China’s Dongfeng Yueda Kia to Launch New Compact SUV KX5

(Gasgoo Shanghai Feb 25th) — Dongfeng Yueda Kia will launch compact SUV KX5 on March 10th in 2016 in hope of taking up larger slice of booming SUV segment in China.

After the decreasing sales in 2015, the company sets a goal to sell 680,000 units in 2016.That is to say that the company needs to achieve an increment of 64,000 units and growth of more than 10%. Therefore, the minimum sales of KX5 should reach 70,000 units over the next ten months.

In January, the year-on-year growth of SUV segment stood at 60.5% while the cars segment suffered a decline of 9% in sales. It turns out that SUV remains the major engine driving the growth of vehicles market in China. Thus the good performance of KX5 is crucial for the company.

In addition, with the preferential policy that the purchase tax on vehicles with emission of 1.6L or lower can be halved, models that meet the standard gain great attention. Then the company launches KX5, aiming to reap maximum sales of new models.

However, whether the launch of KX5 will have influence on the sales of SportageR, the other compact SUV, remains the major concern of the company.