Chinese automotive market: Сurrent state and prospects

Abstract

China occupies a significant position in the world market and is one of the countries that is developing rapidly and increasingly introducing new technologies into various sectors of the economy. Thus, one of the most important industries is the automotive industry, influencing the national economy and the global mechanical engineering market. In recent years, the Chinese economy has occupied a leading position in the world market in exports and imports of cars, production growth and sales of new cars. Even during the pandemic, where many countries faced an economic crisis, China was able to recover quickly. The investigation is devoted to the analysis of the dynamics of the main economic indicators of the automotive industry and its impact on the PRC economy. To identify the level of efficiency of this industry, statistical methods were used in the work, thanks to which leaders in sales and production of new cars were identified, as well as China’s place and share in the world market in terms of exports and imports. Using an analysis of literary sources, the trends that are observed in various countries and their interrelation were substantiated. Analysis carried out on goods of group 8703 “passenger cars and other motor vehicles intended primarily for the transport of people (other than motor vehicles of heading 8702), including utility vans and racing cars” on the domestic market of the People’s Republic of China from 2008 to 2022 year, showed economic activity and trends in various periods. The most important factors are highlighted that played at the macroeconomic and microeconomic level: economic, political and social factors. Econometric methods were used to forecast sales in the Chinese domestic market. The forecast is based on a logarithmic trend model, which has a high approximation accuracy, which was later used for a model with an additive component and a multiplicative model. For the predicted volume of vehicle sales, the accuracy of the forecast was assessed using error calculations, which showed that the deviation from the actual one, up or down, was 1.37 million vehicles.

Keywords

• automotive industry
• new car production
• new car sales
• import and export of world leaders in passenger cars
• car sales forecast in china