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Western brands may not have a future in China, while local producers close to the latest residual fort held by Volkswagen and Toyota likes, Stellantis has announced.
Asked if Western vehicle groups will be able to compete with local brands in China, Maxime Picat, Stellantis Operating Chief for Asia, Middle East and Africa, and one of the two internal candidates to become the chief executive of the other group, said: “I am an optimistic but not in him.”
Local brands have received a significant share of the market in China from small foreign manufacturers in all electric cars and larger vehicle segments, but brands like Toyota and Volkswagen still sell large volumes of medium -sized gasoline vehicles, known as “segment C”.
“I was shocked,” pizza said in the future of the FT of the car’s summit, indicating that the expansion of the local brand offensive in all vehicle segments. This means that western cars manufacturers have remained with the “segment of the inner combustion engine c. And that will not last,” he added.
“If you look what has happened in recent years, the tendency (of the declining market) is strong and it has been very difficult for the West (car manufacturers) to hold their position in China,” he said.
While many Western companies, including Stellantis, have gradually withdrawn from China between fierce competition and a war at bruised prices, German manufacturers like Volkswagen have doubled in a market that has long been a source of profit.
Volkswagen, Toyota and other foreign brands have adopted the “China for China” strategy to win customers who have moved to more affordable electric vehicles and filled with home brands technology. Last year, VW announced a further € 2.5 billion investment in China.
The share of the foreign brand market in China stayed at 32 percent in the first two months of this year, less than half of the 64 percent they held in 2020. Byd has overcome Volkswagen’s long position as the best -selling brand, according to Shanghai Consultancy Automobity.
But Volkswagen and Toyota are still the two main manufacturers of gasoline vehicles in China with a combined market share of 34 percent.
After finishing its ventures in China, Stellantis-owner of Peugeot, Fiat, Opel and other brands a 20 percent of the leapmotor shares for 1.5bn € and is helping Chinese start to increase sales in China and Europe.
In an effort to signal his commitment to the Chinese market, VW has been a loud critic of EU’s EU anti-subsidies tariffs that have divided German producers from masses such as Stellantis and Renault, who have little exposure to the Chinese market.
The pizza has appeared alongside Stellantis Chief of North American Antonio Filosa as two internal candidates to replace Carlos Tavares, who left Stellantis in December after strategy disputes.
Asked about the plan to find a replacement for the ceiling, the pizza said: “The board has begun a very comprehensive process which is important … and they have announced the time, so everything is under control and this will be a good decision, regardless of the decision.”
