BMW sets sights on emerging markets beyond China
BMW chairman Norbert Reithofer said on Tuesday that the luxury German carmaker was looking for expansion around the world in emerging markets such as Russia and Turkey, not only in China.
"In China as before it going's well but also countries like South Korea, Turkey, India, Brazil, Australia, Russia, they're all going well for us," Reithofer told reporters at the Geneva Motor Show.
"Worldwide now we have a good distribution of the group and it's growing in all markets, and in the biggest case by two digits," Reithofer added.
At the same time, he insisted that the group was aiming to avoid "one-sided risk."
Reithofer cautiously questioned the sustainability of "exceptional" growth rates in the booming Chinese market and said he was not relying on more than an average of 10 percent growth in BMW's core premium segment in China.
"I have said we need reasonable growth in our home market Germany. I am happy with reasonable growth in China but we must also develop Russia, develop Brazil, we must also look at countries like Turkey for example."
BMW is aiming for extra production capacity of 100,000 cars in its US plant and with a new plant in China by 2012, Reithofer said.
"Further expansion ... we're thinking of India, Brazil and Russia, more in this direction," he added.
"We have had very good results in recent years in .. South Korea, we are doing very well in a country like for example South Africa -- we have a segment share of 35 percent that's the BMW brand."
BMW's biggest markets are Germany, the United States, China and Britain, with roughly half its business in Europe and half elsewhere in the world.
© 2011 AFP