Flag waving not enough for car buyers

Source:Global Times Published: 2013-6-19 22:53:01

Chinese Foreign Minister Wang Yi has taken a domestically made Hongqi H7 sedan as his official vehicle, according to recent media reports, a selection which marks a high-profile break from the foreign-branded vehicles many Chinese officials normally drive.

Such a move may help shine the spotlight on the homegrown auto sector, but Chinese carmakers still have a long way to go before they can seriously take on their overseas rivals.

A lack of government subsidies to fund automotive research and development (R&D), combined with a shortage of experienced R&D personnel in the local job market, are probably two of the biggest shortcomings keeping China's carmakers in the slow lane. Local car buyers just don't have confidence in the technical prowess of domestic vehicles makers.

Meanwhile, Chinese auto manufacturers are still weak when it comes to design and marketing.

These are two serious shortcomings in the Chinese automobile market, where looks and brand reputation are paramount.

The author is Ma Hongman, a host and commentator from the China Business Network.

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