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China tougher market for U.S. car sales

November 05, 2007
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General Motors Corp. in China is seeing increased competition from Volkswagen, Toyota and Honda.

In the last decade, GM has made hundreds of millions of dollars profit in China, where it has sold more Buicks than in the United States, the Los Angeles Times reported Saturday.

Shanghai GM, rose to the top by posting successive years of 25 percent or higher annual growth in passenger car sales. But through September of this year, GM's gains had slid to 14 percent from a year ago, even though the volume of cars sold in China overall rose 27 percent, the Times reported.

Volkswagen, Toyota and Honda, GM's leading competitors in China, all outperformed the market average, cutting GM's market share slightly in China to 10 percent.

Kevin Wale, head of GM's China division, discounted the slide saying, "It's just a timing issue, of being in between new product launches."  // Copyright 2007 by United Press International




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