Is doing business in China imperative?

1 reply [Last post]
hstoddard's picture
Joined: 2011-12-30

WardsAuto/AutomotiveCompass is forecasting huge volume growth over the next six years in China, accounting for nearly one-in-three vehicles built worldwide by 2019.

With that in mind, do you feel it is imperative for your company to have a presence in China?


automotivecompass's picture
Joined: 2012-11-26

Doing business in China is similar to having an electrification strategy. Both are areas where manufacturers need to play in even if the return on the investment is not realized in the short term. The quality of Chinese manufactured vehicles are improving - especially in the area of safety. Once considered a barrier for Chinese vehicles to compete in North America and Europe - these barriers are dropping. And with all of the global OEs already in China - it is an area that cannot be ignored. From a supplier perspective - global consolidation of vehicle platforms with Chinese penetration will force suppliers to "follow the customer" and require investment in the area.

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