- Language: English
- 108 Pages
- Published: January 2012
- Region: China
Sector Review: China's Vast Potential Has Local And Foreign Automakers Gunning Their Engines Sep 07
- Published: September 2007
- Region: China
- Standard & Poors
Multinational car executives' eyes must light up when they look at China's auto market. Only 20 in 1,000 people of driving age owned a car in 2006, compared with 900 car owners for every 1,000 inhabitants in the U.S. (see chart 1). In a country with 1.3 billion people that's a lot of potential new drivers. Purchasing power is rising, too, with nominal national income likely to grow at more than 10% annually over the next five years, spurred by strong economic growth. The result: booming car sales. But along with promising high returns, the Chinese market presents high credit risks for established automakers--not least because of intense competition, quality issues, and uncertain intellectual property protection. In addition, while China...
Companies mentioned in this report are: Motors Liquidation Co. (fka General Motors Corp.),China (People's Republic of ),Volkswagen AG
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Research Type: Commentary
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Motors Liquidation Co. (fka General Motors Corp.),China (People's Republic of ),Volkswagen AG