Differences Between Imported Cars and Joint Venture Cars

[StevenLynn]

Here are the main differences between imported cars and joint venture cars: 1. Different automotive parts suppliers. Joint venture cars are foreign brands, but the vehicles are produced domestically. Only the exterior design matches the foreign version, so internal components such as the engine are also domestically manufactured. Imported cars, on the other hand, are entirely designed, produced, and assembled abroad, adhering to global unified quality standards, which often results in better quality compared to joint venture cars. 2. Joint venture cars undergo configuration reductions after entering China. Foreign brands often "reduce configurations" upon entering the Chinese market. Whether it's bumpers, anti-collision beams, daytime running lights, ESP, or other features, they are often downgraded to varying degrees. These reductions not only compromise vehicle safety but also affect driving performance and ride comfort. In this aspect, joint venture cars are significantly inferior to imported models. 3. Joint venture cars offer more diverse model configurations. One advantage of parallel imported cars is the ability to purchase overseas models not available in China. Generally, to align with the Chinese market positioning strategy, automakers make certain adjustments or modifications when importing overseas models to China. Parallel imported cars, however, are directly sourced from regions like North America and the Middle East, so their configurations may differ from domestically produced joint venture models. For example, the Mercedes-Benz GL350 diesel version is not sold in Chinese Mercedes-Benz 4S stores, but it can be purchased through parallel imports. 4. Price differences. Parallel imported cars bypass sales channels such as general distributors, regional dealers, and 4S stores, eliminating many intermediary steps. Additionally, parallel import dealers are not bound by manufacturer pricing restrictions, allowing for more flexible pricing. As a result, parallel imported cars are typically 10%–20% cheaper than domestically produced joint venture cars.