China became the world’s largest auto market last year displacing the U.S in car sales. With a 46 percent increase in vehicle sales to 13.6 million units, China was the top auto market last year. It was helped by government measures including a consumer tax cut on small cars. Except the last January, where car sales dropped, as the tax cut didn’t take effect till then, there was a huge rise in car sales in 2009.
General Motors said January sales in China rose 97 percent compared to the same month last year to 219,192 units. Ford Motor Co. reported that its passenger vehicle sales in China last month surged more than 100 percent from a year earlier. Toyota said its sales in China rose 53 percent to 72,000 units this January.
General Motors and Toyota Motors maintained strong sales in China in January this year. However, the country’s car market this year is likely to fall as many companies such as Toyota and Honda are recalling due to some technical faults.
Toyota as part of a global recall of some of its vehicles due to faulty gas pedals, is recalling 75,552 units of RAV4 sport-utility vehicles in China. We can’t say how much it will affect Toyota’s sales in the country as of now. On the other side General Motors expects to sell more than two million units in China this year.
Suggested Reading:
Honda increases the car recall that is already reaching 1 million
Toyota recalls its vehicles to fix gas pedals
Honda recalls cars over fault in window switch
iPhone Created Revolution in use of Mobile phones
Bankruptcy of Lehman Brothers is recorded as the largest one
Nobel Prize in Economics 2008