Market Report Chinese Automotive Market: Passenger Cars, Components and Aftermarket 2010 - 2012 February 2010 Globis GmbH Möllendorffstr. 52, 10367 Berlin, Germany T.: +49 (0)30 4005 4914 F.: +49 (0)30 4005 4928 www.globis-consulting.com Market Report 2010-2012: Chinese Passenger Car Market Table of Contents TABLE OF CONTENTS ........................................................................................................... 2 LIST OF FIGURES .................................................................................................................... 5 LIST OF TABLES ...................................................................................................................... 6 1. SUMMARY ..................................................................................................................... 7 1. COUNTRY BASICS..................................................................................................... 10 1.1. Economic Development .......................................................................................................... 11 1.2. Regional Economic Development ........................................................................................... 15 1.3. Trade Agreements .................................................................................................................. 18 2. CHINESE PASSENGER CAR MARKET .................................................................. 19 2.1. Chinese Car Parc ..................................................................................................................... 19 2.1.1. Structure of Car Parc by Age ............................................................................................... 21 2.1.2. Structure of Car Parc by Brands and Models ...................................................................... 23 2.1.3. Car Parc in Regional Markets .............................................................................................. 24 2.2. Passenger Car Sales and Imports ............................................................................................ 27 2.2.1. Size of Market ..................................................................................................................... 27 2.2.2. Market Characteristics New Cars Market ........................................................................... 30 2.2.3. Sales Drivers for New Cars .................................................................................................. 38 2.2.3.1. Economic Growth and Income Levels ........................................................................... 38 2.2.3.2. Import regulations and tariffs ....................................................................................... 39 2.2.3.3. Used Car Imports ........................................................................................................... 39 2.2.3.4. Government Regulations and Changing Regulatory Environment ............................... 41 2.2.3.5. Car Financing ................................................................................................................. 44 Globis Consulting, T.: +49 (0)30 4005 4914, https://www.globis-consulting.com 2 Market Report 2010-2012: Chinese Passenger Car Market 2.2.3.6. Dealership Networks / Distribution Systems ................................................................ 45 2.2.3.7. Consumer preferences .................................................................................................. 50 3. CHINESE AUTOMOTIVE INDUSTRY ................................................................... 54 3.1. Major Chinese Automotive Companies................................................................................... 56 3.1.1. Beijing Automotive Industry Holding (BAIC) ....................................................................... 58 3.1.2. Brilliance ............................................................................................................................. 59 3.1.3. BYD Auto ............................................................................................................................. 60 3.1.4. Chana .................................................................................................................................. 61 3.1.5. Changhe .............................................................................................................................. 63 3.1.6. Chery ................................................................................................................................... 63 3.1.7. Dongfeng Motor (DFM) ...................................................................................................... 66 3.1.8. First Automotive Works (FAW) ........................................................................................... 67 3.1.9. Guangzhou Automobile Industry Group (GAIG) ................................................................. 69 3.1.10. Geely ................................................................................................................................... 71 3.1.11. Great Wall ........................................................................................................................... 72 3.1.12. Harbin Automobile Industry Group Company (Hafei) ........................................................ 73 3.1.13. Jianghuai Automobile Company (JAC) ................................................................................ 75 3.1.14. Lifan .................................................................................................................................... 75 3.1.15. Nanqi ................................................................................................................................... 76 3.1.16. Shanghai Automotive Industry Corporation Group (SAIC) ................................................. 77 3.1.17. Zoyte / Jiangnan Automobile .............................................................................................. 78 3.2. Suppliers ................................................................................................................................. 79 3.3. Car Production and Components Market ................................................................................ 85 3.3.1. Car Production and Exports ................................................................................................ 85 3.3.2. Components Market ........................................................................................................... 87 3.4. Chinese Aftermarket............................................................................................................... 89 3.4.1. Market Segments Aftermarket (OE, IAM, Fakes) ................................................................ 89 3.4.2. Market Size Aftermarket ..................................................................................................... 90 3.4.3. Distribution System for Spare Parts .................................................................................... 93 3.4.3.1. Parts Importers and Distributors .................................................................................. 95 3.4.3.2. Service Stations ............................................................................................................. 96 Globis Consulting, T.: +49 (0)30 4005 4914, https://www.globis-consulting.com 3 Market Report 2010-2012: Chinese Passenger Car Market 3.4.3.3. Other Supply Channels .................................................................................................. 97 4. OPPORTUNITIES AND RISKS ............................................................................... 98 5. APPENDICES ............................................................................................................ 101 5.1. Chinese Provinces ................................................................................................................. 101 5.2. Major Chinese Cities ............................................................................................................. 103 5.3. Overview over Chinese Car Models ...................................................................................... 105 6. ABBREVIATIONS .................................................................................................... 119 Globis Consulting, T.: +49 (0)30 4005 4914, https://www.globis-consulting.com 4 Market Report 2010-2012: Chinese Passenger Car Market List of Figures Figure 1: Map of China’s Provinces and Population Density, 2008 ................................................. 11 Figure 2: GDP Growth Rates, 2005-2012 ........................................................................................ 12 Figure 3: GDP per Capita at Constant Prices, in USD, 2007-2012 ................................................. 13 Figure 4: Development of Average Monthly Wages, in USD, 2000-2007 ........................................ 14 Figure 5: Map of GDP-Distribution per Capita in Chinese Provinces, 2007 .................................... 17 Figure 6: Development of Passenger Car Parc, in Mio. Units, 2005-2012 ...................................... 20 Figure 7: Passenger Car Penetration in Selected Asian Countries, in Cars / 1.000, 2009.............. 21 Figure 8: Structure of Chinese Car Parc by Age, 2009 .................................................................... 22 Figure 9: Sale of New Cars in China,