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Managing strategic risk in China's unpredictable automotive market

From| January 16 , 2008
Deloitte --- Today China is the number two automotive market in the world, with production of 7.3 million vehicles in 2006. Over 45 automakers are competing in China. Production has historically been targeted at the domestic market, where sales of passenger cars are growing at over 30 per cent annually. Currently multinational companies dominate the market through their joint ventures with Chinese companies, led by Volkswagen, General Motors, and Hyundai. However, Japanese manufacturers are gaining share, and domestic Chinese companies are expanding their own brands and producing ever more sophisticated vehicles. Some of these are already exported or produced abroad for other emerging markets and even developed markets.

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