German carmaker Audi AG yesterday formed a strategic alliance with Taiwan's largest automobile importer, Taikoo Motors Ltd (太古汽車), vowing to become the first imported car brand in the premium segment by 2009, a top Audi executive said in Taipei.
"We hope to be the No. 1 luxury car in Taiwan five years from now," Jorg Hofmann, Audi's managing director for the Asia-Pacific region, said during the contract-signing ceremony.
It will require extra effort for Taikoo to achieve that goal, given the nation's dwindling market for imported cars, Taikoo managing director Kenny Teng (
To attain the No. 1 spot in the market, Teng said, they need to enhance their brand image and introduce more new models, such as the new 2.4-liter A6 and new A4 series, next year.
Audi is currently the nation's No. 4 luxury-car brand, with a market share of around 8 percent in the premium sector with 22,000 units sold a year, following Lexus, Mercedes-Benz and BMW.
Audi will keep its upscale pricing strategy, as the company uses the best knowledge and most expensive ways to engineer its cars, Hofmann said.
"We cannot afford to sell cheap cars," he said.
The price of Audi's cars ranges from NT$1.46 million for the A3 series to over NT$5 million for the upscale A8 series.
Hofmann expressed optimism about the import market, although the market share of imported vehicles has slid to 15 percent from its peak of 35 percent a decade ago.
Taikoo took over the Audi dealership in 2002 after the German manufacturer severed its 30-year partnership with Universal Motor Traders (永業).
Taikoo sold around 1,300 Audis in the first nine months of this year, up 22 percent year-on-year, while the upscale car market saw growth of around 17 percent over the same period.
Taikoo hopes to market 2,000 units this year, up from 1,649 units last year, Teng said.
Taikoo also imports Volks-wagens and Kias. It has grabbed around 20 percent of the import market, amounting to more than 50,000 vehicles a year.
The Asia-Pacific region is Audi's fastest-growing market, with sales of 85,000 units last year, and is expected to enjoy double-digit growth in the years to come, according to the company.
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