AutoBeta(AutoBeta.net)11/07 Report--

SAIC Volkswagen has slipped again! According to the October production and sales report released by SAIC, sales of its joint venture SAIC-Volkswagen have fallen for 10 consecutive months, with new car sales of 155000 units in October, down 8.01 per cent from a year earlier. It is worth noting that other SAIC companies achieved year-on-year growth in that month, only SAIC Volkswagen declined.

In the case of the market entering the fast lane of sustained growth and the general rise of Japanese joint venture car companies, SAIC-Volkswagen, which is at the head of the car company, obviously stalled, forming a big contrast with the market as a whole.

The 10-month decline in sales has also led to a double-digit decline in SAIC-Volkswagen as a whole. From January to October, SAIC-Volkswagen sold a total of 1.1864 million new cars, down 24% from the same period last year, far exceeding the market average. According to the data of the Federation of passengers, the cumulative sales of passenger cars in China fell by 12.5% from January to September.

According to the report, SAIC-Volkswagen's "number one" status is not guaranteed. SAIC GM sold 1.1076 million vehicles in the previous October, and the gap with SAIC-Volkswagen further narrowed to 80, 000 vehicles. Compared with FAW-Volkswagen, SAIC-Volkswagen has also been pulled out of a larger gap, FAW-Volkswagen has achieved 1.436 million vehicles in the previous September. It can be said that SAIC Volkswagen fell off the altar.

The product power of the main selling model is declining, and the competitiveness of the new product is insufficient. The Passat is an obvious model of SAIC-Volkswagen, but the collision door incident has left a shadow that is difficult to remove, even though SAIC-Volkswagen tries to catch up by introducing new models and increasing terminal discounts, but the "collapse" effect of product reputation and image continues. According to the data, Passat sold 103214 vehicles from January to September, down 24.6 per cent from a year earlier.

Another popular model, Volkswagen Touguan, also fell fast, with cumulative sales of 117816 vehicles in the first nine months, down 28.9 percent from a year earlier. The market position of Tuguan has declined due to the continuous crackdown of SUV, a Japanese joint venture.

On the other hand, the lack of competitiveness of SAIC-Volkswagen new products and the unsalable of some products have also led to a large decline in sales, including the Polo Plus, the new Toujia new cars can not continue to go, and the newly listed MPV sales are also relatively low. In the launch of new products, SAIC-Volkswagen does not have a highly competitive product launch, which can not make up for the decline in sales.

Skoda brand embarrassing market performance, further aggravated the enterprise sales crisis. In the environment of stock competition, the Chinese automobile market is gradually concentrated to the head brand, and the second-and third-line joint venture brands are facing the fate of competitive differentiation or even elimination. Due to the depressed sales and market pressure, SAIC Skoda finally chose to reduce the price. In 2020, Skoda launched a full range of car models, with the highest official reduction of 24500 yuan, becoming the first car company to announce an official reduction in 2020.

SAIC Volkswagen sales decline has become the norm, but in SAIC Volkswagen sales Co., Ltd. General Manager Jia Ming dysprosium, SAIC Volkswagen performance is also expected.

Jia Ming dysprosium said in an interview with the media: "this year, the dual brands are making product restructuring, we are expected to decline more than the overall market." But I think it is normal for this to happen after the adjustment of the product structure. The adjustment will be done this year and we will be able to return to the normal level next year. "

Jia Ming dysprosium further said: "it is true that the first half of this year is difficult, but this is not the most difficult in history, it may be relatively difficult in the past 10 years." Why do we find it particularly difficult this year? first, the original base is relatively high and the rate of decline is relatively large. Last year was the period when we had the highest share, especially in the first half of the year, when the two brands totaled more than 9.2%. This year, Skoda's share has dropped significantly, and Volkswagen's brand share has dropped by 1%. But the Volkswagen brand remains the largest single brand in the country. "

This year's double-digit decline has been difficult for SAIC-Volkswagen to reverse, and SAIC-Volkswagen is expected to see growth with the launch of MEB new energy products and the launch of more segmented products next year.

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