Research
Sector Report

Foreign players in China's automotive industry

  • Multi-Asset Class
  • Consumer
  • China & Hong Kong

Boasting the world’s largest automotive market for both demand and supply, the peaks and valleys of China’s auto industry are not to be disregarded. In 2018, the country’s auto industry experienced its first year of negative growth since 1990, despite rising affluence. Economists suggest that decreasing car sales within the country could reduce the rate of growth for China’s economy. During Q2 our moderators sourced the opinions of automotive specialists from around the world to help further understand the ramifications.

Our Q1 2019 Sector Report analysed that JLR should localise its product offerings, in accordance with consumer demands in each operating country, but more recently the company’s move to do so has now drawn the criticism that they’ve strayed too far from their roots. While the brand has always been associated with classic English style and elegance, the quality issues that have arisen from trying to cater for them in China have seemingly damaged JLR’s brand. 

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