Saturday, July 14, 2007

Chinese automakers still far away from attaining global standard

by Vipin Agnihotri

No doubt, Chinese automakers have made brilliant advances but structural barriers block the way to a globally competitive level. Quality consciousness has increased among Chinese manufacturers and consumers alike, thanks to the influx of multinational automakers and fierce competition but still China’s auto industry is confronted with a quality challenge. In my opinion, there is plenty of work to be done before China can achieve competitive standards on a truly global level.

According to recent research, China’s industry average PP100 rating stands at 231, which by the way is almost twice the U.S. average of 124. On the other hand, among domestic Chinese brands, quality issues are almost twice as frequent as in locally built international brands. Big investment in research and development is an absolute necessity to fill the gap in pivotal areas such as powertrain, driving experience and handling.

On the positive side of thing, Chinese companies are launching an increasing number of new models every year. Large chunk of them have benefited from quality lessons learned from previous model launches, which in turn leads to tremendously improved quality performance.

 

 

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