Japan disputes bring impressive car sales for Korean brands in China

Article by Christian Andrei, on October 9, 2012

September sales of Hyundai and Kia grew by such a huge figure in China, due mostly to the dispute between China and Japan over the territorial claims involving the Diayou/Senkaku islands, according to a Bloomberg report. There were protests in China where Japanese-branded cars were vandalized and dealerships had been set on fire. These were the result of a private sale that gives Japan de-facto control of the islands. Japan has claimed to have administrative control over these islands since the end of World War II. Hyundai-Kia will release its official sales figures on October 10 but according to preliminary figures, the duo had a combined gain of over 10,000 units for September.

The Verna sedan is Hyundai’s top-selling model in China. The Verna is comparable to the U.S. market Accent. The Langdong, similar to the Elantra, also got top sales. On the other hand, Toyota’s sales fell by 50% in September, with Mazda sales experiencing a 35% drop. Nissan, which has the largest market share of any Japanese brand in China, has yet to post September sales.

FAW-Volkswagen, which has the largest passenger car maker in China, has sold 114,700 units in August. A foreign automaker that wants to assemble cars in China would have to partner with a local affiliate. In September, the workers of Japanese automakers, particularly those from Japan, were advised to keep a low profile and to not address the public to guarantee safety.

Topics: japan, china

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