China as the World's Largest Automobile Market

China made history in the first quarter of 2009 to become the largest auto market in the world for the first time. Thanks to China's sound economic fundamentals and government stimulus package, China's automobile industry is now the only automobile market to exhibit robust growth. The formation of auto giants with large production capacities is expected to be the key strategy to strengthening the global competitiveness of domestic automobile enterprises. However, the implementation of the mergers and acquisitions (M&A) strategy is a difficult task. Also, China is seeking to drive the development of green-energy technology to become the world's largest producer of alternative fuel vehicles; while the development of new forms of engine-driven vehicle will be a long-drawn-out business.