Daimler sees strong China sales next year

Daimler sees strong China sales next year

BERLIN, Nov 25, Reuters -- Daimler's China sales will stay strong next year, the Chinese chief said on Thursday that he was confident that Mercedes-Benz could grow its share of the country's electric vehicle market, given little competition in the premium car segment.

Its car sales in China increased by 12% last year to a record 774,000 despite the Pandemic, and over 8% growth has been registered this year, Hubertus Troska told reporters.

Troska said that China will be a super market next year because everything speaks for it.

Daimler's market share of electric vehicle sales in China is still small, according to Troska.com, which competes with several Chinese electric vehicle makers from Xpeng to Li Auto and Nio, as well as the U.S. EV giant Tesla.

Most Chinese companies sell in the price range of 35,000 euros $39,270 or less, according to Troska, below Daimler's range.

With the number of Daimler EV models for sale in the country set to grow from one to five next year, Daimler will be able to better establish itself in the higher-priced premium car segment, he said.

Demand for fossil fuel burning cars is likely to last a long time in China, Troska said, pointing out the large swathes of the country outside urban centres where charging infrastructure could be harder to come by.

It's a huge country and I think there will still be internal combustion engine cars in China for some time, according to Troska.

Daimler has stated that all new vehicle platforms from 2025 will be electric, with a view to producing all-electric only by 2030, where market conditions allow.

China, the world's largest car market and responsible for a third of Daimler's revenues, has so far refrained from setting a date for the ban on production of fossil fuel emitting cars in Europe.