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The Chinese cars in the bargain basement
January 15, 2008
With a little time to spare in Detroit, I have been taking a tour of the Chinese-made cars on display at the auto show. They are not easy to find, since they are located in the basement of the Cobo conference centre in a secondary hall also occupied by satellite radio companies and custom-car makers.
But, after asking a security guard the way, I managed to find the stands of the Chinese manufacturers including Geely, the biggest Chinese car manufacturer, BYD Auto of Shenzen (the initials stand for Build Your Dreams) and Changfeng Group, originally a spin-off of a People’s Liberation Army factory.
My impression from sitting in the cars, fiddling with the knobs and peering at the door seals is that the Chinese makers are advancing but that Daimler and BMW need not panic yet.
All of the Chinese passenger cars on display look fairly similar to standard US models. Perhaps that is more than a coincidence since many Chinese companies have joint ventures with western companies and General Motors sued Chery Automobile a couple of years ago for apparently copying the Chevrolet Spark in making the Chery QQ.
On the other hand, a lot of US manufacturers’ saloons/sedans also look like each other. The difference is apparent in the finish and engineering. The Chinese cars still feel less solid and more clunky. The door seals are crude and the controls are basic. The driver door did not close properly on one BYD car that I examined.
More compelling were the curious and playful designs of three prototypes being shown by Li Guangming, a Chinese car designer who runs Li Shi Guang Ming Automotive Design in Beijing. They were all bright yellow, bulbous and wacky, including one model called the Detroit Fish.
I caught Mr Li speaking over the road at a conference on China’s emerging automobile market, organised by China Business Update. He was every bit as wacky as his cars, talking about the history of the Model T and Hitler’s role in planning the Volkswagen Beetle.
He had this to say about how Chinese cars ought to look, in order to mark them out from those made in other places: "A Chinese vehicle should be soft, round, smooth and not too boasting. Easy to approach and natural, but has spirit".
I look forward to driving one.
“FORD NEEDS MASSIVE CASH INFUSION TO AVOID BANKRUPTCY; CHINA’S AUTO FIRMS NEED EXPERIENCED PARTNERS->> MERGER/NEW COMPANY POSSIBLE??”
China’s indigenous auto firms, unarguably, are not ready to play in the “automobile design, manufacture and market” big leagues.
Done with a little imagination, helping them get to this level could be beneficial for struggling, but accomplished leading firms such as Ford and for the developed world’s auto industry generally…..
Ford is looking to balance their billions-in-the-red troubled books, but not looking to exit the United Kingdom- or the ‘outside USA’ auto-markets such as China.
China possesses two things that Ford is urgently in need of:
1) mountains of cash looking-for-a-place-to-be-applied, through, among other things, its Sovereign Investment Funds;
2) highly ambitious, hard-working but inexperienced automobile firms anxious to form truly empowering* ‘partnerships/mergers’ with developed-world-nations’ automobile companies…
* China’s govt/ its auto firms are looking to, for a change, form, at least close to, ‘equal partner’ joint ventures- or set up new multi-national corporations- with developed world automobile companies that possess:
- extensive dealership presence in developed world markets such as North America, EU nations, Japan, etc;
- proven research and development expertise and car design capabilities;
- proven competencies in marketing their products;
- broad vehicle type/brand product ranges….
Even without the Land rover and Jaguar units it’s attempting to sell, Ford, has all of the above attributes.
Getting these two, perhaps unlikely, partners together- with help from the United Kingdom govt- could be beneficial for the UK’s indigenous auto industry and for UK plc generally:
The British govt ought to be looking at ways of- on a temporary basis- assisting Ford, and discouraging a sale by Ford of its Land rover and Jaguar units to India’s Tata motors.
Instead of an Indian sale, the UK govt and Ford, working with east Asian interests such as China/South Korea could be the most productive way ahead for all parties…
Setting up a new, UK majority-owned auto/transportation-technology company (with Ford UK retaining a minority interest)… encompassing Land rover and Jaguar, and with the ‘new’ company afforded long-term licensing-for-manufacture agreements with Ford- for several of its models and/or engines- would make constructive business sense.
Doing this with the significant participation of 1 or 2 of the up-and-coming, effervescent- & technologically capable- east Asian auto firm(s) such as a KIA or a Suzuki, would give the new firm both international reach and product-range scope.
Possibly most importantly, bringing in the govt of China/its passionately ambitious auto firms as major shareholder(s)- and part-funder- would make the project viable and productive in both a business and a multi-lateral, foreign-policy/trade-relationship way.
It would also provide Ford with a ‘laudatory’ presence in the world’s most lucrative & fastest growing car market: China.
The formation of a ‘new’ multi-national ‘part public’/'part private’ auto firm, encompassing Land Rover, Jaguar and several brands under license from Ford, with UK govt support and China’s participation- could be beneficial for all concerned, and could revitalize and secure the British-brand auto industry….
Roderick V. Louis,
Posted by: Roderick V. Louis | January 16th, 2008 at 8:16 pm | Report this commentVancouver, BC, Canada,
ceo@patientempowermentsociety.com
I suspect that Chinese card will ever compete with main stream car manufatucres of west in terms of quality
Posted by: Driving Schools Finder | January 21st, 2008 at 8:49 am | Report this comment