German luxury cars in high demand, but not in Germany

[NINETY EIGHT REGENCY]

German luxury cars in high demand, but not in Germany

10:28 AM

If you're interested in a German luxury car, you're probably not German.

Business is booming for BMW, Mercedes-Benz, Audi and Porsche, a nice turnaround from a slow 2009,the Detroit News reports. Plants are so busy that some are apparently avoiding the end-of-the-year shutdown and running this week to try to catch up with demand.

Demand, that is, in export markets like China, Brazil and the U.S. But not in Germany. There, in the fatherland, German luxury is still just that, a luxury. Sales slipped 25.2% in the first 11 months of the year.

How much is demand up. Nine of the 10 top selling luxury nameplates in China are German, says the News. The sole exception is Toyota's Lexus ES, according to J.D. Power and Associates.

link:

http://content.usatoday.com/communities/driveon/post/2010/12/german-luxury-cars-in-high-demand-but-not-in-germany/1

[Drew Dowdell]

Hmm... wonder if having S-class taxi cabs, MERCEDES BENZ GARBAGE TRUCKS, BMW 3-series fleet whores, and Audi company cars is hurting the mystique...

[NINETY EIGHT REGENCY]

High Demand for German Luxury Cars in the U.S. and China

TUESDAY, DECEMBER 28, 2010

Germany’s car market has definitely seen better days, as sales in the first 11 months of 2010 are down 25.2% compared to the same period last year. However, strong demand for luxury cars in the U.S. and China is keeping premium automakers like Audi, BMW and Mercedes-Benz busy during the holiday season and, most importantly, profitable.

“2010 was expected to be a tough year all round” John Lawson, a London-based analyst at Citi Investment Research, wrote in a report. “But rich China sales have leapt (and) foreign exchange has been very supportive”.

As a result, German manufacturers have shortened Christmas holidays and are keeping some of their production facilities open between Christmas and New Year’s.

State-side, the premium segments have seen an 11.1 percent increase in demand, outperforming the overall market growth. Audi has profited the most from the economical rebound, with sales up 23.6% for the year through November. Mercedes follows closely behind, with an 18.6% increase, while BMW takes third place with +11.6%, according to Autodata Corp.

The Chinese market fared even better, registering a 40% increase in the luxury car segment, also led by the Ingolstadt-based carmaker. Nine of the ten top selling premium vehicles in China are German, with Lexus securing just one spot on the list. Furthermore, the uphill trend is expected continue over the next five years.

“The luxury car segment is expected to keep double-digit growth in the next five years, with the booming number of second-time buyers who are eager to distinguish themselves and keen to prove their social status”, J.D. Power said in a December report about the Chinese market.

By Csaba Daradics

link:

http://carscoop.blogspot.com/2010/12/demand-for-german-luxury-cars-is-up-in.html