China Passenger Vehicle Industry Overview, 2017-2021

Description

Description

Passenger vehicles are specifically designed with technical properties for carrying passengers together with their luggage and temporary belongings with no more than nine seats including the driver seat. Passenger vehicles are classified further into basic passenger vehicles (sedans), multi-purpose vehicles (MPV), sports utility vehicles (SUV), special purpose passenger vehicles and cross passenger vehicles.

The passenger vehicle manufacturing industry is under strict regulation of Chinese government in the following aspects. Firstly, there is a strict examination and approval system. Chinese government strictly examines and approves investment projects of whole passenger vehicles and vehicle engines. Secondly, there is a strict catalogue system. Enterprises are able to manufacture automobiles and products can be sold only if they are approved by the government. In addition, the manufacturing of new products is also under strict restrictions. Thirdly, there are polices regulating technologies in the industry. For example, Chinese government puts emphasis on economical sedans that are in accordance to national safety, energy efficiency and emission standards and personal vehicle demands. Gasoline motors must reach Euro III or China IV emission standards. Moderate development of sedan diesel engines, single-fuel combustion engines and hybrid engine systems is also encouraged.

From investment sources, Chinese passenger vehicle manufacturers can be divided into independent brands (Chinese local enterprises), join-venture brands and foreign brands. Foreign brands target at the high-end market; join-venture brands are joint ventures between large state-owned enterprises and foreign enterprises; and independent brands are either large state-owned enterprises or private enterprises. In China’s passenger vehicle market, the competition is mainly between independent brands and joint-venture brands. In 2016, in terms of sales volume, leading enterprises in the passenger vehicle industry in China were SAIC Volkswagen Automotive Co., Ltd., SAIC-GM-Wuling Automobile Co., Ltd., SAIC General Motors Co., Litd., FAW-Volkswagen Automobile Co., Ltd., Chongqing Changan Automobile Co., Ltd., etc.

In 2016, the output volume and sales volume of passenger vehicles in China were 24.421 million and 24.377 million, increasing by 15.5% and 14.9% over 2015, respectively. The growth rates were 1.0 percentage point and 1.2 percentage points, which were higher than that of the overall output volume and sales volume of automobiles. The sales volume of sedans were 12.15 million, increasing by 3.4% YOY; that of SUVs were 9.047 million, increasing by 44.6% YOY; that of MPVs were 2.497 million, increasing by 18.4% YOY; that of cross passenger vehicles were 684,000, decreasing by 37.8% YOY. Affected by the preferential purchase tax policy, in 2016, the sales volume of passenger vehicles of 1.6 liter and below was 17.607 million, increasing by 21.4% over 2015 and accounting for 72.2% of the total sales volume of passenger vehicles. In 2016, 10.529 million Chinese brand passenger vehicles were sold, increasing by 20.5% YOY and accounting for 43.2% of total passenger vehicle sales volume. The share increased by 2 percentage points over 2015. The sales volume of sedan was 2.34 million and its market share was 19.3%, down by 3.7% and 1.4% YOY, respectively; the sales volume of SUV was 5.268 million and its market share was 58.2%, up by 57.6% and 4.8%YOY, respectively; the sales volume of MPV was 2.238 million and the market share was 89.6%, up by 19.9% and 1.2% YOY, respectively.

In 2015, automobile consumption was gloomy and the automobile market stepped into a downturn. To increase the sales volume of domestic automobiles, the State Council issued the preferential purchase tax policy which provided a 50% discount on purchase tax (i.e. the tax rate would become 5% instead of 10%) of automobile of 1.6 liter and below. The policy became effective on October 1, 2015 and lasted until December 31, 2016. After the implementation of the policy, the Chinese automobile market was very hot. This policy is conducive to the optimization of product structure, energy saving and emission reduction in the automobile industry, playing an important role in guiding consumption. In December, 2016, Ministry of Finance announced that from January 1, 2017 to December 31, 2017, purchase tax would be levied on passenger vehicles of 1.6 liter and below at a rate of 7.5% and the 10% rate would be restored from January 1, 2018. According to CRI analysis, although the discount amount reduced in 2017, it is still conducive to the consumption of passenger vehicles. It is estimated that the growth of the sales volume of passenger vehicles in 2017 will exceed 8%.

 

Readers can obtain the following information or more through this report:

-Development Environment of Passenger Vehicle Industry in China

-Analysis on Supply and Demand in Passenger Vehicle Industry in China

-Major Sales Channels of Passenger Vehicles in China

-Import and Export of Passenger Vehicles in China

-Competition in China Passenger Vehicle Industry

-Major Driving Forces and Market Opportunities in Passenger Vehicle Industry in China, 2017-2021

-Threats and Challenges in Passenger Vehicle Industry in China, 2017-2021

-Forecast on Supply and Demand of Passenger Vehicle Industry in China, 2017-2021

 

Table of Contents

1 Relevant Concepts of Passenger Vehicle Industry

1.1 Definition and Classification of Passenger Vehicles

1.1.1 Definition of Passenger Vehicles

1.1.2 Classification of Passenger Vehicles

1.2 Parameters and Assumptions

1.2.1 Assumption Base

1.2.2 Data Sources

1.3 About CRI

 

2 Analysis on Passenger Vehicle Industry in China, 2012-2016

2.1 Development Environment of Passenger Vehicle Industry in China

2.1.1 Economic Environment

2.1.2 Policy Environment

2.1.3 Social Environment

2.2 Analysis on Supply of Passenger Vehicles in China, 2012-2016

2.3 Analysis on Demand for Passenger Vehicles in China

2.3.1 Major Consumer Groups of Passenger Vehicles

2.3.2 Market Scale of Automobiles in China, 2012- 2016

2.3.3 Analysis on Major Distribution Channels of Passenger Vehicles in China

2.3.4 Sales of Passenger Vehicles in China by Emission, 2012-2016

2.3.5 Sales of Passenger Vehicles in China by Model, 2012-2016

2.3.6 Sales of Passenger Vehicles in China by Vehicle Series (Country), 2012-2016

2.3.7 Import and Export of Passenger Vehicles in China, 2012-2016

 

3 Competition in Passenger Vehicle Industry in China, 2012-2016

3.1 Barriers to Entry of China Automobile Industry

3.1.1 Absolute Cost Advantage

3.1.2 Institutional Barrier

3.1.3 Brand Barrier

3.1.4 Technical Barrier

3.2 Competition Structure of Passenger Vehicle Industry in China

3.2.1 Bargaining Ability of Raw Material Suppliers of Passenger Vehicles

3.2.2 Bargaining Ability of Consumers of Passenger Vehicles

3.2.3 Internal Competition of Passenger Vehicle Industry

3.2.4 Potential Entrants of Passenger Vehicle Industry

3.2.5 Substitutes for Passenger Vehicles

 

4 Analysis on Top 10 Passenger Vehicle Manufacturers in China, 2012-2016

4.1 SAIC Volkswagen Automotive Co., Ltd.

4.1.1 Enterprise Profile

4.1.2 Sales Volume and Market Share

4.2 SAIC-GM-Wuling Automobile Co., Ltd.

4.2.1 Enterprise Profile

4.2.2 Sales Volume and Market Share

4.3 SAIC General Motors Co., Ltd

4.3.1 Enterprise Profile

4.3.2 Sales Volume and Market Share

4.4 FAW-Volkswagen Automobile Co., Ltd.

4.4.1 Enterprise Profile

4.4.2 Sales Volume and Market Share of FAW-Volkswagen

4.5 Chongqing Changan Automobile Co., Ltd.

4.5.1 Enterprise Profile

4.5.2 Sales Volume and Market Share

4.6 Beijing Hyundai Motor Co., Ltd.

4.7 Dongfeng Motor Co., Ltd.

4.8 Changan Ford Automobile Co., Ltd.

4.9 Great Wall Motor Co., Ltd.

4.10 Zhejiang Geely Holding Group

 

5 Analysis on Raw Material Costs and Sales Prices in Passenger Vehicle Manufacturing Industry in China, 2013-2016

5.1 Analysis on Manufacturing Costs of Passenger Vehicles, 2013-2016

5.2 Analysis on Sales Prices of Passenger Vehicle in China, 2013- 2016

 

6 Forecasts on Development of Passenger Vehicle Industry in China, 2017-2021

6.1 Factors Influencing Development of Passenger Vehicle Industry in China

6.1.1 Major Driving Forces and Market Opportunities of Passenger Vehicle Industry in China

6.1.2 Threats and Challenges in Passenger Vehicle Industry in China

6.2 Forecast on Supply of Passenger Vehicle Industry in China,

6.2.1 Forecast on Output Volume of Passenger Vehicles in China, 2017-2021

6.2.2 Forecast on Product Structure

6.3 Forecast on Demand

 

Selected Charts

Chart China’s GDP and GDP Growth Rate, 2012-2016

Chart Total Sales Volume and YOY Growth Rate of Passenger Vehicles in China, 2012-2016

Chart Laws and Regulations of Passenger Vehicle Industry in China, 2013-2016

Chart Output Volume of Passenger Vehicles in China, 2012-2016

Chart Sales Volume of Passenger Vehicles in China, 2012-2016

Chart Sales Volume of Passenger Vehicles in China by Emission, 2012-2016

Chart Sales Volume of Passenger Vehicles in China by Model, 2012-2016

Chart Sales Revenue of Passenger Vehicles in China, 2012-2016

Chart Top 10 Passenger Vehicle Manufacturers and Market Shares in China, 2013-2016

Chart Sales Volume of Passenger Vehicles of SAIC Volkswagen, 2012-2016

Chart Market Share of Passenger Vehicles of SAIC Volkswagen in China, 2012-2016

Chart Sales Volume of Passenger Vehicles of SAIC-GM-Wuling in China, 2012-2016

Chart Market Share of Passenger Vehicles of SAIC-GM-Wuling in China, 2012-2016

Chart Sales Volume of Passenger Vehicles of SAIC General Motors, 2012-2016

Chart Market Share of Sales Volume of Passenger Vehicle of SAIC General Motors in China, 2012- 2016

Chart Sales Volume of FAW-Volkswagen, 2012- 2016

Chart Market Share of Sales Volume of Passenger Vehicle of FAW-Volkswagen in China, 2012-2016

Chart Market Share of Sales Volume of Passenger Vehicle of Chongqing Changan Automobile in China, 2012-2016

Chart Sales Volume and Market Share of Passenger Vehicles of Beijing Hyundai, 2012-2016

Chart Sales Volume and Market Share of Passenger Vehicles of Dongfeng Nissan, 2012-2016

Chart Sales Volume and Market Share of Passenger Vehicles of Changan Ford, 2012-2016

Chart Sales Volume and Market Share of Passenger Vehicles of Great Wall Automobile, 2012-2016

Chart Sales Volume and Market Share of Passenger Vehicles of Geely, 2012-2016

Chart Composite Price Index of Automobile Steel Products in China, 2013-2016

Chart Price Trend of Natural Rubber in China, 2013-2016

Chart Forecast on Output Volume of Passenger Vehicles in China, 2017- 2021

Chart Forecast on Market Size of Passenger Vehicles in China, 2017-2021