“Parallel import†means that, besides the general distributor, other importers directly import from the origin of the product, and its import channels are “parallel†with the domestic authorized distribution channels.
When the imported luxury car fell into an anti-monopoly investigation, the concept of “parallel imported car†was mentioned again. According to sources from Shanghai Waigaoqiao Group, the pilot program for parallel import of automobiles drafted by Shanghai Waigaoqiao Automobile Trading Market has been reported to the Ministry of Commerce for review. Once approved, it will open another channel for imported cars to enter the domestic market. The market price of imported cars will be 15% cheaper.
It is reported that “parallel import†means that, besides the general distributor, other importers directly import from the origin of the product, and its import channels are “parallel†with the domestic authorized distribution channels. It is understood that Waigaoqiao Group plans to establish an import auto trading center in the Shanghai Pilot Free Trade Zone, allowing importers to import directly from the car origin, and is responsible for dealer management, after-sales service guarantee, consumer rights protection, spare parts supply guarantee and comprehensive Service management and other work.
Insiders said that if the program can be approved, the benefits are obvious. Not only can “parallel imported cars†be standardized, but consumers can also get tangible benefits. He said, "If the Shanghai Pilot Free Trade Zone takes the lead in piloting the project, it is likely to be promoted nationwide in the future. By then, the entire imported car price system and interest chain will be affected, and the market price of imported cars will be 15% cheaper."
In recent years, the “super high price†of imported luxury cars in the Chinese market has been difficult to break. In addition to tariffs and other factors, the abnormal pricing of these imported luxury cars is the main reason for the high price of imported cars. Take an imported BMW X5 xDrive 35i Deluxe Edition as an example. The guide price for a BMW dealer is about 1.01 million yuan. The price of an imported dealer in an unauthorized channel is about 830,000 yuan. After the model has been driven for 60,000 kilometers, the price in the used car market is about 760,000 yuan. It is reported that under normal circumstances, an imported car, in addition to the overseas market price, plus tariffs, consumption tax, value-added tax, three taxes and warehousing and logistics costs, the total distribution of imported car brands in China and dealers jointly earned The profit margin is very large. Among them, China's total distribution of profits accounts for an absolute proportion. A person in charge of a Japanese import luxury car brand Beijing dealer said frankly, “The price of the car from the Chinese general dealer is about 9.1 fold to 9.2 percent of the official guide price.†He said that if the parallel imported car business is obtained in the future Approval will lead to more imported vehicles from unlicensed channels entering the Chinese market. “This is bound to bring greater impact to traditional authorized importer channel dealers.â€
Parallel import of automobiles is an effective way to break the monopoly in a market-oriented way. According to industry insiders, the biggest role is to stabilize the price of imported cars. It is understood that although there is no clear regulation on "parallel imports" in China, tens of thousands of vehicles are imported every year and have considerable price advantages. Therefore, once the pilot in the free trade zone is carried out, it is likely to have a substantial impact on the domestic imported car prices.
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