Manufacturing News

Mazda's China sales up 23% in April on incentives

Mazda Motor Corp. sold 17,890 vehicles in China in April, up 23 percent year-on-year.

With the aid of incentives, sales of the Mazda6 mid-sized sedan surged last month.

In the first four months of the year, Mazda's total China sales edged up 1 percent from a year earlier to 67,685 units, according to the automaker.

Mazda has two joint ventures with China FAW Group Corp. and Changan Automobile Co.

In mid-March, FAW-Mazda Motor Sales Co., which sells the Mazda6 and Mazda8 in China, slashed the price of the Mazda6 to 150,000 yuan ($23,000), down from 180,000 yuan.

Because of the steep price cut, sales of FAW-Mazda surged 39 percent in April to 11,420 units. Mazda did not disclose separate sales figure for the Mazda6, which normally generates 95 percent of FAW-Mazda's sales.

In contrast to FAW-Mazda's strong results, sales of Changan Mazda Motor Sales Co. increased only 2 percent year-on-year to 6,470 units in April.

Changan Mazda sells the Mazda2 and Mazda3.

The Mazda2 and Mazda3 are produced at the Nanjing plant operated by Changan Ford Mazda Automobile Co., a three-way joint venture between Changan, Ford Motor Co. and Mazda.

Ford and Mazda are seeking Chinese government approval to break Changan Ford Mazda into two separate joint ventures.

Two new joint ventures -- Changan-Ford and Changan-Mazda -- would replace the current three-way partnership.

The government has yet to approve the request.

At the Shanghai auto show in April, Mazda announced it will introduce the CX-5 crossover in China in 2012.

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