Rebounding Growth: Overseas Brands of Their Own Brands Rise by Nearly 60%

In the domestic market, the self-owned brand companies that have undergone adjustments, overseas markets have bucked the trend.

On August 22nd, Geely released a semi-annual report that the company exported 13,385 vehicles in the first half of the year, a year-on-year increase of 93%; Chery and the Great Wall also issued overseas red report cards several days ago. Chery has 88,838 vehicles, which has increased by 89.25% year-on-year, while Great Wall Motor has sold 31,1681 vehicles, a 39.9% increase year-on-year.

According to statistics from the Automobile Association of China Automobile Association, the total export volume of automobile manufacturers in the first seven months of the year totaled 454,400, a year-on-year increase of 57.30%. Zhu Yiping, secretary-general of the SAIC Assistant Secretary, said that July's exports exceeded the best month of 2008 before the financial crisis.

The sharp drop in the growth rate of China's auto exports in 2008 was mainly due to the fact that the global auto market has fallen into a slump. Affected by the international financial crisis, the production and sales of major auto markets in Europe, North America, etc. have drastically decreased, driving the auto market in emerging markets such as Russia and Latin America into a downturn. In addition, factors such as changes in the exchange rate of RMB, rising production and operating costs, and trade barriers have also constrained the pace of China's auto exports.

J. D. According to Zeng Zhiling, forecaster of Asia-Pacific auto market of Power Consulting, the main reason for this year's auto export growth is that with the elimination of the financial crisis, overseas markets are gradually recovering. From the perspective of export volume, this year is expected to reach 400,000 units, far more than 2008. Yearly level; Second, Chinese companies have also stepped up efforts to deploy overseas markets in the past two years, and have opened up many export countries and regions. In addition to Eastern Europe and Africa, automobile exports to Southeast Asia, Latin America and North America have also developed in recent years. fast. "Chery and JAC have all grown very fast in Brazil. Relatively speaking, the base number in Latin America is relatively low. On the other hand, it is also related to the local investment of manufacturers."

Some experts pointed out that at present, the export of self-owned brands is mostly Brazil, Argentina, Chile and other South America, Russia and other Central and Eastern European countries, or underdeveloped regions such as Africa, and there are very few enterprises and products that really enter North America, Western Europe and other countries. The road to internationalization of independent brands is still in the "primary stage."

However, this phenomenon is changing.

On August 17, Geely Automobile announced that the indirect wholly-owned subsidiary of the company, Shanghai Geely Meijiafeng International Trade Co., Ltd. (hereinafter referred to as Geely International), entered into an agreement with the specialty London taxi manufacturer, Manganese Copper Holdings Co., Ltd. Distribute automobiles and parts and provide after-sales service in the UK. According to Geely, Geely's first car sold to the United Kingdom is its own research and development of the Imperial series. In the next year, the vehicle will be tested for suitability and compliance in the UK. If successful, the vehicle will land in the UK. This is the first time Geely has opened its exports to developed countries after exporting third-world countries. This also made Geely become the second Chinese car manufacturer to sell in the UK after SAIC.

In July of this year, the first MG6 [Review Picture Forum] was rolled out in the UK. It was produced in the country, assembled in the UK with imported accessories and then sold locally in the UK.

Regarding the overseas movement of its own brand and its rebounding growth performance, Zeng Zhiling believes that it is not worth promoting itself if a domestic company abandons the world’s largest market and goes abroad. It is only after the domestic market is stable that it can do its best to export.

In fact, overseas sales accounted for less than the Group’s sales in their respective main brands. The highest share of Chery is slightly higher at 30%. Other Geely and Great Wall accounts for only 6.3% and 13.4% of the Group's sales.

Another expert, who asked not to be named, told reporters that, in fact, car companies are keen to export, but also the profits of export tax rebate. As long as the company transports the car out of the customs, it can obtain the export tax rebate, which is a huge profit. Therefore, companies prefer to sell at low prices in overseas markets.

Geely acknowledged in its announcement on the 22nd that due to continuous improvement of distribution capabilities and reorganization of production arrangements in major export markets in the past few years, export performance improved in 2010, “but the Chinese sedan market started to weaken and new constructions in Jinan and Chengdu Plants have increased costs and increased costs and expenses for the development of the three new brands. In addition, the major global economies are still plagued by uncertainties, inflation is heating up, and China’s tightening policy “will likely continue to deteriorate in the second half of the year.”