Carmakers seek to hit the gas in China
Manufacturers display SUVs, electrics at Beijing Auto Show as China pledges reforms
Global carmakers touted their latest electric and SUV models in Beijing yesterday as they warily welcomed China’s promise of better foreign access to the world’s largest auto market, where domestic vehicles are making major inroads.
Industry behemoths like Volkswagen, Daimler, Toyota, Nissan, Ford and others are displaying more than 1,000 models and dozens of concept cars at the Beijing auto show.
Thousands of Chinese auto enthusiasts are expected to tour the mega-exhibition centre this week, with electric cars and gasguzzling sport-utility vehicles grabbing the spotlight.
Nissan was one of several carmakers to announce new electric vehicles made in China for the local market during the show, with the four-door Sylphy Zero Emission that can travel 338 kilometres (210 miles) on one charge. “The new Sylphy Zero Emission is the next step in our electrification strategy for China,” said Jose Munoz, Nissan’s chief performance officer, adding that the company would unveil 20 electrified models over the next five years.
Auto executives may have their minds on the brewing trade war between Beijing and Washington, with every twist and turn fanning fears it could bring their China plans to a screeching halt.
But last week Beijing announced it would liberalise foreign ownership limits in the sector, a move seen as a possible olive branch to President Donald Trump. China currently restricts foreign auto firms to a maximum 50 per cent ownership of joint ventures with local companies.
The changes will end shareholding limits for new-energy vehicle firms as soon as this year, followed by commercial vehicles in 2020 and passenger cars in 2022. Foreign automakers, who account for more than half of vehicle sales in China, have cautiously welcomed the changes, with VW saying it has “strong” local partners in its joint ventures.