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A participant booming late in the automobile market of China, Ford Motor joint venture now know the sales growth while regulators ponder different rules for international automakers.
Jonah M Kessel Publish Date April 8, 2014 photo M Jonah Kessel The New York Times Watch the video time.
CHONGQING, China for over a decade, Chinese automakers have talked to start large-scale exports to North America and Europe, prompting recurring concerns in the West that companies like General Motors, Ford and Volkswagen could be crippled by competition from China the way they were by Japanese imports ago a generation.
Now there are calls for protectionism, but from an unexpected direction, the largest most influential Chinese automakers politically.
Multinational companies are clawing market share steadily Chinese brands in the domestic market, as a succession of global brands pushed their way to China The last insurgent is Ford Motor, which has a joint venture here in Chongqing and almost doubled its market share to 4 5 percent over the past two years by introducing new models and the expansion of production, selling more than 100,000 cars and light trucks in March for the first time in one month Ford plans to double production again next year by opening two more assembly plants and one of the largest auto transmission plant in the world.
Chinese consumers prefer more American brands that have a reputation for safety, youth and international flair National brands have delay trend in quality surveys and engineering, although they start closing the gap in terms of long-term reliability, they are far behind and falling further.
increasing affluence has left them reluctant consumers to accept cheaper, spartan models of domestic manufacturers National brands have been affected by the results of poor crash test for some Chinese designed models and a series of food safety scandals that have dented the public confidence in the Chinese regulations.
He prepared to pay 254,800 RMB 41500, including Chinese heavy taxes for a light green Ford Kuga.
China automakers mostly owned responded with an unusually public campaign press conferences and statements made by the trade association of the industry they want to convince the Ministry of Commerce of China to keep a requirement rarely in other major foreign automakers producing countries can assemble cars in China than in 50-50 joint ventures with domestic partners.
Multinationals have not asked to be freed up, the Ministry of Commerce raised the idea of dropping the requirement last fall, fearing that the industrialized countries would use to justify restrictive rules the day if China protectionism begins exporting a large number of cars, but the large state owned companies less interested in exports that have multinational linked to their partners indefinitely and considerable collection benefits that come with these relationships.
If there is a relaxation of restrictions on foreign ownership in motor actions, foment massive changes in the configuration of our country's automobile industry, Dong Yang, executive vice president and secretary general of China Association automakers warned in a statement at a recent news conference.
The industry is not quite agree slightly smaller automakers created by entrepreneurs are not the same incentives to maintain the status quo because they don t usually have joint venture partners They are also much more eager to penetrate foreign markets through exports and acquisitions abroad.
Li Shufu, chairman and founder of Geely Group Holdings Private, wrote in an email interview last month that he thought the 50 percent ceiling should be abolished.
A Changan Ford plant in Chongqing, China Changan Ford second plant in Chongqing, opened in 2012, is among the most modern worldwide credit Jonah M Kessel for the New York Times.
The ceiling has hindered a fair and open and transparent competition, which undermines the interests of consumers and the overall competitiveness of China's auto industry, he wrote.
M. Li's holding company bought Volvo Cars from Ford for 1 5 billion in 2010, a bargain price during the financial crisis.
State-owned automakers have been more cautious, with one of the largest, Dongfeng Motor, have accepted the February 26 to pay 1 $ 1 billion for a 14 percent holding in a Peugeot that holds the two venture companies in China but gives little to say in the direction of Dongfeng Peugeot.
Beware of offending their partners owned, multinational defended joint ventures It is our common goal to further develop these and to succeed together in the Chinese car market, Volkswagen said in a statement.
China has been trying for more than two decades to build to work with major car manufacturers belonging to the State with sufficient access to the credit of the state property to the automotive industry in an export center of the country's objective initial requirement joint venture was to force multinational banks hope ministry was that car manufacturers owned learn their partners to build world-class cars that they could then be exported.
But instead of creating the next Toyota, the Ministry of Commerce has created more companies like Foxconn, the Taiwanese contract electronics manufacturer that makes tablets and smartphones to Apple and other consumer electronics companies.
Chinese consumers are attracted to American brands of quality and credit safety Mark Ralston Agence France-Presse Getty Images.
giant state-controlled largely provide connections of labor and government to joint ventures Shanghai Automotive is a General Motors and Volkswagen partner; Guangzhou Automobile is the partner for Toyota; Changan Automobile is a partner for Ford; and Dongfeng Motor juggles partnerships with Nissan, Honda, Peugeot and Kia.
Multinationals have continued to provide most models, engineering and marketing essentially They build the same cars they sell in the world in Chongqing, for example, Ford Kuga and Mondeo makes, which are sold as Ford Escape and Ford Fusion in the US.
The Association of Chinese automakers dominated by state enterprises, insists that the industry is too important to the economic future of being exposed to the head-to-head competition with companies in the country Foreign.
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