China's
auto makers must strengthen efforts to build brands in order to fortify their
foothold in the overseas market, senior officials and experts said at an automotive
forum in Guangzhou. Addressing
the 2006 China (Guangzhou) Automotive Development Forum, Zhang Xiaoyu, vice-president
of the China Machinery Industry Federation, said domestic auto manufacturers should
improve the quality of their products by attaching greater importance to R&D
and improving innovation if they want to increase their share of the overseas
market. "The
present export volume does not matter so much as brands," he said. "Technology-intensive
products will mean better profits and will help to build up a good reputation
for the products, which will play a decisive role in the final success of the
products in the global market." Zhang's
remark pinpoints the fact that many domestic auto manufacturers have been undercutting
their products for a minor overseas market share instead of improving product
quality as part of a long-term strategy. Zhang
also called upon domestic manufacturers to focus on a few target markets rather
than sending their products all over the world. "To
secure a target market, they should make much greater efforts to improve after-sales
service," he said. "Buyers will definitely turn to other foreign brands
if they find the after-sales service hardly available." One
of them is Zhang Ji, deputy director of the mechanics, electronics, and high-tech
industry department under the Ministry of Commerce said there is great potential
for China's automobile export business and the State should hammer out more policies
to keep its development on the right track. |