Chinese car maker Geely (
www.geelyauto.com) has reported strong sales, with a 126% increase in 2016 full-year net profits, to 5.1 billion renminbi.
The company produced a number of new SUV models last year for its domestic market, offsetting a fall in exports. Average selling prices charged by the firm rose 22%.
Janet Lewis, who covers the Asian automotive market for Macquarie Capital Securities in Tokyo, said: “They have got on the bandwagon of SUV demand; buyers in cities outside of Beijing, Shanghai and Shenzhen are less concerned with traffic congestion and like larger roomier vehicles.
“The company has used its 2010 acquisition of Volvo to upgrade its offering and buys parts from a more-global array of suppliers.
“China’s broader auto market has seen sales of SUVs as a percentage of total sales by volume rise to 39% last year from 13% in 2012.”