “With the decisions by the feder with plants in Sindelfingen and has been appointed as the Voluntary movement of people and ordered al and state governments in Ger Bremen also preparing to ramp up Liquidator of the Company. the closure of car dealerships. many and the loosening of production. German peer BMW Volkswagen said it will start pro restrictions in other European said it had no information about Dated this 31st day of March, 2020 ducing cars for its core brand in states, conditions have been estab the timetable for resuming pro Zwickau, Germany, and in Bratisla lished for the gradual resumption duction. The Munichbased manu Cheung Ka Ki va, Slovakia, on April 20. of production,” Ralf Brandstaetter, facturer has suspended production Voluntary Plants in Russia, Spain, Portugal chief operating officer of the Volks until end of April. Liquidator and the United States will ramp up wagen brand, said in a statement. production from April 27 onwards. The carmaker has retooled produc REUTERS