Vehicle sales to reach 8.30 million units in 2007

Growth in full-year automobile sales in China is forecasted to continue an increase, following the fast growth witnessed during the first four months of this year, while self-developed economical vehicles will become the main selling power.

China's total automobile sales increased by 25 per cent year-on-year during the first four months of this year, and this market will enjoy steady growth throughout the year, said Xu Changming, an auto researcher at the State Information Centre.

Vehicle sales will reach up to 8.30 million units in China this year, a significant boost from 7.50 million estimated last September. The export margin is to hit 470,000 to 480,000 units by the year end.

Statistics show that mid-high segment vehicles, like Audi, Crown, Passat, Accord, are experiencing a relatively fast growth. S-segment vehicles also see a rapid growth of more than 30% for several consecutive years. Though China launched many policies in 2006 to encourage sales of low emission vehicles, high range vehicles have witnessed a faster growth in comparison.

Xu said market share of A-segment vehicles are further strengthened with a 14.4 percent share of total, compared with 7.5 percent in 2005. He predicted that market share of self brand vehicles, like Chery, will surpass European-generation vehicles and come to the top in A-segment market. Self-brand autos will see further development when the largest domestic automaker Chery makes its entry into the A0 range auto market.