Chinese automotive brands such as Haval, Geely, Baojun, BYD and JAC are experiencing strong growth as the world’s largest auto market embraces its local brands.
The findings, from Brand Finance’s Most Valuable Auto Brands report, revealed that while the Chinese brands remain unknown outside the country, their market share within China is on the rise.
Five Chinese car brands ranked within the top 50 of global auto brands, Haval increased brand value by 124% to be valued at $6.8 billion, Geely jumped 62% to $6bn, while BYD surged 211% to $3.4bn and Baojun was up 98% to $1.8m and Foton increased 90% to $1bn.
The Chinese brands outperformed Mitsubishi Motors (53), Citroen (61), Skoda (63) and Chrysler (76).
David Haigh, chief executive of Brand Finance, said the growth was a sign of the strength of the Chinese market, which is now the largest automotive market in the world.
“The Chinese brands have achieved strong brand value growth thanks to their success in the domestic mass market. Outside China, the brands remain largely unknown, and within the Chinese premium and luxury segments, foreign brands such as Mercedes-Benz continue to dominate. However, Chinese brands are now expected to acquire Western brands in order to leverage their brand strength internationally.”
The report comes just weeks after Geely purchased a 9.7% stake in Daimler AG, which is estimated to be worth $9bn. The Chinese company already owns Volvo Cars AB.
The report also revealed Mercedes-Benz has overtaken Toyota and BMW to become the world’s most valuable automobile brand.
Mercedes-Benz’ ranking was bolstered by an increase in sales and revenue which helped it rise 24% year-on-year to be valued at $43.9bn. Toyota was the second most valuable brand after dropping 6% to $43.7bn, while BMW ranked third with a 6% increase to $41.8bn.