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Luxury cars in China


One of the most important markets in China is the market for cars and, over the last three years, the demand for luxury cars. Luxury cars cost a lot of money; however, as reported by Huen Fern Tay in July 2011, this does not seem to bother nor stop the customers in China. Italian car company Lamborghini has even stated that it feels like China is very likely to overtake the United States of America, as its number one market.
The demand for these money draining luxuries has increased very rapidly over the past two years and, as Wilson Lee from Lambourghini states, people in China have started appreciating luxury cars much more as of recent. He also expects that this high demand high cost car phase that China is going through is likely to continue for at least the next two to three years. The increase in sales has rapidly increased more since January 2011, as between January and July, an increase of thirty percent demand was reported. This also, as reported, will not help China's aim to decrease the overall number of cars on the road. Jia Xinguang, a car, analyst says that there are many people in China who currently own a lot of money or have recently acquired large sums of money. He goes on to say that the people who have recently and quickly become rich were those in the energy or steel business and the majority of them are in their thirties. Due to the strong demand for luxury cars and, as stated in an online article, the increasingly high demand for imported cars, talks are being held about creating exclusive luxury cars available for China only. Also, as of late 2011, the number of millionaires in China has reached nearly one million due to the descendants and children of millionaires inheriting their fortune, or at least a fraction of it. One car club in China is filled with members who, for their majority, were born after 1980. This shows that the target market for luxury cars definitely starts with the younger generation who enjoy meeting, going to a go karting track and racing there.
However, the opinion of Jia Xinguang, an average Chinese, is not a very good one. He says that these young people do not obey the laws of the road and when they get in a traffic accident, they have no respect for the feelings of the victim or victims, as they say things such as 'Do you know who my father is?' or even offer them money as a way of paying them off so as not to get them in trouble.

Overall, it appears that the majority of the luxury car owners and drivers are young people. That is causing people to think badly of their generation, as well as increase the already too high number of cars on the road, but also add to China's horrendous traffic problem. However, no matter the economic state of the United States and Europe, the majority of China were nowhere near short of money.

by Luceh