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China's small car market is booming rapidly
The rapid development of the A0- and A00-Class market in China has attracted joint-venture and homegrown carmakers to swarm into the small car market. Demand for A0-Class and A00-Class sedans is expected to reach around 2 million units by 2012, Beijing Business News reported Tuesday.
Volkswagen has recently launched its New 2011 Skoda Fabia in China. Beijing Hyundai, a joint venture between BAIC Group and Hyundai Motor, will also put the Verna sedan on the market this year, sources said.
However, the truth is that joint venture brands, except the new Chevrolet Sail, mostly have poor performance in the A0-Class market although they have started a few years ago to launch A0-Class cars in the country.
Since the off-season on car sales began at the end of May this year, the performance of many A0-Class hatchbacks in China's domestic market have been not quite satisfactory. But there is always an exception to the rule. Beijing Hyundai sold up to 22,100 Elantra Yuedong cars in China in September, showing an obvious advantage in the A-Class car market.
Data show own-brand A0-Class sedans' market share in China has increased to 49% this year from 31% in 2008, while that of joint-venture brands has fallen to 51% from 69% two years ago.
Industry analysts said Chinese consumers are now taking a wait-and-see attitude towards the A0-Class cars made by joint ventures, some of which are said to have lowered their prices to compete with China's own brand carmakers.
Volkswagen has recently launched its New 2011 Skoda Fabia in China. Beijing Hyundai, a joint venture between BAIC Group and Hyundai Motor, will also put the Verna sedan on the market this year, sources said.
However, the truth is that joint venture brands, except the new Chevrolet Sail, mostly have poor performance in the A0-Class market although they have started a few years ago to launch A0-Class cars in the country.
Since the off-season on car sales began at the end of May this year, the performance of many A0-Class hatchbacks in China's domestic market have been not quite satisfactory. But there is always an exception to the rule. Beijing Hyundai sold up to 22,100 Elantra Yuedong cars in China in September, showing an obvious advantage in the A-Class car market.
Data show own-brand A0-Class sedans' market share in China has increased to 49% this year from 31% in 2008, while that of joint-venture brands has fallen to 51% from 69% two years ago.
Industry analysts said Chinese consumers are now taking a wait-and-see attitude towards the A0-Class cars made by joint ventures, some of which are said to have lowered their prices to compete with China's own brand carmakers.