November 21, 2018 06:01 CET
Mercedes-Benz, Audi and BMW have all benefited from a sharp reduction in import tariffs in China that has helped them boost sales in the world’s No. 1 market.
Beijing slashed tariffs on vehicle imports to 15 percent from 25 percent on July 1 as part of wider efforts to open up China’s markets that also included a plan to remove long-standing caps on foreign ownership of automotive ventures.
Mercedes’ brand sales rose 13 percent through October to 550,938 vehicles, while Audi registrations jumped 14 percent to 539,730 and BMW brand was up 7.3 percent to 492,763.
In October, Mercedes’s brand volume rose 9.2 percent to 50,231, Audi’s registrations rose 5.4 percent to 56,729 and BMW sales rose 13 percent to 53,720.
Mercedes and BMW, who both build vehicles in the U.S., have been hit, however, by an increase in China tariffs on U.S.-made vehicles, which jumped to 40 percent on July 6 in retaliation for the Trump administration’s punitive tariffs on Chinese goods.
Automotive News China contributed to this report
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