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  • Home > News > Details
    Luxury cars going west in China
    2016-05-27

    She says a new BMW sales store will open in Yinchuan this year.

    In addition to popular Mercedes-Benz, BMW and Audi models, Lincoln Motor Co, a traditional luxury brand from the United States, is doing well. It re-entered China in 2014, seeing the country's booming demand for luxury cars.

    After setting up stores in first-tier cities like Beijing, Shanghai and Guangzhou, Lincoln opened a new store in Xi'an, the first one in western China, in January.

    Tian Jing, executive deputy general manager of Xi'an Haolin Lincoln Store, says the company has confidence that car buyers in the western region will bring in more revenue for Lincoln.

    "In the past, people had an impression that luxury car owners in western China are rich but have no taste. It's not true. As long as we provide high-end services for them, they can be influenced," she says.

    Cao, the sales assistant, says he thinks only brands such as Aston Martin can be called luxury brands now. Stated differently, he does not regard BMW and Audi as luxury car brands anymore.

    For some, many luxury car brands are less and less of a luxury because they are launching models targeted at young and middle-class consumers. The ultra-luxury car segment in western China has gone cold, savaged by the commodities' price drop, which has severely affected incomes of the rich in the region.

    Prospective buyers of luxury cars in the region are those who have built their fortunes on soaring demand for mining resources like coal, oil and natural gas. But their wealth has shrunk in recent years because of coal mine bankruptcies due to falling prices and weak demand.

    Guo Shaoyu in Yinchuan contributed to this story.

    dujuan@chinadaily.com.cn

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