China’s Geely promises more models to support sales in uncertain local market

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Carmaker remains unsure if target of 1.5-million cars in 2019 can be reached, but remains upbeat on export prospects

A vehicle is displayed at Geely’s booth at the Auto China 2016 show in Beijing. Picture: REUTERS

Geely, China’s highest profile carmaker globally thanks to the group’s investments in Volvo and Daimler, sold 1.5-million cars in 2018 , 20% higher than the figure for 2017. “We can’t say whether the target of 1.5-million in 2019 can be reached, because we don’t know the changes in the economic situation. We will manage the company based on market conditions,” Zhao Yang, a senior Geely official, told a news conference in Hong Kong, adding the company is facing record high car inventory.“The domestic market has some uncertainties, but the international market has good opportunities for Geely,” he said.

Geely said that the deterioration of consumer confidence in China, the world’s biggest automotive market, caused by increased political and economic uncertainties had affected demand, but that its sales had missed its own annual target for 2018 by only 5%.That compared with the 12.8-billion yuan average estimate of 34 analysts, according to Refinitiv data.

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