mercredi 2 avril 2014

China gains market share in automotive industry in Africa

In ten years, the market share of China on the African continent has risen from 2 % in 2000 to 12 % in 2010, according to a study.

Chines brands reinforce their position in Africa

The big brands of the Middle Kingdom are henceforth established well on the continent. But to resist to the Korean competition, they again have to improve the quality of their models and optimize their distributive network.
Gradually, the Chinese brands nibble at market shares in Africa. In the streets of Abidjan, Algiers and Nairobi, record player Great Wall, the city-dweller Chery and the Lorries Futon make more numerous. After a difficult starting up in the middle of 2000s, related to an inferior image then on the way up tariff barriers, the business of the big motor groups of the Middle Kingdom took off in 2012.
The Chinese Association of the mechanical engineering industries estimated at 2 million the number of vehicles exported by its members in the world last year, which is 30 % more than in 2011. In Africa, the first Chinese exporter, Great Wall Motors, asserts having sold 22 000 vehicles in 2012. Henceforth, in Senegal, the Chinese vehicles represent about 20 % of the market of the new. «These brands are the future of the motorcar in Africa! » asserts Lady Gueye, ex-sales manager of Space Automobile, the main distributor of the Chinese cars of the country.
«Those who buy our vehicles are mainly urban middle managers and companies. They are attracted at first by the difference in price with the Korean and Japanese models ", indicates Fadi Kanaan, general manager of Rimco in Côte d'Ivoire, who distributes cars Great Wall Motors and lorries Yuejin. Rest that the distance on the cost of purchase - from 10 % to 30 % with the competition on the same segment - is not enough to convince everybody.

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