GM’s China chief predicts strong car sales through 2020
Even as predictions of China’s economic slowdown abound, General Motors stares straight in the face of the doomsayers and says, things look peachy.
On Monday, Matt Tsien, the head of GM’s China division said he expects China’s car market to grow between 3% and 5% every year through 2020.
At a press conference in Beijing, Tsien said that SUV and luxury will be hot segments in China going forward, with SUV and MPV accounting for 40% of the company’s overall China growth, Reuters reported.
GM will launch 60 new or refreshed vehicles in the next five years, when more than 10 new green energy vehicles will be introduced to China, Tsien said.
China expects overall vehicles sales this year to grow 6%, compared with 4.7% last year. The mid-year rout in the stock market and subsequent slump in the economy saw car sales stall, although they rebounded after the government cut taxes on small engine cars in October. This was a sever drop from the 6.9% growth in 2014.
Analysts say the world’s largest auto market has entered a period of unprecedented uncertainty as the economy grows at its slowest pace in 25 years.