Chinese Backlash Against Japan a Boon for GM, Ford
As Chinese consumers shunned Japanese goods due to a territorial dispute between the two countries, U.S. automakers General Motors Co. (NYSE: GM) and Ford Motor Co. (NYSE: F) benefited from the consumer backlash against the likes of Toyota Motor Corp. (NYSE: TM) and Honda Motor Co. (NYSE: HMC).
GM said deliveries of its cars and minivans to the world's largest auto market rose 14% to 251,812 units in October. Cadillac increased deliveries 20%, Chevrolet gained 8.3% and Buick sales rose 7.7%
Ford said it sold 60,518 vehicles in China last month, or 48% more than a year earlier, according to Bloomberg BusinessWeek. The Dearborn, Michigan-based company also said it sold 33,614 Focus compact cars there in October.
However, Toyota's sales in China fell 44% last month, following a 49% decline in September. Honda and Nissan also reported their worst monthly drops in years.
GM said it plans to invest as much as $7 billion in China in the five years to 2015. And Ford plans to introduce two new sport-utility vehicle models, the Kuga and the EcoSport, in People's Republic in the next few months.
Shares of GM and Ford are up fractionally in premarket trading.
Filed under: 24/7 Wall St. Wire, Autos, China, International Markets Tagged: F, GM, HMC, TM