• China begins mimicking West’s love affair with sport-utes

    Beijing Auto Show visitors and journalists gather around the newly launched BMW X3 and X5, which are forecast to sell well given China market’s preference for SUVs. AFP PHOTO

    Beijing Auto Show visitors and journalists gather around the newly launched BMW X3 and X5, which are forecast to sell well given China market’s preference for SUVs. AFP PHOTO

    BULKY, brash and wildly popular in Europe and the US, the urban 4×4 is the latest must-have for Chinese drivers, whose conversion to the cult of the SUV is the talking point at this year’s Beijing Auto Show.

    The sport-utility vehicle, with a distinctive stocky frame, all-wheel drive and “rugged” image, has become equally coveted and ridiculed in the West in recent years, but is a recent phenomenon in China.

    Ford arrived later to the market than its domestic rival General Motors, but has proved to be one of the biggest winners in the Chinese SUV race so far, with sales of its locally produced Kuga model soaring.

    It is far from alone. The list of motoring brands angling to scratch China’s itch for SUVs keeps getting longer, with Audi, Mercedes, Volvo and Citroen all clamoring for business after Chinese sales of the vehicles doubled last year to 2.9 million units, of a total 22 million cars sold in the country.

    Volvo’s bestseller in China is similarly an all-wheel drive, and Audi outlined its intentions with the TT Offroad at the Beijing show, a five-door concept model with traditional Audi features such as a prominent single-frame grille and a heavily curved roof line in an echo of its smash-hit Q5—an SUV.

    In a similar vein, Peugeot Citroen showcased the DS 6WR, an SUV inspired by the Wild Rubis, a concept car unveiled in 2013. And Mercedes-Benz presented a Coupe SUV concept, aimed at competing with BMW’s X6, which was the first to combine the utility of an SUV and the attractiveness of a coupé, with great success.

    High seating
    “Today it’s a segment that is a little less competitive than the sedan, but it’s the future,” said Gilles Normand, Asia Pacific chief at Renault. “There is a major trend in the industry towards this type of product.”

    Renault would know; its bestselling model worldwide is the 4×4 Duster, and the firm is currently laying the groundwork for its first factory in China.

    Chinese clients enjoy one particular aspect of the SUV just as much as their Western counterparts: “They love that higher seating position,” said Haakan Samuelsson, chief executive of Volvo, a feature that offers the driver a greater sense of security on the road.

    SUVs, while not as ubiquitous as smaller cars, have become an increasingly common sight along urban roads in China for more than a decade. They run the gamut from Chinese carmakers to luxury foreign brands such as Porsche, with the higher-end models often seen as status symbols.

    As in other countries Chinese families do not necessarily buy them for off-roading in the wild, and instead rely on them for urban trekking—school drop-offs and other business around town.

    Growth not sure
    The growth of the SUV segment is not universally assured, though. China’s car sales surged 13.9 percent last year, but that growth hit a speed bump in March, slowing to a 6.6 percent year-on-year rise after reaching a record 17.8-percent high in January. China’s economy has also turned in its weakest performance in 18 months, growing 7.4 percent in the first quarter of 2014.

    But Beijing has indicated a willingness to accept weaker growth as it tries to move the economy away from investment and toward domestic consumption, which is where cars come in—joint partnerships with Western brands such as Citroen means more investment and more jobs, to add to China’s growing band of SUV fanatics.



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