China, or what is being increasingly referred to as the C-Factor in the auto industry, is likely have a significant say from now on in how automobiles are designed, built and sold.
China could dominate the car industry was this years Beijing auto show. More than 1,000 cars were on display; some 65 concept cars made debuts as well as nearly 100 new or prospective alternative-fuel vehicles. That total was more than were unveiled at the most recent Detroit, New York, Chicago and Los Angeles auto shows combined. By the time Auto China reconvenes a year from now in Shanghai, the show could outstrip Geneva as the worlds most important auto salon.
Last year, China surpassed the United States as the worlds biggest automobile market, ending more than a century of American dominance. Chinas sales grew by more than a third to 13.6 million units in 2009, while the United States market plunged 21 percent to 10.5 million. Sales in the United States are expected to rebound to about 12 million units in 2010, after a disastrous two-year recession that helped to bankrupt the Detroit auto giants General Motors and Chrysler. But the Chinese market is not idling, waiting for the Americans to catch back up; sales to the increasingly car-crazy Chinese are forecast to continuing growing perhaps to as many as 20 million units yearly by 2015.
As recently as 10 years ago, total annual sales in the Chinese market was barely two million vehicles. In fact, this is only the 11th Beijing auto show, or Auto China, as it is officially known. The exhibition alternates host cities every other year with Shanghai; up until two years ago, the two China shows were more like automotive trade shows or flea markets. (Source: Jerry Garrett, New York Times, Apr 26, 2010)