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Survey: Price wars lead to car defects
www.chinaview.cn 2006-11-20 08:23:28

Beijing Int'l Auto Exhibition kicks off

    BEIJING, Nov. 20 -- Price wars have taken a toll on the quality of domestically-made cars with defects reported in 77 percent during the first six months of use, according to the latest market survey.

    The 2006 China Automobile Customer Satisfaction Index (CACSI) said major defects involve tyres, air conditioning and braking systems, locks and steering wheels.

    For every 100 new cars, there were an average of 338 defects, much higher than last year's 246.

    Meanwhile, the China Consumers' Association received 1,038 complaints in the first three quarters, up 21 percent from last year. In the third quarter, the number was 44 percent higher than the second.

    Experts say price cuts which have averaged about 10,000 yuan (1,250 U.S. dollars) annually in the past few years have forced producers to purchase lower-grade parts in an effort to lower costs. "The defects are a result of carmakers constantly reducing prices and sacrificing quality," said Fan Tianshun, director of the customer affairs office of the China Quality Association, which conducted the CACSI survey.

    Making matters worse is the shortened product launch cycle. For example, this year alone more than 100 models have been, or will be, launched.

    "With shorter research, development and testing periods, the new models will, of course, have more defects," Fan said.

Editor: Fiona Zhu
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