China's light vehicle sales doubled in the United States after 7 years

Finbarr O'Neill, global president of JDPower, predicts that China's light vehicle sales will reach 19 million in 2013 and reach 34.6 million by 2020, which will double sales in the United States.

Finbarr O'Neill said that global light vehicle sales this year are expected to increase by 3% year-on-year to 83 million vehicles, which has slowed down from the 7% increase last year, mainly due to the further downturn in Western European markets, and the corresponding universality. Excess capacity. However, emerging markets with Asia as the leader will continue to be the engine of global sales growth, and Asian light vehicle sales growth has accounted for 50% of the growth of light vehicle sales in emerging markets in the world.

Finbarr O'Neill also predicted that new energy vehicles dominated by hybrid and pure electric vehicles will hardly develop significantly in the next 10 years and will not exceed 4.5% of the total sales, of which hybrid vehicles will not exceed 3%. Due to the narrow range of target consumer groups and high prices, many obstacles to the promotion of new energy vehicles will be difficult to reduce in the short term.

For the Chinese market, opportunities and challenges coexist. “The optimistic factor is that China’s autos have low per capita ownership, and the potential of second- and third-tier cities is huge. However, due to the decline in new car sales profits, the competition among dealers has become increasingly intense,” said Finbarr O'Neill. It is reported that in 2009, there were more than 5,000 dealers in China, and 84% were profitable. However, by 2012, the number of dealers had surged to more than 17,000, of which only 40% could be profitable.

The data shows that the profit from new car sales has dropped from 48% in 2009 to 33% in 2012. For this reason, manufacturers and distributors must do their best to provide value-added services at each customer's "point of contact."