Industry Analysis & Industry Trends
The Passenger Car Manufacturing industry in China has been experiencing rapid growth in recent years, mainly driven by increasing demand for passenger cars in the domestic market. Revenue for the industry is expected to increase to $612.0 billion in 2016, up 5.6% from 2015, and growing at an annualized rate of 10.6% over the past five years.
With rising income levels in China, improving road conditions, and competitive prices, passenger cars are becoming more affordable for Chinese residents. A series of favorable government policies have also stimulated new energy passenger vehicle purchases in rural and urban China. Lastly, increasing numbers of domestic passenger car manufacturers have been expanding into foreign markets, driving export demand.... purchase to read more
Industry Report - Industry Investment Chapter
For every dollar spent on wages (including management and administration and R&D costs), about 34 cents are invested in capital in the Passenger Car Manufacturing industry.
Significant capital is required for machinery and equipment for large-scale production lines. Meanwhile, car components assembled after purchase require labor. As labor costs are relatively low in China, however, wages constitute a small proportion of industry revenue... purchase to read more