As for Demio, Mazda just released a new Demio version in Japan recently but has no plans to introduce it in Taiwan in the near future.
After considering many factors such as costs, specifications, prices and customer demand, we don't think Demio is a priority in our model lineup here.
TT: Do you see sales growing disproportionately in some segments within the same market in Taiwan?
Hu: We have seen substantial growth in the segment of recreation vehicles (RV), sport-utility vehicles (SUVs) and multi-purpose vehicles (MPVs) in recent years, taking 25 percent share of Taiwan's market compared to 10 percent in the past.
With companies intending to roll out new models, this segment is expected to take 30 percent share of the market within the next three years. But I have to emphasize that the growth of these type of vehicles comes at the expense of sales of 1.6-liter to 2.0-liter mid-size sedans.
TT: Some automakers are hoping to import cars made in China to Taiwan, as well as leverage their resources on both sides of the Taiwan Strait. What's the rationale behind that consideration?
Hu: I think the main consideration why some automakers want to import cars from China is because of the lower costs.
Actually some say that if we can standardize one single car mold and allow both sides to develop components that complement one another, it will help lower new car development costs for automakers.
Though some had also argued that there's no reason to continue banning the import of cars manufactured in China after both sides are members of the WTO now, cross-strait politics remain a problem that we don't see any sign of being resolved soon.
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