Zhejiang Geely Automobile Holdings Ltd has announced plans to become China's largest auto exporter in as little as two years by driving sales in developing countries. The Chinese automaker plans to build factories in Belarus and Uruguay this year, in an effort to “lay foundations” for their expansion into more mature economies, according to Geely CEO Gui Shengyue.
Geely's plans are certainly ambitious considering they are currently only the nation's ninth largest exporter, and they would have to quadruple overseas sales if they are to beat rival Chery's 158,900 units. Yale Zhang, MD at Autoforesight Shanghai Co, anticipates that while sales in smaller emerging markets may increase their global presence, they would probably “not contribute very much volume.”
The carmaker has also been making forays into more developed markets, like the UK. Although traditionally Chinese car sales have lagged as a result of poor safety standards, the new Geely Emgrand 7 received four out of five stars in Euro NCAP tests. The new model will sell for £10,000 (CNY 100,300) and will be used to gauge the potential of the European market as a whole.
Chinese carmakers are continuing to look overseas for greater sales as domestic demand continues to wane. According to the National Development and Reform Commission (NDRC), the country's top economic planner, Chinese factories could be churning out as many as 40 million cars by 2015, far outstripping domestic demand of 27 million by about 13 million vehicles.
Published 19th April, 2012
Looking for more information about OATS products and services?
additives Africa And finally Asia Australia automotive industry Aviation base oil bio fuels bio lubes BMW BP Brazil Castrol Chevron China China and finally China Internet Marketing China Lubes Marketing China lubes news China Lubes Tech China OEM Equipment CNOOC CNPC CO2 emissions ConocoPhillips Corporate News e-commerce electric vehicles Environment and Regulatory watch Environment, regulatory and standards Europe ExxonMobil Ford Forecasts Fuchs GM Great Wall India innovation Inovation and environment Internet marketing Japan Lubes marketing Lubes news Lubes tech Lubricants marine Middle East Mobile technology motorsport N America Nissan North America OATS OEM and automotive OEM Equipment PetroChina Russia S America Scandinavia Shell Sinopec social media Total Toyota View from the Bridge Volkswagen Volvo