“One Belt One Road” (“OBOR”) initiative will facilitate Chinese automakers to go global, according to Wang Shunsheng, assistant to president of GAC Motor and director of International Business Department.
Wang believes that the automotive industry will develop faster based on better infrastructure benefiting from the “OBOR” initiative which involves many markets with a million units scale including India, Russia and Iran.
“China’s influence on regional economy will be gradually enhanced as the “OBOR” initiative proceeds,” said Wang. “Local customers are more willing to buy Chinese vehicles in recent years, helping create better environment for automakers development and branding.”
“GAC Motor will give priority to “OBOR” countries, entering some Southeast Asian markets including India,” said Wang. “We have attached great importance to the Middle East markets and plan to make preparations for entering Russia, Cambodia and Malaysia.”
GAC Motor has already started vehicle sales in Kuwait, United Arab Emirates and Iran and end-user sales in Kuwait ranked first among all brands after entering the market a year ago, according to Wang.
“We will strengthen cooperation in investment with developing countries, deepen cooperation including building local plants, and improve credit financing to support foreign projects,” said Wang.
Wang believes that product quality, brand image and service are crucial to Chinese automakers to go global.
“Chinese automakers should not expand blindly when going global,” said Zhang Yanfei, assistant to president of West China Metropolis Daily in charge of automotive columns. “The companies should consider other automakers’ plans and strategies in the markets to avoid vicious competition. Without strong strength and rich expertise, automakers should shorten the battle line because entering too many countries is not as effective as taking root in one country.”