Hyundai China’s again largest market

Gasgoo.com (Shanghai September 15) – Hyundai sold 461,941 vehicles globally in the past month, equivalent to a year-on-year increase of 5 percent, Shanghai Securities News reported today. 98,044 of those sales were in China, 12.5 percent higher than last year. With those figures, the country has once again become the largest market for the manufacturer, constituting 20 percent of its global market share.

Performance from its two joint ventures, Beijing Hyundai and Dongfeng Yueda Kia, was reasonable strong at 63,000 and 35,000 units sold. The former closed the gap on China's traditional three top selling joint ventures, Shanghai GM, Shanghai VW, FAW-VW. The JV's third factory is planned to begin production next year, further adding to Beijing Hyundai's market presence.

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Dongfeng Peugeot recalls over 25700 408s due to engine defect

Gasgoo.com (Shanghai September 9) – Dongfeng Peugeot has reported a recall of the 2.0 L automatic variant of its 408 sedan to the General Administration of Quality Supervision, Inspection and Quarentine yesterday. The recall will target a total of 25,792 408s manufactured between last January and this August.

The recall was called due to a fault in the engine when running at low speeds, which in extreme circumstances could cause the engine failing when accelerating or driving at low speeds. Dongfeng Peugeot will provide free repair and maintenance for all affected 408s (pictured).

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Mercedes-Benz sales fall slightly in July

Gasgoo.com (Shanghai August 23) – Rapid growth in the Chinese luxury automobile market has finally begun to slow down, with July sales of Mercedes-Benz vehicles amounting to only 14,470, Beijing Business Today reported. The number is 2.5 percent than the amount sold in June, and 30 vehicles short July 2010's sales result.

While analysts have had high hopes for the luxury market for this year, Mercedes-Benz's poor sales have set an alarm through the industry. Many are wondering if the sales result is a sign of things to come for the segment.

According to Mercedes-Benz's parent company Daimler, the fall in sales performance is due to changes in the domestically built C-Class. In order to help stimulate domestic production, Mercedes-Benz has stopped importing C-Class vehicles in July. Daimler believes that sales will bounce back later in the year.

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Infiniti denies reports that it will begin China production

Gasgoo.com (Shanghai August 17) – In response to media speculation that it will begin manufacturing vehicles in China soon, Infiniti announced yesterday that it has no official plans to begin domestic production, Gasgoo.com (Chinese) reported. Infiniti denied any information contained in the reports.

Nissan's luxury subdivision has recently been the focus of media attention, with numerous reports that it will begin domestic production in 2015. According to the reports, Infiniti's first Chinese car will be from the M series (pictured), while Zhejiang's capital of Hangzhou would be the center of production.

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Audi to import more new models

Gasgoo.com (Shanghai August 10) – As plans to expand domestic Chinese production of Mercedes-Benz cars develop further, rival luxury brand Audi is instead embarking on importing more vehicles to the country.

On the unveiling night of Audi's R8 Spyder Matrix (pictured above), FAW-VW Sales Executive Vice President Zhang Xiaojun told the Beijing Youth Daily that the joint venture would be bringing over a slew of new Audi vehicles to the country, in order to both increase its brand image and lay the foundation for eventual domestic production.

According to Mr. Zhang, although the joint venture's domestically manufactured vehicles were all leaders in their respective segments, the true appeal behind FAW-VW's Audi vehicles lies in their foreign charm. As a result, a key goal of the JV is to import more models to China. The number of Audis imported more than doubled from last year, with the total amount from January to July exceeding 30,000 units. In addition to the R8 Spyder and A8L (pictured below), Audi will be bringing over the A1 subcompact and A7 Sportback wagon in the latter half of the year.

Despite the recent declines in the automobile market, Mr. Zhang believes that prospects for luxury vehicles in China will continue to remain bright for many years to come. If Mr. Zhang's assessment is correct, Audi should have no problem fulfilling its 2015 sales goal of 700,000 vehicles.

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