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 | Apr-21-2008Beijing Pressures Automakers to Improve Efficiency(topic overview) CONTENTS:
- Daimler, based in Stuttgart, Germany, and BMW in Munich, might consider jointly investing in basic research but no agreements have been reached, Zetsche said. (More...)
- BEIJING, April 20 (Reuters) - Mercedes Benz launched the GLK small SUV in the Chinese market on Sunday, and its head, Daimler (DAIGn.DE: Quote, Profile, Research ) Chief Executive Dieter Zetsche, said he was convinced the group would overtake German rival BMW (BMWG.DE: Quote, Profile, Research ) in the fast-growing market. (More...)
- The company says the car is available in 37 countries. (More...)
- "In the history of the world, no country has changed as much as China in the past 30 years, and it is not only amazing to watch it, but to be a part of it and help contribute to it," says Ulrich Walker, chairman and CEO of Daimler Northeast Asia Ltd, parent of Mercedes-Benz (China) Ltd. (More...)
- Fujian Daimler Automotive Co. will initially make as many as 40,000 vehicles a year, including Mercedes-Benz Viano and Vito multipurpose vehicles as well as Sprinter vans. (More...)
- China's first "one-child" generation is literally the driving force behind the country's thriving auto market, but in the early 1980s, most of their parents were still striving for a Feige (Flying Pigeon) bicycle as the ultimate in personal transportation. (More...)
- J.D. Power and Associates says sales should grow by 1 million vehicles annually through 2015. (More...)
- "Audi is more volume, we are more at the higher end," Zetsche said. (More...)
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Daimler, based in Stuttgart, Germany, and BMW in Munich, might consider jointly investing in basic research but no agreements have been reached, Zetsche said. He gave no other details. China, the world's second-largest auto market, has been a bright spot for Daimler and other automakers, with overall sales forecast to grow at least 15 percent this year. U.S. sales are expected to decline this year, while those in Europe and Japan are flat. In China, Daimler says its first-quarter sales soared 42 percent from the same period last year to 8,661 vehicles. The company says China is the No. 2 market for its S-class sedans after the United States, accounting for one-third of sales. Zetsche was joined onstage by Chinese film star Zhang Ziyi as Mercedes showed off its newest sport utility vehicle, the GLK, which goes on sale in China next year. "We know it's a big, growing market" for such vehicles, Zetsche said. Mercedes produces its midsize E-class cars and smaller C-class cars in China in a joint venture with a state-owned automaker. [1] Daimler AG said Mercedes-Benz sales in China rose 42 percent in the first quarter. That included a 110 percent jump in sales of the R-class minivan. Zetsche declined to give a 2008 forecast but said Mercedes will add 20 new dealerships in China this year, bringing the total to 120. Automakers said they face intense competition and pressure to cut prices in China, where dozens of small Chinese producers measure their share of the fragmented market in fractions of a percentage point. "I think this is just the most competitive market in the world," said Carlos Tavares, executive vice president of Nissan.[2] In the new century owning a Mercedes-Benz is becoming a reality rather than a dream for China's new generation. Last month, the German luxury automaker officially launched its locally produced C-Class sedans priced at between 378,000 and 478,000 yuan, targeting younger, newly affluent Chinese. In the first quarter this year, Mercedes-Benz sold 9,626 luxury sedans in China, a 40 percent increase year-on-year, which is a sales figure the company never imagined when it entered China market.[3]
Volkswagen AG's sales in China grew 32 percent in the first quarter, executives said. They gave no full-year projection but said they hope to top 1 million vehicles in 2008, which would be a 10 percent increase over 2007's 910,491 cars. "In no other country does this brand sell as many cars as in China," VW chairman Martin Winterkorn said. Hyundai Motor Co.' s Chinese joint venture expects to see sales rise 65 percent this year to 380,000 cars, executive vice president Li Honglu told Dow Jones Newswires. France's PSA Peugeot-Citroen expects to sell 150,000 cars in China this year, a 30 percent increase over 2007's 115,000 vehicles, according to Jean-Louis Chamla, vice president of international sales and marketing.[2] Sales of some individual models to newly prosperous Chinese drivers soared by up to 100 percent in the first quarter over the same period of 2007, said executives speaking at the Beijing auto show. Toyota Motor Corp. expects to sell 700,000 vehicles in China this year, up 40 percent from 2007, executive Yuzo Ushiyama said. "As the 40 percent (target) is much bigger than the overall market growth, this is challenging," Ushiyama told reporters.[2]
The number of Chinese families that can afford a car is expected to mushroom from 10 million in 2005 to 75 million in 2005, according to Jim Raymond, a General Motors executive. The rivalry for a share of China's market has turned the Beijing auto show into a major industry event that this year drew more than 100 Chinese and foreign automakers. As companies held presentations for reporters, they competed for attention with live bands, acrobats and dancers.[2]
Zetsche said it has no plans to respond to rising costs in Europe by exporting Chinese-made cars or components there. He said, "tomorrow the situation might be different" as the quality of Chinese components improves. Mercedes plans to add 20 new dealerships in China this year, raising the total to 120, said Ulrich Walker, the chairman of Daimler Northeast Asia Ltd. Walker said Mercedes will start selling its two-seat Smart minicar in Beijing, Shanghai and other major Chinese cities next year.[1] BEIJING, and STUTTGART, Germany, April 19, 2008 /PRNewswire-FirstCall via COMTEX/ -- The smart fortwo will also be available to Chinese customers from mid 2009. This was announced by Dr. Dieter Zetsche, CEO of Daimler AG (stock exchange abbreviation DAI) and Head of Mercedes-Benz Cars, at the Auto China Beijing 2008 (22 - 28 April 2008).[4] Smart is now set to open up another major automobile market, following the successful launch in the USA. Daimler AG expects additional sales potential for the brand in China as the small car is practically tailor-made for the increasing number of small car customers on the Chinese market: The smart fortwo combines modern technology, premium quality and safety, exemplary low fuel consumption and corresponding low CO2 emissions with a unique space concept that offers advantages in the dense traffic of China's numerous large cities.[4]
In China, too, environmental awareness is greatly increasing. Chinese customers don't regard their car as a merely functional means of transport. They increasingly see their cars as a means of expressing their personality. Fashion-conscious young people in particular seek an agile, trendy vehicle for their flexible urban lifestyle in order to set themselves apart from others. Against the background of these developments Mercedes-Benz Cars decided to launch the "original" two-seater smart fortwo on the Chinese market in mid 2009.[4]
The smart fortwo meets the same high standards which apply to larger vehicles from Mercedes-Benz cars. These include top quality and reliability, outstanding safety and economical and environmentally friendly driving combined with comfort and agility. The "original" is loved first and foremost for its innovative design with which the brand trod a new, different path and achieved worldwide cult status for the fortwo.[4]
Market observers are currently registering strong growth of the micro car and small car segment in China. These are the best prerequisites for an innovative, low-consumption vehicle like the smart fortwo that is designed for urban lifestyles.[4] DETROIT (AP) - Daimler AG says it plans to start selling the Smart fortwo micro car in China in mid-2009.[5]
April 18 (Bloomberg) -- Daimler AG, the world's largest maker of commercial vehicles, plans to start selling Chinese- made Mercedes-Benz vans in other Asian markets as soon as next year, according to its local partner. "Daimler will use our venture as its Asian manufacturing base,'' Ling Yuzhang, chairman of Fujian Motor Industry Group Co., said in Beijing yesterday. The $284 million venture, in southeastern Fujian province, will initially export 15 percent of its output, he said. That's as many as 6,000 vehicles a year.[6] The German automaker may join Honda Motor Co. and Chrysler LLC in exporting China-made vehicles as the country's low wages make production cheaper than in other markets. China's auto exports surged 88 percent in the first quarter and may exceed 1 million this year, according to the Commerce Ministry.[6] "But we want to try (700,000 vehicles) as our goal." Automakers are looking to China to drive sagging sales at a time when demand in the United States is expected to decline this year while Europe and Japan are flat. Sales in China, already the world's No. 2 vehicle market after the United States, are forecast to grow 15 to 20 percent this year, driven by a boom that saw the economy grow by 10.6 percent in the first quarter.[2] BEIJING (AP) — Automakers issued ambitious forecasts Sunday of up to 65 percent sales growth in China's booming market this year — a striking contrast to the gloom in the United States and elsewhere.[2]

BEIJING, April 20 (Reuters) - Mercedes Benz launched the GLK small SUV in the Chinese market on Sunday, and its head, Daimler (DAIGn.DE: Quote, Profile, Research ) Chief Executive Dieter Zetsche, said he was convinced the group would overtake German rival BMW (BMWG.DE: Quote, Profile, Research ) in the fast-growing market. He declined to give a timeframe for that or to offer any sales targets but the remark by "Dr Z", as he is nicknamed, caused ripples during the rain-drenched Beijing Motor Show and his rivals wasted little in reacting with equal determination. Ian Robertson, BMW management board member in charge of sales and marketing, told Reuters the Munich-based group intended to stay ahead of its Stuttgart rival in China by ramping up dealerships and local production. [7] The show opens to the public on Thursday. Daimler CEO Dieter Zetsche was joined on stage by Chinese film star Zhang Ziyi as he showed off the new Mercedes-Benz SUV, the GLK, which goes on sale in China next year.[2]
A very high standard of onboard features and attractive equipment packages will distinguish the GLK from the rest of the compact SUV field. The very latest systems such as the trailblazing PRE SAFE safety concept or the Intelligent Light System (ILS) are available for the first time in this market segment. The biennial Auto China fair celebrates its 10th anniversary in 2008. Organised by the Munich exhibition specialist IMAG together with its Chinese partners, the Auto China fair has become the most successful motor show in the Middle Kingdom.[8] The announcement was made by Daimler CEO Dr. Dieter Zetsche at the Auto China Beijing show. The Smart is currently available in 37 countries and has sold more than 870,000 units since its introduction in 1998.[9] At the Auto China Dr. Dieter Zetsche said: "In China, too, we are seeing growing customer interest in our high-quality and economical smart fortwo. I am sure that many lifestyle-oriented customers in China's cities will soon come to love its unique concept. For in addition to its outstanding safety equipment and the typical smart design, the fortwo naturally also boasts top quality and reliability."[4]
Beijing, China ''' The Smart Fortwo will be available to Chinese customers beginning in mid-2009.[9]
In 1980, just one year after the Chinese government permitted ownership of private automobiles, the company set up a Daimler-Benz liaison office in Beijing in anticipation of the potential of the Chinese market for luxury sedans. It was the first such supplier in China.[3] The venture, based in the southern city of Fuzhou, will primarily make vehicles for the local market, Trevor Hale, Daimler's Beijing-based spokesman, said in an e-mail yesterday. "However, we will look for potential export opportunities in Asia if there is a good business case,'' he added. The German automaker opened its first Chinese sedan plant in Beijing in September 2006 to make models including Mercedes- Benz E-class sedans.[6] The automaker is the only overseas carmaker with a Chinese venture exclusively making vehicles for export. Chrysler, part-owned by Daimler, may begin selling cars made by Chery Automobile Co. in Latin America in the second half of the year, Chery spokesman Jin Yibo said earlier this week.[6]
China is the world's fastest-growing automobile market and is now the second largest vehicle market: Seven million new driving licenses are issued each year in the People's Republic. Another Chinese city attains the size of New York every ten months.[4] Last year, Chinese drivers bought 5.5 million cars, minivans and SUVs and 3 million commercial vehicles, up from just 1.6 million vehicles sold in 1997.[2]

The company says the car is available in 37 countries. The company also plans to start selling a gas-electric hybrid version of its M-class sedan in China late next year, Zetsche said. [1] Zetsche says in a statement that the Smart brand has good sales potential for China because of demand for small cars in the market.[5] Actually, Mercedes-Benz was selling vehicles in China in 1913, when it had a sales office in Qingdao, Shandong province, which was then a major German business and military enclave in China.[3]
The GLK, the new compact SUV from Mercedes-Benz, makes its world debut at the Auto China fair in Beijing today.[8] With its functional yet attractive and striking body lines, and extraordinary capabilities both on and off the road, this distinctive GLK sets new standards in the compact SUV segment. The multi-talented GLK not only sets itself apart from the competitive line-up by virtue of its functional yet strikingly attractive body design, but also reconciles attributes that were previously completely contradictory thanks to the Agility Control suspension, outstanding performance and handling safety are now matched by a first-class level of ride comfort.[8]
As one of the youngest car makes on the market, smart stands for innovation, functionality and joie de vivre. smart especially appeals to customers who are interested in new, clever and trend-setting solutions in the automotive sector. Drivers of smart cars can be categorized more in terms of their attitude than their age, profession or gender. smart drivers are open- minded, self-aware individuals who question the status quo. They opt for the smart fortwo because it is something special and perhaps also because it sets them apart from the masses.[4] Since the introduction of the first model generation in 1998 more than 870,000 smart fortwos have been delivered to customers.[4]
smart fortwo to be Launched in China in Mid 2009 You must have Javascript enabled to view this site.[4]

"In the history of the world, no country has changed as much as China in the past 30 years, and it is not only amazing to watch it, but to be a part of it and help contribute to it," says Ulrich Walker, chairman and CEO of Daimler Northeast Asia Ltd, parent of Mercedes-Benz (China) Ltd. [3] BEIJING (AP) — Daimler AG, the maker of Mercedes-Benz cars, is discussing sharing components and technology development with rival BMW AG, Daimler CEO Dieter Zetsche said Sunday.[1] Daimler AG, Stuttgart, with its businesses Mercedes-Benz Cars, Daimler Trucks, Daimler Financial Services, Mercedes-Benz Vans and Daimler Buses, is a globally leading producer of premium passenger cars and the largest manufacturer of commercial vehicles in the world.[4]

Fujian Daimler Automotive Co. will initially make as many as 40,000 vehicles a year, including Mercedes-Benz Viano and Vito multipurpose vehicles as well as Sprinter vans. [6]
The Daimler Financial Services division has a broad offering of financial services, including vehicle financing, leasing, insurance and fleet management. Daimler sells its products in nearly all the countries of the world and has production facilities on five continents. The company's founders, Gottlieb Daimler and Carl Benz, continued to make automotive history following their invention of the automobile in 1886.[4]
The announcement Saturday from Daimler CEO Dieter Zetsche was being made at the Beijing auto show.[5] "We are discussing potentially sharing components. This might make sense specifically in regard to new technologies," Zetsche told reporters at the Beijing auto show.[1]

China's first "one-child" generation is literally the driving force behind the country's thriving auto market, but in the early 1980s, most of their parents were still striving for a Feige (Flying Pigeon) bicycle as the ultimate in personal transportation. "At that time, owning a bicycle was still a luxury for Chinese. [3] On supplying limousines to the Chinese government, Stadler said, "And what is wrong about that; we saw a opportunity and seized it." Audi aimed to remain the leader in its market segment in China where it has a share of 45 percent, he added.[7] The plant has a capacity of 105,000 vehicles a year, which will nearly triple once a second phase is completed. Honda planned to raise exports of Jazz hatchbacks from its plant in Guangzhou, southern China by 71 percent last year to 42,000, it said in June.[6] "Since then, we've been importing vehicles to China in varying capacities, but now we are proud to produce the Mercedes-Benz C- and E-Class vehicles here," says Walker.[3]

J.D. Power and Associates says sales should grow by 1 million vehicles annually through 2015. [2] The luxury automakers see each other as direct competitors, and the possibility of cooperation reflects the intense pressure on automakers to cut costs amid slow sales growth in the United States and Europe.[1] General Manager, retail, luxury goods, multi locations. client service and you are interested. following industries:Retail, Sales - Marketing, Consumer ProductsOur privacy.[7]

"Audi is more volume, we are more at the higher end," Zetsche said. Audi Chief Executive Rupert Stadler retorted that his company was very much in the high end with cars such as the R8 and said the firm was reaping the fruits of a longer commitment to the country. [7]
SOURCES
1. The Associated Press: Daimler, BMW discuss sharing components 2. The Associated Press: Automakers view China as one of the top markets in world 3. Big Benz dream comes true 4. smart fortwo to be Launched in China in Mid 2009 5. Daimler plans to sell Smart fortwo in China in 2009 - NewsFlash - mlive.com 6. Bloomberg.com: Germany 7. AUTOSHOW-UPDATE 2-Mercedes aims to overtake BMW in China-Zetsche | Industries | Consumer Goods & Retail | Reuters 8. Mercedes-Benz GLK makes debut in Beijing | DaimlerChrysler Middle East 9. CanadianDriver: Automotive news » Blog Archive » Smart goes on sale in China in 2009

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