There is no doubt about it – China is going crazy for cars. In a country where ten years ago, hardly anyone owned a car, this is indeed a miracle. In the year 2006, the total number of privately owned vehicles in China had reached a total of twenty two million. This can be traced back to the country’s major economic growth since the year 1990. Throughout the last decade the country’s economy has doubled. The standard of living in major cities has increased enormously. Suddenly, everyone living in China wants a car.

The year 2000 was a milestone year in the Chinese auto industry. That was the year that the car craze broke and the denizens of China began buying automobiles like mad. For today’s Chinese consumer, a car is the very first thing on the wish list. While it used to be that owning a bicycle and home appliances was a sign of luxury and status in China, nowadays the automobile has superseded everything else and become China’s number one commodity of choice. Today, passenger vehicles account for half of China’s total car production. 66% of all cars in China are privately owned.

What’s more, it estimated that only about a million old cars were retired in China last year. That means that new car sales are rising steadily. It has been projected that new cars sales in China will continue to rise over the coming years. In fact, the projected statistics are staggering. By the year 2020, over 140 million cars will be driving on China’s streets. In the year 2040, that figure will increase to 250 million. These figures may very well double – these are moderate estimates. What is certain is that the automobile industry in China may very well overtake America’s car industry.