China’s Geely promises more models to support sales in uncertain local market
Carmaker remains unsure if target of 1.5-million cars in 2019 can be reached, but remains upbeat on export prospects
Beijing — China’s Geely Automobile Holdings said on Thursday it will invest more in new energy vehicles and higher-end models after forecasting flat sales in 2019 due to uncertainty about domestic demand. Geely, China’s highest profile carmaker globally thanks to the group’s investments in Volvo and Daimler, sold 1.5-million cars in 2018 , 20% higher than the figure for 2017. However, it is forecasting largely unchanged sales in 2019 as the country’s giant automotive market struggles with slowing economic growth and more cautious consumers. In 2018, the overall market contracted for the first time since the 1990s. “We can’t say whether the target of 1.5-million in 2019 can be reached, because we don’t know the changes in the economic situation. We will manage the company based on market conditions,” Zhao Yang, a senior Geely official, told a news conference in Hong Kong, adding the company is facing record high car inventory. However, it remains hopeful on its export prospects. “The...
Would you like to comment on this article?
Sign up (it's quick and free) or sign in now.
Please read our Comment Policy before commenting.
Subscribe now to unlock this article.
Support BusinessLIVE’s award-winning journalism for R129 per month (digital access only).
There’s never been a more important time to support independent journalism in SA. Our subscription packages now offer an ad-free experience for readers.
Cancel anytime.
Questions? Email helpdesk@businesslive.co.za or call 0860 52 52 00. Got a subscription voucher? Redeem it now.