Great Wall C30 Model at the Beijing Motor Show

The Chinese offensive in the auto market continues with the freshly unveiled C30 small sedan from Great Wall Motors (GWM). Better known as China’s largest SUV manufacturer, Great Wall Motors plans to expand its business outside its domestic market.

The new C30 model from GWM was developed to meet European safety and emissions standards and according to GoAuto is a likely candidate to enter the Australian car market as well.

The small sedan, also known as the Tengyi C30 is expected to arrive in Australia in late 2011, but will face some fierce competition from traditional small car best-sellers like the Toyota Corolla and the Hyundai i30.

The Chinese company sold 180,000 vehicles in the domestic market and 35,000 units overseas last year and looks to increase its results for 2010 to somewhere around 400,000 vehicles in total. The Chinese company said its ambitions are to first reach the 1 million cars a year production figure and then to achieve a 1:1 ration for imports and exports volume sales.

However, the Chinese car makers will have a tough time getting competitive overseas especially in Europe, where taxes are high and building a cheap car won’t necessarily lead to a final low price as well. The Indian car maker Tata Motors knows this, as its Nano cheap-car-champion is still awaited on European shores.

So, for the moment, it looks like the Chinese car production industry is evolving, but for the time being the domestic market is the only place where they can be competitive and show results.
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