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More distinctive images, better interiors key for China's automakers

  • Source: Global Times
  • [23:38 April 28 2010]
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By Klaus Paur

Despite a remarkably self-confident presentation of the most recent model range by German automakers, the Auto China 2010 is above all a demonstration of strength for the Chinese car manufacturers. It is the most important vehicle exhibition at home and the independent domestic car brands are taking full advantage to show the fruits of their recent research and development to the public. This is not really surprising as the key to sustainable success - nationally and inter-nationally - is the conquest of the domestic market.

China has become one of the most competitive automotive market in the world, where vehicle usage and quality requirements evolve quickly, and in which a comprehensive range of products is the only way to become and remain a significant market contender. Most Chinese independent brands understand this and launched large diversification campaigns. As a result, Chinese brands are flooding this year's Beijing Auto Show, from April 23 till Sunday.

With this, they have gained the attention of Chinese eager to discover new car models at the auto show, as a recent TNS Automotive survey of auto owners and potential buyers showed. What visitors are seeing are some interesting and stylish vehicle prototypes that show how domestic automakers envision the future.

But when it comes to new road-ready models, the offerings are less exciting and rather ordinary. Many domestic automakers, including BYD and Geely, have chosen neutral designs, which generate no buzz - positive or negative. This may give them considerable mass market potential in the near future, but it will be more challenging to build a distinct brand perception in the long run. On the other hand, more daring manufacturers, such as Shanghai Automotive with its MG brand, are set to serve a niche market - at least for the short term.

While vehicle designs may leave some expectations unfulfilled, the quality of vehicle assembly has largely improved. Various body elements are fitting much better together than what we experienced just one year ago, and gaps between opening and closing parts (hood, doors, and trunk) are more precise and regular. This helps Chinese independent brands, such as Chery's Riich label, to become more credible players in the upper-end and premium levels. However, though the exterior quality has improved, the interior materials and level of workmanship are still pretty basic, and inconsistent overall. Domestic car makers have to strengthen their game if they want to rise as convincing contenders against foreign brands.

Chinese car manufacturers have managed to compellingly show their ambitions to consistently challenge their international peers on their home roads and beyond. While some homework remains to be done, their performance at the Beijing Auto Show suggest that they are driving in the right direction.

The author is regional automotive director for research company TNS.