Beijing, China, 21 Nov – China wants to increase its exports of cars and car parts ten-fold to US$120 billion within the next 10 years, the deputy trade minister said in Beijing Monday.
During a visit to the Beijing Car Salon, deputy minister Wei Jianguo told journalists that currently Chinese exports of cars and spare parts represented just 0.7 percent of the world total for the sector.
“Our aim is to control 10 percent of the world car market within a decade, which would be US$120 billion,” he said.
Chinese exports of cars and spare parts have increase rapidly with foreign sales reaching US$10.9 billion in 2005, or 34 percent more than in 2004.
In the first ten months of the year Chinese car production totaled 5.89 million vehicles, a year on year rise of 27 percent, according to figures from the Chinese Car Producers’ Association.
A study published Monday in the Chinese press said that at least three out of every four cars (77 percent) produced in China this year has defects as manufacturers used low quality parts due to competition in the sector.
Most of the defects, which buyers found within the first six months of ownership, were in tires, air conditioning, brakes, locks and steering, the study showed.
“The faults are the result of a constant reduction in prices by the manufacturers, which sacrifice quality.” said Fan Tianshun, director of the Chinese Quality Association, which carried out the study.
For every 100 cars on the road there is an average of 338 production faults, against 246 faults in 2005, the study said, which showed that prices had fallen some 10,000 yuan in the last few years. (macauhub)