Filed under: China, Cadillac, Chevrolet, Ford, GM, Earnings/Financials
GM, Ford doing well in China, despite slow sales at home
While domestic sales continue to slide, the auto market in China is thriving. Both General Motors and Ford have reported double-digit sales growth for the first-half of 2008 in the world's most populace country, with GM moving 590,126 Buick, Chevrolet, and Cadillac vehicles for a total sales increase of 12.7 percent, while Ford sold 172,411 units for 21 percent jump in growth. With China recognized as the second-largest vehicle market outside the United States, and with their economy forecasted to grow by at least nine percent this year, automakers in Europe, Japan, and the U.S. are investing heavily to expand sales and production in the Chinese market. It is worth noting that vehicle sales in China have been nearly immune to the increase in global oil prices as governmental controls keep diesel and gasoline prices among the world's lowest.
[Source: Detroit News]
Reader Comments (Page 1 of 3)
Dude 3:39PM (7/08/2008)
Wait! Who let positive news about an American automaker on here?
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Randy 4:10PM (7/08/2008)
Gee... I thought I was the only one that noticed the overall, nationwide, conspiracy-like efforts to continuously and shamelessly smear the names of every American automobile company by US media companies far beyond what's necessary to report news while simoltaneously understating and brushing aside the failures of import car companies as fluke accidents that couldn't possibly be the fault of the import companies because they're so devine!
Or I could have just been imagining this for all for the past 6 years!
AngeloD 4:18PM (7/08/2008)
""while simoltaneously understating and brushing aside the failures of import car companies as fluke accidents that couldn't possibly be the fault of the import companies because they're so devine!""
They are actually spun as positives.
Remember how the news about Toyota's buyback of thousands of Tacoma Pickups over the rusty frames was spun as "Toyota boldly steps up to the plate to do right by their customers..."
Makes you sick after a while seeing what the Japanese car makers get away with.
Can you imagine the shrill din of condemnations by the News Media of Ford or GM if they had a similar problem.
notYou 6:17PM (7/08/2008)
You call increasing your international demand while losing at home "positive news"? Sure, they'll keep from going out of business but it's only a matter of time until the inertia of the markets swap and the "domestics" view the foreign markets as their primary ones, and the US as secondary or worse.
At least then we won't have to worry about the UAW because, just like everything that's on the shelves at WalMart, Ford will be able to produce 'em cheaper there and ship them here - then it's fait acompli.
2004m3driver 4:23PM (7/08/2008)
Yes Randy. The US media has been slandering the US automakers for years. That is because they have secret ties to the Axis of evil which is Italy, Germany, and Japan (funny how they make some of the best cars, maybe its a conspiracy to get us all to drive them then they take it over and control the world like they planned on in WW2). It might not just be because of the domestics generating a lot of press because of the turmoil they are going through. Who knows?
Vincenzo 4:30PM (7/08/2008)
It's only a matter of time when GM will move all its production to China.
The health care is public, no strikes in the communist country, low salaries...
Randy 4:38PM (7/08/2008)
AngeloD
"
They are actually spun as positives."
Very good point!
2004m3driver
The overdone negative reporting is well observed by the majority of readers! I'd like to expand but it's beyond the scope of this blog! It's not my imagination! And I'm not being a fanboy! I've driven most makes!
Brian W 6:45PM (7/08/2008)
"It's only a matter of time when GM will move all its production to China.
The health care is public, no strikes in the communist country, low salaries..."
I'm afraid most U.S. makers will move 50% over there some day.
The Big 3 does well in countries where there is a level playing field.
Disgruntled Goat 9:12AM (7/09/2008)
Don't count out US production yet. The unions and their legacy costs are all but dead, the worthless dollar makes manufacturing in this country an asset, plus there's a good chance we'll see a solution to the healthcare trainwreck within the next 4 years.
Once we achieve all of these three things you'll see a huge resurgence in American manufacturing that's not limited only to cars.
Yar 3:40PM (7/08/2008)
I also heard that Hummer sales are up some 30% abroad.
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Johnny 4:02PM (7/08/2008)
Yes Hummer world wide sales went from 407 to 492 in June 2008.
Thats 22% increase alright but 22% of nothing adds to nothing.
Chris 4:41PM (7/08/2008)
Funny Johnny how people seem to think the increase in Mini sales means something different. They have yet to break 10K but everyone thinks they are new leader
Vintage 3:40PM (7/08/2008)
The only reason they're doing well is because their economy is booming there. Anything sells in China. Here, on the other hand.... we have a crappy economy because we BUY EVERYTHING FROM CHINA.
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Dude 3:54PM (7/08/2008)
Says the person with an Asian car avatar
Kotse 4:00PM (7/08/2008)
"...we have a crappy economy because we BUY EVERYTHING FROM CHINA."
Not only that but the WE, the United States BORROWS money from China (2nd only to Japan)...to the tune of $502bil in US Treasury securities owned by the Chinese (as of April '08)!
HotRodzNKustoms 4:25PM (7/08/2008)
But you have to remember the Chinese don't have a large used car market yet. So they have to buy new.
Kotse 3:49PM (7/08/2008)
Nihao Gee Emm...sellu mee Hummer, oke, oke??...haw, haw...Xie xie!
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Kotse 5:12PM (7/08/2008)
You guys are too sensitive...heck my girlfriend(I tease all the time..) is from the seaport city of Tianjin, near Beijing (she happens to import off lease USDM high end luxury vehicles to China)...okay! Sheesh!
MKIV 6:43PM (7/08/2008)
yu no phanie.....
TriShield 3:53PM (7/08/2008)
I don't think anyone isn't doing well in China.
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