Recession makes car makers look at a new market......China

Some of the automakers missed some of the car shows but there was one car show that none of the automakers wanted to miss and that was the Shanghai Auto Show.

Nearly everybody was there, especially keeping in view that markets in US and Europe has seen a great fall in demand in present recessionary times. Hence, a market as large as China is luring these automakers to find opportunities here, especially for the year 2009.

However, it is also being forecast that this will not remain a very lucrative market for foreign automakers. This is because the local automakers are taking over the market by manufacturing better and more environmentally friendly models. The local manufacturers have a cost advantage over the foreign manufacturers as they enjoy more government incentives. These manufacturers are working to improve quality and make safer cars. They have even started producing electric cars which are more environmentally friendly.