SAIC's new model appeals to national pride

Nationalism is never far below the surface in China. But will it help Shanghai Automotive (SAIC), China's largest locally-owned carmaker, sell its sporty, stylish home-grown car, the Roewe 550?

The model, star of the Beijing auto show (in April), was launched to great fanfare last month as SAIC's highest profile "made in China" vehicle. Chinese carmakers have a reputation for imitating foreign brands, and selling barely-disguised copies as home-grown cars.

But the Roewe 550 is different. SAIC recruited former Rover engineers to work with Chinese engineers to design the car, partly in the UK and partly in China.

For SAIC and for China, much is riding on the Roewe 550's success, said Mike Dunne of JD Power.

The 550's derivative predecessor, the Roewe 750, largely flopped.

"If they strike out again, it will be highly significant for the prospects of a state-owned company designing, building and marketing cars in China," Mr Dunne said.

SAIC is touting the vehicle's range of digital devices (a big attraction for Chinese consumers) and has given the car a push-button start -- because luxury cars in China often offer such features. But a key is still needed to open the car, and to insert into the push-button ignition.

At a Shanghai showroom recently, an SAIC saleswoman started her sales pitch about the 550 by pointing out that the exterior looked like a BMW.

In spite of Chinese nationalism, consumer pragmatism often wins the day. "They ultimately say, it's my money and I'm not going to go with the flag," said Mr Dunne.

Zhang Shi, an office worker who saw the car at a Shanghai shopping mall, said: "Usually, for domestic made cars, you have to give up the looks to get a lower price or better function."