In anticipation of the sales slowdown in China, Lamborghini is relying on the long-term potential in India and the higher-than-expected U.S. sales (its largest market), according to CEO Stephan Winkelmann. The auto industry is facing challenges in China as sports car sales dropped because of a government campaign against lavish spending.
Winkelmann spoke to reporters in New Delhi, telling them that “there are not so many Chinas around the corner” and that it is its No. 2 market. He also said that due to local policies, it’s a bit difficult to purchase goods like this. In the past few years, Lamborghini sales in China steadily increased to about 230 cars in 2014.
Winkelmann expects sales to reach about 200 units this year. He was in India recently to launch Lamborghini's second dealership in the nation. Sales in China are slowing down partly due to the campaign of the political leaders against lavish spending. One of its measures is the implementation of a consumption tax. Winkelmann said that China is a unique market in that it suddenly became its No. 2 market seemingly out of nowhere.
Meanwhile, India (the third biggest economy in Asia) has attracted global luxury automakers. Recently, the Jaguar F-Type, priced at about million rupees ($226,000), was launched in India. Lamborghini and other luxury automakers have to overcome obstacles in this country such as high import duties, with tax on some luxury cars surpassing 100%, as well as potholed and crowded roads in the big cities. Lamborghini expects to sell over 20 cars in India this year. It sold 17 in 2012. In India, the Lamborghini Gallardo is priced at $370,000.