Major German automakers report sharp drops in sales in China in the latest quarter, according to multiple outlets. The declines are described as among the worst in recent history for the brands, with reported quarterly falls ranging roughly from about 30% to 41% depending on company and model mix. Sources attribute the downturn to a combination of weakening domestic demand in China and stronger competitive pressure as local Chinese automakers expand their share.
Beyond China, the outlets also point to growing competitive threats from Chinese manufacturers in other markets, including Europe. Fortune additionally notes that Chinese automakers are gaining ground internationally, while competing brands in Europe face increased pressure as Chinese companies broaden their presence.
Overall, the reports portray a scenario in which German brands are struggling in China at the same time that global competition is rising, especially from Chinese companies, reducing their ability to offset the China weakness with demand elsewhere.
