Text: Qingli
As the largest engine of the global economy, the Chinese market is playing an unprecedented important role under the epidemic. Taking the automobile market as an example, in 2020, the total global automobile sales volume was 78.03 million units, while the car sales in China were 25.311 million units, accounting for 32% of the total global sales. In other words, the Chinese market already accounts for nearly a third of the world's total. Recently, data show that global car sales in 2021 will be about 81.05 million, of which China's annual car sales will reach 26.275 million, an increase of 3.8%, continuing to sit firmly in the world's largest automobile market.
It can be seen that the importance of the mainland automobile market is self-evident. So what does such a huge automobile market mean for the world's major car companies?
Recently, the dust has settled on the sales ranking of global automobile groups in 2021. The BMW Group, ranked tenth on the list, sold 2.52 million units, up 8.4% year-on-year. Among them, in the Chinese market, a total of 846237 vehicles (including MINI) were delivered, an increase of 8.9% year-on-year. Ford, which ranked eighth, saw sales fall 12 percent to 3.72 million units. However, in the Chinese market, sales reached 624802 units, up 3.7% year-on-year. In seventh place, Honda's vehicle sales increased 1% y/y to 4.48 million units, including 1.5615 million units in the Chinese market. Toyota Motor Group, which has been the global champion of automobile sales for two consecutive years, has expanded its advantages in the Chinese market, with sales reaching 1.944 million vehicles, a new high for nine consecutive years.
It can be seen that among the above top ten global auto groups, the largest sales of many car companies come from China, which fully shows that the mainland automobile market has become one of the most important overseas markets for many famous car companies in the world, and if the Chinese market is lost, then there is no doubt that the income of many car companies will be greatly discounted.
Through the above list, it is enough to see the importance of the mainland automobile market for car companies in various countries. So in addition to the mainland, which other countries' auto markets are also worth paying attention to?
So far, the United States has sold 15.06 million vehicles in the past year, and Japan has sold 4.448 million vehicles, closely following the mainland. In addition, India, the world's fourth largest automotive market, saw sales rise 27 percent to 3.08 million units, breaking through the 3 million vehicle milestone for the third time. I believe that for most people, the car market and brand in the United States and Japan are more familiar, while the car market and brand in India are relatively unfamiliar. So as the fourth largest automotive market in the world, do you know what brands sell best in India?
In India, the Japanese and Korean systems dominate. Because of the car environment, consumption concept and per capita purchasing power, local consumers prefer some brands that specialize in small cars. This has also led to many well-known manufacturers, which have a significant difference in recognition and popularity in India.
Overall, 11-16 are Ranked by Ford, Volkswagen, Skoda, JEEP, Nissan (Dartsan) and Citroën. Last September, Ford announced it would stop producing and selling cars in India and close two auto plants. The reason for this is that the demand for Ford's new cars in the Indian market has been very weak. The U.S. car company has struggled for 20 years and has been unable to make a profit, losing more than $2 billion in the past decade and having less than 2 percent of the local passenger car market.
The 6-10th places are Toyota, Renault, Honda, MG and Nissan. Many people may not know much about MG, but it is actually a subsidiary of SAIC Motor and the only Chinese car brand that can stand in India. In 2005, Nanjing Automobile Group acquired the British MG Rover Automobile Company and its engine production branch, creating a precedent for Chinese companies to acquire famous foreign automobile companies. Two years later, SAIC motor group included Nanjing Motor Group under its command, so it also became the new owner of the MG brand.
In fact, MG's achievements in India in recent years can be described as eye-catching. In April 2019, MG's first product in India, the Internet car MG Hector, became a hit. The MG ASTOR launched in Q4 of 2021 broke the record of MG Hector and was sold out in 20 minutes. In January 2022, MG sold 4,036 units, up 20% year-on-year and 69% month-on-month, achieving a good start in the Indian market.
The top 5 Korean brands accounted for 2 seats. Kia, a brand of hyundai motor group, is currently ranked No. 5, with sales of 181543 units in India last year, up 29% year-on-year and a market share of 5.9%. According to relevant introductions, the word "Kia" means "from Asia" or "asian rise". Kia sold 19,319 units in India in January 2022, up 1.4 percent from the same period last year. The brand has a strong position among India's top five automakers, whose sales are mainly driven by Kia Seltos SUVs, accounting for 11,483 units of total sales. In addition, Hyundai continued to rank Second, with sales of more than 500,000 vehicles.
India's 2 local car brands also ranked among the top 5 this time. Among them, Mahinda rose to no. 4, with sales reaching 201,000 units. Interestingly, the company originally produced tractors, but gradually expanded into the fields of automobile manufacturing, parts manufacturing, construction and information technology. Today, its SUV sales volume in the Indian market is ranked No. 1.
In third place is Tata. Tata Motors is a subsidiary of the Indian Tata Group and can produce small cars, buses, heavy goods vehicles and more. Tata sold about 331,000 vehicles last year, an increase of more than 90%. The market share increased by about 4 percentage points to 10.8%, which can be said to be a very good result. After receiving investment from private equity firm TPG, Tata Motors announced that it will invest more than $2 billion in its electric vehicle (EV) business over the next five years. With the planned launch of 10 new electric models by 2025, it can be seen that Tata Motors will expand into a larger market in the future.
The no. 1 car brand in India is Maruti Suzuki. According to statistics, Maruti Suzuki sold 1364788 vehicles last year, more than 2-5 combined. Among the top ten models sold, the company occupied eight seats, and the Wagon R (Big Dipper) ranked first.
Maruti Suzuki, one of India's largest car manufacturers, was founded in 1981 as an Indian state-owned company and became a subsidiary of Suzuki in 2002 due to the increase in the shareholding of Suzuki Corporation of Japan. As the first foreign car companies to enter the Indian market, they focus on the development of mini cars in view of the characteristics of low urbanization, poor road conditions and poor passability in India, aiming at low consumer groups and occupying a huge market share with people-friendly prices.
It is worth mentioning that last year Maruti Suzuki also exported 205,450 cars, setting a new record. The main destinations are Latin America, Southeast Asia, Africa, the Middle East, etc., and most of the products are Baleno, Dzire (Sedan), Swift (Swift), S-Presso and Vitala Brezza.
Do you know the car brands mentioned above? Which other Indian car brands have you heard of?