Date
26 April 2018

Germans carmakers think small in China, WSJ says

German luxury auto makers are stepping up plans to offer a wider selection of small cars and sport-utility vehicles in China, the Wall Street Journal reported on Monday. Producing smaller, made-in-China luxury cars in the country means Audi AG, BMW AG and Daimler AG can avoid import duties of 25 percent, allowing them to sell the units more cheaply, the report said. Almost all imported cars also are subject to a value-added tax of 17 percent, it added. Sales of compact luxury cars in China totaled 136,000 last year and are expected to reach 400,000, or about 20 percent of the total Chinese luxury market, by 2015, industry analyst Lin Huaibin of IHS Inc. was quoted as saying.

– Contact HKEJ [email protected]

SK/CG

 

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