Auto CEOs have their say
Wang Huazhong
The Beijing International Automotive Exhibition 2020, or Auto China 2020, the automobile industry""s premier event, unfolds on Saturday, six months behind schedule following the COVID-19 pandemic. Sino-US trade frictions have cast a shadow on China, the world""s largest car market where incremental growth, the industry""s hallmark in recent times, had made way for reliance on replacements since 2018. COVID-19 exacerbated the situation, testing global auto players"" agility, resilience and patience.
Far from caving in, the auto world decided to stand up and be counted as supporters of community initiatives, reinforcing the modern definition of corporate social responsibility. Carmakers, particularly in China, helped ease the epidemic""s burden on their employees, suppliers and dealers alike.
What""s more, they adapted their facilities to the needs of society, making face masks and other medical supplies for epidemic-stricken communities. They swiftly tapped online channels for marketing and services to provide safer transportation solutions.
As of late September, most parts of the world have appeared optimistic of going back to normalcy. That""s not all. Industries like autoes are keen to draw useful lessons from recent experiences, deepen an incipient recovery and make a fresh start. There""s no place more appropriate than Beijing to do that. The Chinese auto market accounted for 32 percent of global sales in the first half of this year. It also recovered relatively quickly to post year-on-year growth from the second quarter on.
But, in the world""s most populous nation of 1.4 billion, per capita car ownership is still 75 percent of that in developed economies. This suggests there""s massive room for growth. Yet, it is China that is driving the global auto industry""s transformative transition from vehicles powered by fossil fuels to electric, intelligent and connected mobility. The coming paradigm shift has been creating a sense of anticipation, excitement and cheerful mood in the industry. The Beijing Auto Show will capture its essence. In this eight-page special spread, China Daily features heads of Chinese market operations of as many as 18 global makers of cars and auto parts. They share stunning stories of how their companies are fighting the pandemic. They also shed light on the art of embracing a more efficient, inclusive and cooperative approach to shared development amid a crisis. Enjoy and benefit from their profound insights. Owing to space constraints, the print edition features snapshots; but China Daily""s online avatars carry their views in full. Just scan the QR code in this page for free access.
THE AUTHOR IS DIRECTOR OF CHINA DAILY MOTORING MEDIA HUB.
Questions
Q1: What are your expectations for the auto show?
Q2: With the pandemic slowing down, China""s automotive market has started to recover in the second quarter. What do you predict for China""s auto market in the near future? The current recovery trend shows a "V" shape in sales. What do you think would be in the next stage? A "√" shape, a "W" shape, an "L" shape, or a "√¯" shape?
Q3: Can you use a few keywords to describe your predictions for the Chinese and global automotive industries in the next five years?
Q4: The virus has drastically affected people""s lives. It has also caused people to rethink many aspects of life, including their way of traveling, and business management. From your perspective, what are the most important lessons we can take from this pandemic? Can you also use a few keywords to summarize the impact?
Q5: What do you think about the social responsibilities that the automotive companies have taken during the epidemic?
Q6: In the post-pandemic era, how will China""s position and role be affected in the global automotive industry? What do you think the players should do next?
Aston Martin Lagonda Asia Pacific &China President Michael Peng
A1: The Beijing auto show has served as a weathervane around the world. It represents the recovery and vitality of the entire auto industry in the wake of the COVID-19 outbreak. We are proud to participate in the Chinese market. Now that the worst of the outbreak is behind us, we are ushering in new development opportunities.
A2: The achievements of China""s economy in the post-pandemic era are extraordinary, and the weight of the Chinese auto market in the global industry is unquestionable. Especially in the process of market recovery, the consumption upgrade trend is showing a broad market prospect. We are confident of achieving substantial growth.
A3: CONSUMPTION UPGRADE ENERGY SAVING EMISSION REDUCTION INTERCONNECTION INDIVIDUAL NEEDS
A4: Regardless of sales, after-sales or the market, during the outbreak, especially at the most serious stages, we return to the essence. Starting from the things that most concern our customers and business partners, we will do our best to optimize work plans and processes, while providing good services. Looking back, it seems that the outbreak did not cause us to be more distant. Instead, it created a series of touching little actions that brought us closer to our customers.
A5: The operations of most companies were affected during the pandemic. Cash flow and profits have also declined. We should do a good job in the resumption of work and production of the enterprise itself, by trying not to lay off workers or stop work and reduce allocations, so that the interests of the owners are not affected. We also want to ensure that the interests of employees and both upstream and downstream industries are not affected too much by the outbreak. That is the top priority during the COVID-19 pandemic and in the post-pandemic era.
A6: In 2020, the global pandemic has greatly changed our way of life, regardless of the industrial form or lifestyle. We also see that China""s auto industry still has great opportunities, and it is still the world""s most promising market. The outbreak has overturned many past marketing laws by greatly promoting the process of digitalization. Many economic activities, business affairs and even lifestyles are rooted in the online model, which may permanently change the marketing methods of the automotive industry.
Bentley Motors Chinese Mainland, Hong Kong& Macao Managing Director Kim Airey
A1: Though China""s auto market faced a difficult beginning to 2020 due to the outbreak of COVID-19, the great support of our customers and stakeholders as well as our strong product range have allowed us to come back quickly and stronger than ever in China. We look forward to rolling out the most advanced products to meet their needs.
A2: Our confidence in and dedication to the China market have never wavered. We are delighted to see the market start to flourish again. China is the biggest car market in the world and one of the largest markets for premium and luxury brands.
China has proven itself to be an important engine of global economic growth, manifesting strong resilience and growing signs of recovery. We remain confident about the future.
A3: INNOVATION SUSTAINABLE DEVELOPMENT
A4: During these trying months, amid the harsh COVID-19 pandemic, we stood steadfast alongside our Chinese customers, other stakeholders and our Bentley staff to overcome the most difficult of times together. We are honored to see our Chinese customers continue to embrace Bentley, with strong order banks continuing in this market.
During the outbreak period, we learned to constantly revise and implement new safety measures that kept us in compliance with local policy guidelines, so that we could continue to offer products and convenient services to customers while safeguarding the well-being of all of our stakeholders.
A5: Corporate social responsibility should be all about action. We have worked closely with the Bentley headquarters in Crewe to share best practices of and insights on the most effective epidemic prevention procedures. In China, we also implemented a series of stringent measures that ensured the safety of our stakeholders and customers while allowing operations to move forward safely and productively.
A6: China plays a leading role in sustainable mobility across the globe, and the outbreak has shown us the strong resilience of the Chinese market.
During the unprecedented challenges currently being faced worldwide, the fast-recovering China market is playing a vital role in stabilizing the global industry. The gradual recovery of the auto market, opportunities created by policies promoting greater opening-up, sustainable practices in the new energy vehicle sector, and booming market demand are all strengthening China""s crucial position in the global market. We are confident that China will continue to play a vital role and positively impact the global market.
Continental China President and CEO Enno Tang
A1: I am very much looking forward to Auto China 2020 in September. This event demonstrates the quick recovery of the automotive market and fast containment of the coronavirus outbreak in China. This year""s "smart vehicle for the future" theme will bring cutting-edge technologies and great dialogues during the event.
A2: Volume development in the fourth quarter should be stable. However, the total volume in 2020 could still be about 10 percent lower than last year due to a significant drop in the first quarter. Looking forward, we expect that the rebounding of China""s automotive market could continue next year after three straight years of decline. In the middle and long term, we can expect moderate growth. But it""s still possible that development could be flat, or even drop as the market volatility is increasing.
A3: TRANSFORMATION ELECTRIFICATION INTELLIGENT CONNECTED VEHICLE
A4: We are very pleased that there are no infections among our 24,000 Continental employees in China thanks to the protective measures implemented by local authorities and our 28 locations in China. We gradually resumed operations starting on Feb 10, and the process went smoothly thanks to the joint efforts of all stakeholders. The impacts of COVID-19 are many and actually include some positive aspects: First, the Chinese authorities and people have demonstrated strength in managing the crisis based on their dedication, fast execution and support for one another. Digitalization has been widely used and well recognized to help fight the outbreak. It can accelerate further progress in digital applications to help people in their daily lives and work.
A5: We have witnessed many automotive companies in China exhibit strong senses of corporate social responsibility during the epidemic. Continental was one of them. We are firmly convinced that it would have been impossible to contain the virus and restart business operations quickly without the joint efforts of the authorities, companies and all individuals.
A6: China is enhancing its position as the No 1 automotive market in the world in terms of share of production and sales volume in the global market.
Beyond volume, the Chinese automotive industry is accelerating technological advancement and taking the lead position in fields like electrification and intelligent connected vehicles. Furthermore, the global supply chain will be reshaped with more balance between localization and globalization.
The companies in China""s automotive industry should further focus on innovation, quality and efficiency improvement to be prepared for market volatility and fierce competition.
DS China Managing Director Nicolas Monnot
A1: Due to COVID-19, Auto China 2020 was postponed. However, we are very glad to see that it is coming back. The great event shows the full recovery of the Chinese auto market.
A2: With the pandemic under control, we""ve seen the quick recovery of the Chinese auto market, which has reinforced our dedication to and confidence in the development here in China. As the market and its customers become more mature and upgrade their consumption, we believe the market will continue to grow in the future, especially the premium segment.
A3: ELECTRIFICATION CONNECTIVITY SHARED MOBILITY AUTONOMOUS DRIVING DIFFERENTIATION
A4: Health. The COVID-19 outbreak made more conscious of living a healthier lifestyle and of course paying more attention to our health when we travel. At DS, we care deeply about the health of customers and the materials used in the interior of our vehicles are high quality and environmentally friendly.
Online to offline, is playing an even more important role during the post-pandemic era. Therefore, we will also strengthen our services, which include applying new O2O methodology and a brand mini-program to providing more tailor-made and detail-oriented customer services.
A6: We are facing many uncertainties. One true certainty, however, is the growth potential of the Chinese auto market. China is standing at the front-line of new trends in the auto industry and its vehicle consumption keeps growing. That growth will further consolidate the country""s leading position in the global auto industry. DS is committed to long-term development in this prosperous market. We have opened a new chapter in China and customized new brand strategies to make DS stand out from the crowd.
Ford China President Anning Chen
A1: Although the biennial Beijing Auto Show was postponed for a while, its final arrival is encouraging for all. This time, the show will not only serve as the highest-standard stage for the industry to exhibit the latest brand images, enterprise strategies and products, it will also effectively promote communication for the whole mobility industry. We are looking forward to meeting our customers"" latest needs and preferences by displaying cutting-edge products that conform to "ACES" (Autonomous, Connected, Electrified and Shared Mobility).
A2: The market recovery has improved our faith in sales for the second half of the year. With the State vigorously advocating new infrastructure construction and promoting the deep integration of the internet, big data, AI, 5G and traditional industries, China""s automobile industry is transforming to "ACES" which will provide the whole industry with new development opportunities.
A3: Ford believes that "INNOVATION" and "INTEGRATION" will be the major trends of the future automobile industry upgrading.
A4: The impact of the pandemic forced the whole society to accelerate the digitalization, networking and intelligent transformation. If we want to sum up this period with some key words or phrases, I think "keeping calm in the face of difficulties", "turning adversity into opportunity", "being accountable" and "persisting in innovation" would be appropriate.
A5: The pandemic has been a great challenge for everyone. It dealt the whole automobile industry a heavy blow amid the global economic slowdown. The broken supply chains and the shutdowns of factories and dealers have greatly undermined consumers"" and investors"" faith. In this case, no one is an island. Thus, a great number of automobile companies took actions to overcome the difficulties and practice social responsibility by switching their manufacturing from automobile vehicles to various medical supplies, which helped to save themselves and the whole society at the same time.
A6: Although China""s automobile market has encountered a "cold winter" in recent years, it is still the largest single market worldwide and has a great consumption advantage.
In addition, the epidemic prompted consumers to expect and demand more healthy travel options, which may continue to be an important consideration for consumers in the future. In the face of challenges, automobile companies should remain calm and courageous, and never stop forging ahead.
GAC Chairman Zeng Qinghong
A1: The economy and our social lives are back on the right track. The successful convening of the Beijing auto show will boost auto companies, which is believed to have a certain boost to the auto market.
A2: The epidemic only changes the current development rhythm of the auto market, but it cannot change the future development direction of the auto market. Affected by the continued spread of overseas epidemics, anti-globalization and trade protectionism, the future will face more instability and tests. While enhancing their own strength, auto companies should increase various forms of strategic cooperation, accelerate research on key core technologies in a more efficient, open and inclusive, collaborative and shared way, turn crises into opportunities in future competition, and promote the development of independent brands. In general, these acceleration trends should move upward in twists and turns.
A3: 5G INTELLIGENT WIN-WIN COOPERATION
A4: In this period of outbreak prevention and control, a new generation of information and communication technologies are being represented by 5G, big data and artificial intelligence. They have all played an important role in the fight against the virus and made us aware of new technologies. Products, new models, and new business formats will also bring rare new opportunities for the development of the country""s automobile industry. It can be summarized in three words: amplifier, accelerator and checker.
A5: GAC Group fulfills its corporate social responsibility, mobilizes all forces, donates money and materials, and contributes to the fight against the pandemic. The group started to produce masks in only half a month. Front-line personnel of outbreak prevention and control and public services such as medical care, buses, taxis and subways were given first priority to receive the masks.
A6: As the world""s largest automobile producer and consumer market, China is closely connected with the global automobile industry chain. Chinese auto parts account for 80 percent of the global market. However, most Chinese parts and components focus on the middle and low-end sectors, and still rely heavily on imports for high-end parts such as engines.
The global supply and value chains are indeed undergoing market-oriented reorganizations, and the reorganizations are still centered on China. In the future, China""s parts and components industry should further stabilize the production chain and lay a solid foundation for enhancing the international competitiveness of the industrial and supply chain.
GM China President Julian Blissett
A1: The Beijing auto show is among the biggest exhibitions across the globe. It""s additional proof that the industry has got back on track. We expect to see the exciting products on display further boost consumers"" confidence in the market and economy. We look forward to seeing a continued rise in consumer demand.
A2: We have full confidence in the China market""s near-term resilience and long-term growth. It""s supported by the established capability and can-do spirit of the people working in and with this industry. GM will continue to deliver the right products for today""s consumers while developing cutting-edge technologies for the future to help sustain industry growth over the long term.
A3: They would be an interestingly contradictory pair.
The first word is ANCHOR. The automotive industry will remain a key driving force as the world navigates through a highly fluid economic situation.
The second word is SELF-DISRUPTION. The changes we have been seeing and making in recent years will exceed what the industry has gone through in the past decades.
A4: It is sad that the pandemic has separated us physically. Many big industry events have had to be cancelled, many face-to-face meetings switched to virtual, and people""s personal interactions reduced to a minimum.
It has been a time of great uncertainty, but also a time of great empathy, a time when we value the continued trust and support of our partners, suppliers and customers more than ever.
A5: I am really proud of how automakers around the world rallied to develop and produce life-saving items in short supply. Leveraging the industry""s manufacturing prowess, flexibility in retooling and ability to scale up, the quick switch from making vehicles to making masks and ventilators was a tremendous success. Since February, our SAIC-GM-Wuling joint venture-managed to produce about 200 million face masks, including more than 20 million for overseas countries.
A6: GM envisions a future with zero crashes, zero emissions and zero congestion. As the largest global automotive market, China certainly has a crucial role to play to unleash the promised future. We look forward to seeing more incentivized infrastructure to enable a faster transformation toward electrification, intelligent driving and connectivity. We also look forward to building an integrated automotive ecosystem to enable the development of services that will make consumers"" entire experience of mobility safer, better and more sustainable.
Hyundai Motor Group China President Kwang-guk Lee
A1: The Beijing auto show is an important indicator of the recovery of the global automotive industry and will greatly boost both industry and market confidence. At the same time, the theme of this year""s show is Smartly Leading the Future, which is a stage for the entire industry to showcase the achievements in smart technology.
A2: Although the sales growth rate of the automobile market has slowed in recent years, the market has matured and opened many possibilities for exploration. Chinese consumers have huge consumption demand. The demand for safe, healthy and environmentally friendly travel is also increasingly prominent. Of course, the Chinese auto market, which is deeply integrated into the global industrial chain, will inevitably be affected by external uncertainties such as the recurrence of the epidemic. However, the impact of these unfavorable factors is controllable. I think the Chinese auto market will maintain moderate growth and achieve structural adjustments with a more reasonable and healthier layout.
A3: CLEAN TRAVEL CONNECTED TRAVEL FREE TRAVEL
A4: The first is the code. Fighting the epidemic is both our biggest challenge and our biggest responsibility. The second is stress resistance. Due to the sharp decline in consumption and the poor sales of the entire auto industry, operating pressure is inevitable for many. At this time, both companies and individuals must maintain an optimistic attitude and drive themselves with positive energy. The third is innovation. During the outbreak, travel restrictions and online consumption have exploded, making online car purchase a new choice for communication between auto companies and consumers.
A5: The relationship between enterprises and society must be symbiotic and mutually prosperous. Chinese enterprises have not only made great contributions to the country""s economic development and prosperity, but also made great progress and achievements in undertaking social responsibilities.
A6: In the post-pandemic era, the Chinese market will play three key roles. The first is relieving fear. The recovery of the Chinese market undoubtedly gives people hope. The second is circulation. The outbreak has blocked the global automotive industry chain. The recovery of the Chinese market will help restore the flow of the industry chain. The third is to pump up momentum. The recovery of the Chinese market has shown new consumption trends. People""s awareness and demand for environmental protection and health are becoming more profound. There is no doubt that China will play a core driving role in the global automotive industry chain, and it will also be favored by visionary and ambitious multinational auto companies. They will continue to increase their investment in capital, products, and R&D.
Audi China President Werner Eichhorn
A1: I""ve really been looking forward to the Beijing auto show－the only tier-one motor show happening in the entire world this year－to see what the industry in China is offering to the world. We are committed to bringing the most fascinating products to our Chinese customers.
A2: A significant recovery in demand has been apparent in China since March. Audi""s sales in China have seen a significant rebound since April. Looking ahead, I believe there is still great growth potential for the auto market in China, especially in the premium segment, due to the growing purchasing power of Chinese customers. We believe that the premium segment in China can still reach a moderate growth level this year despite the pandemic.
A3: INNOVATION DIGITALIZATION ELECTRIFICATION
A4: The consequences of the pandemic have presented great challenges to everyone around the world, including Audi.
Unity and outstanding teamwork are the key to recovering from this crisis. For China, we can see this in the way that the entire country has pulled together for the shared goal of defeating the novel coronavirus. It is the same for Audi. All our employees, managers, partners, investors and suppliers here in China have shown great resilience and team spirit to come together to overcome the unprecedented challenges this year.
A5: The pandemic has highlighted the important role that mobility has in our lives. And thanks to the helpful guidance from the government, and hand-in-hand with our partners, Audi in China was able to safely begin the gradual restart of our business and production operations beginning in February, taking measures to protect the health and livelihoods of our employees and their families.
A6: China is the world""s largest automobile market and also the most vital one for Audi. China is also playing a key role in the transformation of the auto industry.
Audi has been a strong and successful premium leader in the China market for more than 30 years now. One reason for this success has been our localization, tailoring our products to our Chinese customers, which we are now furthering with our "In China, For China" strategy.
Audi wants to have an all-win situation with our Chinese partners as we shape the next golden decade of growth for Audi in China.
Beijing Mercedes-Benz Sales Service Co President and CEO Jan Madeja
A2: With the overall recovery in the industry especially in the premium segment, our business dynamics have returned to a positive trend to date since the second quarter of this year. Understanding the dynamic situation worldwide, we remain cautiously optimistic about the future growth of our industry.
A4: If I may share a few words from Mercedes-Benz""s point of view, I would say customer-centricity is the core of everything we do, digitalization is empowering our business and product offerings, we have cautious optimism about the future, and sustainable mobility is our goal.
We are currently in the midst of an unprecedented industry transformation, with technology-empowered innovations, evolving user demands and worldwide uncertainties adding to the complexity of the auto market.
In this context, we have further realized the importance of solidarity, flexibility and keeping our focus on the core. Customers have been and will always be the very core of the auto market, despite the changes taking place in the industry. Therefore, we initiated Mercedes-Benz Premium Customer Care Golden Rules to serve our customers in China, echoing their aspirations for a premium service experience. This is a guiding principle for us all, from OEM to retail staff.
A5: In China, CSR is also part of our sustainability endeavors. 2020 marks the 10th anniversary of the Mercedes-Benz Star Fund. Covering environmental protection, the culture of driving, educational support, culture and arts and social care, we are dedicated to contributing to the social development of China.
The auto industry has always been an integral part of social development. We attach great importance to sustainability with a vision. Our "Ambition 2039" plan aims to have plug-in hybrid electric vehicles and battery electric vehicles account for more than 50 percent of car sales by 2030, and to have a carbon-neutral new passenger car fleet by 2039. We are confident that we can offer the most desirable product offerings with more new energy vehicle options on top of our internal combustion engine models on the journey to mission-free and sustainable mobility.
A6: China is home to the largest, youngest customer group worldwide, and is at the frontier of digitalization. For them, we are continuously working to empower our product portfolios and work mechanisms with digital features. Our newly opened Factory 56 in Sindelfingen, where the S-Class is produced, fully benefits from advanced digital technology with internet-of-things, 5G technology and our MO360 digital ecosystem, and has realized paperless operating and carbon dioxide neutral operations.
Infiniti China Managing Director Kevin Mao
A1: With the Geneva auto show, Detroit auto show, Paris auto show, and other auto shows being canceled or held online, the Beijing auto show has become the only top-level international auto show held offline this year, attracting much attention at home and abroad.
A2: With the increase in market demand, we have regained confidence in the future. The luxury car market was particularly prominent and showed a high growth trend. In August, premium car retail sales increased by 32 percent year-on-year, and the market share reached a record high of 15 percent. Although the incremental market turned to the stock market and the pandemic brought downward pressure on the economy, it did not affect the upward trend of the premium car market.
A3: AGE OF THE STOCK MARKET NEW BUSINESS FORMS OF THE DIGITAL ECONOMY BRAND VALUES OF HUMAN AND SERVICE-ORIENTED
A4: We should build a social consensus and unite all forces to overcome difficulties together. Infiniti has issued a series of targeted dealer assistance policies to maintain its stability in the emergency period. Besides, Infiniti brings the service-upgrading policy for consumers. And we are also keenly aware that facing a crisis, only by taking the initiative, making innovations, and pursuing change with one heart and one mind can we turn a problem into an opportunity and maintain steady development momentum.
A5: It is not only incumbent but also the mission of auto companies to actively fulfill their social responsibilities in the pandemic. Infiniti published the support policies for dealers and front-line sales immediately, canceled performance assessment of dealers, and provided subsidies for front-line employees. It also used digital platforms to conduct online car-viewing, car-selecting and improve consumer service experiences during COVID-19.
A6: China""s automobile market""s tenacious vitality and incredible potential are the key points to realizing economic restoration. The crisis will breed hope. The actions and changes in China""s automobile market after COVID-19 may lead to new changes in the global automobile industry and enterprises.
Lamborghini Region Director for Asia Pacific Francesco Scardaoni
A1: I have really big expectations for the Beijing Auto Show. The overall automotive industry has seen a reduction, but the super luxury segment has seen an increase. For our two segments specifically, the exclusive super sports cars and the Super SUVs, both are growing.
A2: I think that it will grow in the coming years. I think it will have two different paths. The first will be rapid growth just in the next one to two years maximum. Then stabilization, in which it will slightly grow. With new models and new players in the market offering a greater variety of products, the chance will exist for people to renew their cars, to think about something different in terms of powertrain and so on. That will create more steep growth. Finally, in a couple of years, we will see the trend of a more stable market.
A3: SUSTAINABLE GROWTH GO ELECTRIC IN-DEPTH CUSTOMIZATION
A4: The first lesson learned is that Lamborghini China had to be agile and fast to react. I think one of the main points is that if you have an agile company, you can adjust your strategy to perfectly match and fit the market. The second lesson to me, is always to be creative. When something happens, like the pandemic this year, you aren""t ready to react because you don""t have this natural creative mindset. The third lesson is the importance of the digital world. We saw there was significant risk in having a split between Lamborghini and our customers. So we began the digital sales process and digital test drive to let them feel the emotion and the sound. We also asked our dealers to change their attitude and their style to accommodate a digital audience and guided them through that process so they could be successful.
A5: Car companies have a profound influence on our lives. They tell us the way we should drive, what services we should expect in our cars and many other things. I believe they also have a social responsibility for influencing our daily lives. At Lamborghini, we are a small company. But as soon as the pandemic started, we produced face shields and masks for medical staffs in Bologna""s local hospitals. We supported Siare in the manufacturing of breathing machines.
A6: I think it""s important for a company not to be dependent on one country in terms of supply chain, sales, etc. You are at high risk if you rely on one single market. Having a worldwide approach makes a company more stable.
Maserati China Managing Director Mirko Bordiga
A1: Finally, we have a chance to gather for a big-scale event in the automobile industry post COVID-19. I""m confident the Beijing auto show will be a great success. Maserati will show Chinese customers our greatest innovation.
A2: I believe China""s automobile sector will maintain its recovery momentum. We are already seeing a revival in consumer demand. China""s middle class is growing, and that has led the automobile industry to enter a stage of high-quality development. It is no longer the growth in quantity, but the improvement in quality that matters. This trend is a good sign for luxury auto brands.
A3: ELECTRIFICATION INTELLIGENCE CONNECTIVITY YOUTH
A4: I believe the saying, "You cannot control what happens to you, but you can control what you do about it". The biggest change I""ve seen is a very encouraging one: People are staying strong and united together in this fight. In the darkness, the light can shine brighter than ever. Over the last few months, I""ve been so honored to witness this spirit come alive at Maserati, a brand that believes in "being audacious and seizing life on your own terms".
A few more things I want to add: Private transportation: This is becoming the first choice of more people to maintain social distancing and keep safe. Unity: None of us can get through the challenges before us unless we as brands, employees, dealers and business partners unite to pull through together. Keep safe and enjoy life: This experience makes us care more about personal safety and social respect.
A5: I""m very proud to see that so many auto companies are making great efforts to step up and contribute to society in many different ways. At Maserati, we cooperated with the Wuhan Medical School to provide scholarships for COVID-19 research. We were deeply moved by the passion and dedication shown by medical staff fighting the epidemic, for their great contribution and sacrifice. We wanted to do whatever we could to help out, as a part of the community, by supporting the development of next-generation medical workers.
A6: China""s economic recovery is essential to easing the economic fallout. Its auto parts industry has a solid reputation in the global supply chain as a major manufacturer and exporter. It has the most complete industrial chain in the world in the NEV sector, and many Chinese enterprises are leading the industrial development. China will play an increasingly important role and help to move this sector forward.
Porsche China President and CEO Jens Puttfarcken
A1: The Beijing auto show is the first international auto show in 2020. We aim to present Chinese customers and fans with the very best that Porsche has to offer, while simultaneously conveying positive energy for the post-pandemic era.
A2: We have certainly had a challenging year due to the novel coronavirus. At the same time, we are in the middle of a great industry transformation involving electrification and digitalization. China""s auto market is undergoing a process of maturation, so it is normal to experience a certain amount of volatility. We""re fully confident in the long-term growth of the Chinese auto industry, in line with the country""s newest phase of its reform and opening-up policy.
A3: STRUCTURAL TRANSFORMATION ELECTRO-MOBILITY DIGITALIZATION INTELLIGENCE CONNECTIVITY
A4: We have endeavored to manage the crisis systematically and responsibly. From day one, our motto has been to actively use this time as an opportunity－so that we can emerge from it even stronger. The decisive factors are courageous decision-making, cohesive team work and having the correct strategic direction for the future.
We focus on the basics. A crisis shows very quickly both how stable and how flexible a company""s structure is. We have made greater use of the opportunities provided by digital media in communication, collaboration and also digital experiences for our customers. We want to benefit from all these experiences in the future in a sustainable way.
A5: I am encouraged to see that we have successfully overcome any difficulties by working together. And it""s experiences like this that can have a lasting effect on society－to everyone""s benefit.
A6: I have been deeply impressed by the courage, resilience and creativity I have seen from Chinese people in the face of this pandemic. I""m excited to see that China is emerging from this pandemic stronger than ever.
China is and will play a more important role in the auto industry. If a manufacturing brand wants to be successful worldwide in the future and be able to cope with all the new trends we see in terms of connectivity, digitalization, electro mobility and automated driving, then you have to be successful in China first.
We""re confident that we will come out of the crisis strengthened, moving full speed ahead into the future－empowering our customers to enjoy a fascinating sports car world with superior products and services.
Tesla China General Manager Wang Hao
A1: We are looking forward to extensive exchanges at the show to jointly promote the development of the new energy vehicle industry and accelerate the world""s transition to sustainable energy.
A2: Despite some uncertain factors, we are optimistic about and confident in future development of China""s automotive market and the new energy vehicle market. In the long run, China""s automotive market will continue to steadily grow. For now, there is still a gap in passenger car ownership per thousand people between China and mature markets. The automotive market as a whole is in the middle and later stages of popularization, but it is far from its peak. With the support of the government and changes in consumer awareness of new energy vehicles, we are very optimistic about future development in China""s new energy market. Electric vehicles are the trend of the age. The full life cycle cost performance and zero emission of electric vehicles and the great potential of "intelligent mobile platforms" will boost the sustained growth of Chinese and even global electric vehicle market for a long time. In addition, there is huge potential in the Chinese market. The open and stable investment environments provide us with strong reassurance.
A3: INNOVATION INTEGRATION
A4: This year""s coronavirus pandemic has helped society rediscover the importance of ATL and BTL combined development. It has also changed the cognition and habits of many consumers. If I were to sum up the impact of this year""s pandemic with two phrases, one would be "spring is coming", and the other "wake up to the direction". The pandemic has made the entire automotive industry understand the general direction of future development. In the next few years, a brand-new automotive era will be established: an era of new energy vehicles. This is a new track, a new direction, driven by user experience. It includes cars with software and includes sustainable energy as its core. There are endless possibilities in this direction.
A5: As an enterprise, we should not only contribute economic value, but also realize social value by practicing corporate social responsibility. We have seen many domestic and foreign car companies contribute to pandemic prevention and control and make contributions from all aspects to the best of their abilities, becoming a force to be reckoned with in China""s response to unexpected events.
A6: Tesla has seen China""s resolution to adhere to economic globalization and strengthen international economic and trade cooperation, which further enhances our confidence in the country""s market. China continues to expand its opening up and optimize its business environment to provide a broad platform for foreign-funded enterprises to take root in China, which has greatly enhanced their investment confidence. In the post-pandemic era, we believe China""s automotive industry will bring new opportunities and new development to the electric vehicle industry across the world.
Valeo China President Francois Marion
A1: It will be a good opportunity to promote our technologies, the relevance of which have been further enhanced by the pandemic. With the COVID-19 crisis, we are witnessing both a growing preference for individual mobility and accelerating demand for safer electric mobility all over the world.
A2: We have experienced a fantastic V-shape recovery of the auto market in China since the second quarter of the year. We believe in the growth potential of the automotive market in China over the next five years with the continuous development of consumption as well as an increasing demand for mobility. The number of middle-income consumers in China keeps growing as does their wealth and passenger cars are still a very important element of personal mobility.
A3: ELECTRIFIED CONNECTED SHARED AUTONOMOUS SMART
A4: I""m really proud of our teams and thankful for what we did especially in the beginning of the pandemic to guarantee the safety of employees and the continuity of business. We reacted very fast to implement the health protocol over all our sites and we were able to start the production of our 35 plants in China at the earliest stage possible with the support of the respective local governments.
keywords to summarize: Safety, continuity, agility, reactivity, resilience, unity, smart and innovation.
A5: I remember at that time, people were all trying to contribute in order to fight against the pandemic. So were the enterprises in the automotive industry.
A6: China will remain the largest automotive market in the world and China is actually leading the transformation in the direction of electrification and autonomous driving. Valeo has been sticking to the principle of "Be Chinese in China" since its establishment in China 26 years ago. Today, the majority of our supply chain is "local for local" and this model has proven to be resilient. On top of that, we have transformed ourselves from "Made in China" to "Invent with China".
Volkswagen Group China CEO Stephan Woellenstein
A1: Among our brands"" highlights, the China Premiere of the eighth-generation Volkswagen Golf has been a symbol of Volkswagen since its debut in 1974.
A2: The automotive industry has become increasingly challenging since 2018.
There are two important reasons. First is the trade issue with the United States, placing a greater burden on suppliers than manufacturers, and already resulting in losses and job cuts. Market pressure has been further exacerbated by the COVID-19 pandemic. Second is the most major industry paradigm shift since the invention of the car, the move toward e-mobility and ICV.
This is likely to cause an industry shake-up among the 100-plus automotive brands in this market. Strong brands, however, will be resistant and see a renaissance.
With the Volkswagen Group""s 35 years of success in China and a portfolio of exceptionally strong brands, we have earned the trust of our customers. During challenging times, Volkswagen Group has outperformed the total market and gained market share.
Our long-term confidence in China""s automotive market remains unchanged. China""s vehicle density is three times lower than that of Germany and has room to grow. China is still the coming powerhouse of the automobile world.
A3: The industry has undergone a change toward e-mobility and digitalization since the invention of the car. China is at the forefront of this change, and thanks to government support and increased interest from Chinese consumers, e-mobility and the fully connected car with automated driving functions are developing faster here than anywhere.
A4: The pandemic will have a catalyst-like effect in pushing the long-term trend toward digitalization of sales, services and marketing. We must connect with customers and become a part of their everyday digital ecosystem.
A5: The health and safety of employees is our top priority. Under the government""s guidance before the restart, comprehensive measures were in place to ensure the lowest risk for staff when at work or commuting.
A6: Volkswagen Group, similar to the entire automotive industry, is undergoing a huge transformation. We are becoming an integrated sustainable mobility provider, with our future being electric, fully connected and carbon dioxide neutral. With the upcoming Volkswagen brand ID.4 for China, we will further strengthen our existing product portfolio, which includes Audi e-tron. Vehicles are becoming complex online devices on wheels, and autonomous driving is key to our strategic core business transformation.
ZF Asia Pacific and India President Holger Klein
A1: This year, the Beijing auto show may kick-start a new rhythm for the global automotive market, defining the "new normal" during the post-pandemic era. It will mark the full return of the Chinese automotive industry and consumer sentiments. I expect the strong presence of Chinese homegrown brands, technology and products like never before. This will indicate good momentum of the Chinese automotive industry and growing significance in the global scene.
A2: I could offer an "X" to represent the uncertainty, diversity and potentials of the Chinese automotive market. Several dynamics are still active, indicating livelihood. Yet there is also some uncertainty. For example, how do we address needs for both product localization and globalization of technology trends to strike an optimal scale? We should also consider whether urban planning or car design should spearhead smart city development, and many other factors."X" also hints the unlimited potentials we see here.
A3: CLEAN ELECTRIFICATION SMART CONNECTIVITY SHARING
A4 & A5 : COVID-19 tested our management process and the resiliency of our people. For months, no one missed our daily checks for individual health, regulation compliance and customer support. We have seen zero infections at work from our China operations and no delayed delivery to our customers.
The automotive industry in China has been a unique and important contributor in fighting COVID-19 locally. The sector also represented a major force in preparing, motivating and coordinating the resumption of production. This tells the importance of secondary industries in a healthy, sustainable society.
A6: Over the last few years, China has evolved from a consumption market to more of a leader in the global industry. Mega trends in the Chinese and global auto market will continue to have a strong global effect.
Being the first and currently the only region that has resumed near full-scale production, all players in the Chinese automotive industry should act fast to support the sector and tap the opportunities here. The current reality is "made in China, for China" and it should certainly continue. As we support our Chinese customers"" further success on the global stage, we do not shy away from using our global networks to enable efficient development of the Chinese brands across worldwide markets. Our company has already entered the "led by China" phase and we want to use our experience to support the country.