Squeezed in sedan, Chinese families with more kids look to MPV

CHANGCHUN - Sedans may no longer be the automobile of choice for Chinese families who believe they need more seats to fit in more family members now that the one-child policy is a thing of the past.

At an ongoing auto expo in northeastern Chinese city Changchun this week, multi-purpose vehicles (MPVs) and seven-seat SUVs are the stars of the show.

At the Toyota booth, its Highlander SUV is the most sought-after model. A sales assistant told Xinhua that the seven-seat model outsells the five-seat.

Supply of the model in Changchun is unable to meet demand. The earliest delivery of the model is the end of the year, at a 30,000 yuan premium over the original price.

"Many buyers are newly-weds looking for more spacious vehicle to fit their children and parents," said Wang Wei of Mercedes-Benz.

Domestic automakers are launching budget MPVs.

"The MPV could grow into a sizable segment of the auto market in countries where there are two or more kids in the family. China is getting there as couples are allowed to have two children." said Li Wei of Dongfeng Yueda Kia, the Korean automaker's joint venture in China.

According to the China Association of Automobile Manufacturers, MPV sales grew by 10 percent last year to 2.1 million. During H1, sales growth accelerated to 18 percent.

General Motors said of 60 models it plans to roll out for the China market in the next five years, around 25 will be SUVs or MPVs.

"MPV could be the new 'car of choice' for the average Chinese family," Mercedes-Benz's Wang said.