More than seven out of 10 motorists (72%) would “consider” buying a car made by one of the new Chinese manufacturers entering the UK market, according to new research.
Startline’s June Used Car Tracker shows BYD is the brand with the highest level of recognition among these potential customers at 28%, followed by Maxus (19%) and Chery (14%).
Aiways, Denza and Jaecoo are all on 11%; Omoda and Xpeng on 10%; and Nio, Skywell and GWM Ora on 9%. The rest are Leapmotor (8%), Lynk & Co (7%), HiPhi (3%) and Zeekr (2%).
Paul Burgess, CEO at Startline Motor Finance, said, “Chinese manufacturers are making a concerted assault on the UK market – almost 12,000 BYDs were sold here in the first four months of the year – and our research shows that consumers are receptive to the idea of buying a car from them.
“Many brands are appearing and the biggest problem that faces these new entrants is probably differentiation. Those that are investing heavily in marketing and building dealer networks on the ground are seeing the dividends in terms of consumer awareness and again, BYD is the obvious example, topping our survey.”
However, 18% of respondents to the Startline Used Car Tracker say they’d rather stay with car brands that have a track record in the UK, 11% are worried about quality and 7% would rather support British car manufacturers. Also, 4% are concerned about parts availability, 4% about security and 2% about dealer support.
Paul added, “This shows that there is some trepidation among a minority of car buyers but really, concrete concerns that you might expect about the kind of quality and support that can be expected from the Chinese new entrants, are very low.”
The global automotive industry is grappling with “serious overcapacity”, according to Geely chairman and founder Li Shufu.
Speaking at an auto forum in Chongqing, Li announced that the company would not pursue the construction of new manufacturing plants or expand existing facilities.
This decision reported by Reuters, reflects the intense competition and price wars within the Chinese auto market, which have driven manufacturers to seek opportunities overseas.
