Globally, China is the largest automotive market, both in terms of demand and supply. In 2017, China produced almost 25 million passenger cars and around four million commercial vehicles. China is expected to also drive demand in the automotive market, with close to 35 million expected vehicle sales in 2020. That is a lot of vehicles, so let’s talk about the biggest car companies in China.
Top 5: the FAW Group
Construction of China’s first automotive production base was completed on July 13, 1956, under the guidance of the China’s Central Government and with assistance from the former Soviet Union. Known at that time as First Automotive Works (FAW) and now as First Automotive Group Corporation, this sprawling car and truck manufacturer headquartered in Changchun, China, firmly launched the country into the automotive age. After fifty years of development and refinement, tremendous changes have taken place within FAW. In stark contrast to the early days of producing a single model of medium truck, FAW now produces hundreds of models of light, medium, and heavy trucks for every vocation.
In the late 1950’s, FAW quickly responded to market demand and commenced automotive and bus production, soon making itself the leading producer of buses and luxury tourist coaches in China. After surpassing the one-million-unit annual sales figure in 2005, FAW Group Corporation has set exciting new goals as the company makes use of the latest information technologies to keep their people and customers connected worldwide, thus ensuring an important competitive edge in the marketplace.
Top 4: Dongfeng Motor Corporation
Dongfeng Motor Corporation was established in 1969 and it is one of the largest state-owned enterprises in China. Its headquarter is now located in Wuhan, with its major production facilities distributed in Shiyan, Xiangyang, Wuhan and Guangzhou.
Dongfeng Motor has a wide business scope; they are engaged in the manufacturing, sales and R&D; of commercial vehicles, passenger vehicles, auto parts and components, vehicle manufacturing equipment and other auto related businesses. In 2011, Dongfeng’s own vehicle brand sales passed the one-million-unit threshold representing a growth rate 10 points higher than the industry average. In 2012, Dongfeng’s own vehicle brands achieved an aggregate sale of 1,121,000 units ranking among the top three that year.
Top 3: the Great Wall Motor Company Limited
As China’s largest SUV and pickup manufacturer, Great Wall Motors owns two brands–Haval and Great Wall which cover three categories: SUV, passenger cars, and pickups. With over 30 holding subsidiaries, more than 60,000 employees, and four vehicle manufacturing bases, Great Wall is one of the largest automotive companies in China. Great Wall started selling in Europe in 2006, offering small vans and SUVs. Great Wall products were first available in the Australian market in 2009. European sales continued with the 2011 opening of a factory in Bulgaria that assembles three different models from knock-down kits. And in 2016, Great Wall set a historic sales record of 1,074,471 cars worldwide, an increase of 26% compared to 2015.
Top 2: Geely Auto Group
Geely Auto Group is a leading automobile manufacturer based in Hangzhou, China and was founded in 1997 as a subsidiary of Zhejiang Geely Holding Group. The company employs more than 50,000 people, operates 12 vehicle manufacturing plants, 9 power train plants, 6 knockdown kit plants, and manufactures vehicles under the Geely Auto brand. Geely vehicles are sold through a network of over 850 dealerships in China and some 350 sales and service outlets in overseas markets. The company, listed on the Hong Kong stock exchange, saw its sales volume increase to 765,000 units in 2016. In 2017, Geely Auto Group sold over 1,247,000 units, a major increase from 2016. The success has prompted Geely to set its 2018 sales target to 1.58 million units. Finally, on our list is a company that has dominated the Chinese car industry for many years.
Top 1: SAIC Motor Corporation Limited
It is a company that has dominated the Chinese car industry for many years. SAIC Motor Corporation Limited (SAIC Motor) is the largest auto company on China’s A-share market. SAIC Motor’s business covers research, production and sales of both passenger cars and commercial vehicles. The company is actively promoting new energy vehicles, the commercialization of Internet-connected cars, and it is exploring intelligent driving technology. SAIC Motor’s car sales hit 6.93 million units in 2017, up 6.8 percent on the previous year and allowing it to keep its leading market share in China. In 2016, the company climbed 5 places to rank 41st on the annual Fortune Global 500 list, thanks to its $113.86 billion in revenues. It marked the 13th time that the company had made it onto the list of Fortune magazine’s Global 500. This company is sitting at the top and they continue to produce quality vehicles for both the domestic and overseas markets.
So, there you have it, the top Chinese car companies. What do you think of Chinese cars? Would you buy from one of these Chinese brands?