2023 Author: Eric Donovan | [email protected]. Last modified: 2023-05-21 15:44
Despite a slight decline in growth, China remains the most important car market worldwide. That goes back to a study by the management consultancy Oliver Wyman. After that, the region will even gain in importance for manufacturers.
According to a study, the somewhat lower growth prospects in the coming years can not dispute China's status as the world's most important car market. On the contrary: The management consultancy Oliver Wyman assumes that the Middle Kingdom is becoming more and more important for the industry as a sales, but also as a production region. For VW, China is now the largest single market. In all of Asia, more than half of all cars are likely to be manufactured by 2025, the experts write in an analysis published on Tuesday. Central locations for corresponding investments will continue to be in China as well as in India, which is also emerging.
"This dominance in sales and production will intensify in the next few years," says the paper with a view to China. But not only the growth rates, but also the absolute number of domestically manufactured vehicles in the gigantic empire should increase strongly.
World market shares are increasing in China and India
In the medium term, China as a manufacturing location alongside India should come close to the level of Western Europe or North America, the experts write. The consultants see the world market shares of the two countries at 30 and 11 percent respectively in 2025. According to the study, the Chinese market is currently at 23 percent and the Indian market at 5 percent.
The consultants estimate that around five percent more cars can be sold in Asia over the next twelve years. A large part of this comes from China: "Chinese automobile sales will roughly double over the same period from around 19 million vehicles today." In India it could even be significantly more, here - with an even lower volume also for German manufacturers - there is talk of a quadrupling.
Oliver Wyman expects that Western Europe, on the other hand, will probably only achieve average growth of three percent per year by 2025. In North America, the experts anticipate two percent growth and in Japan and South Korea almost one percent growth.
In terms of research and development, however, the Europeans will stay ahead, industry observers believe. The emerging countries are catching up, but overall there is no reason to be blackmailed: "Europe is still a growth region and an attractive automotive market." (dpa)