Why Mercedes Maker Daimler is bullish on China as a “supermarket”

China is the largest automobile market in the world. China is the largest player in the luxury car segment. China is the largest EV market in the world. And it is the world’s largest automobile producer.

It’s no wonder that car brands tend to pay special attention to all developments here.When Mercedes-Manufacturer Daimler is very bright about what it expects to be a positive year for the company in this particular market.

(Read again: Mercedes-Benz manufactures ultra-high performance electric motors).

Hubertus Troska, chief of Daimler China, recently told Beijing journalists that 2022 is expected to be a strong year for the Chinese car market. “The fact that China will continue to be a supermarket next year speaks for itself,” he said, saying that while electric vehicles (EVs) are the future, the size of the domestic market means that traditional vehicles will continue to be appropriate. Added. .. “It’s a huge country, so in my view China still has internal combustion engines for some time.”

Whether it’s an EV or a vehicle with a combustion engine, Mercedes likes it in China despite the pandemic. Sales in 2020 were 774,000, up 12%. So far this year, the company has increased by 8%, despite the problem of semiconductor shortages around the world. In fact, China accounts for one-third of Daimler’s total income.

And next may be the expansion of the EV portfolio. Despite its strong fate so far, Mercedes’ role in this area is quite limited compared to players like Tesla, Volkswagen, Hyundai, and some local rivals. It plans to increase the number of battery-powered models to five by next year. These may be more expensive than those offered by many local rivals, but Germans are taking advantage of the brand’s gorgeous image to strike chords with prospects.

(With input from Reuters) Why Mercedes Maker Daimler is bullish on China as a “supermarket”

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