http://www.brillianceauto.com/invest...81011A_eng.pdf
Page 4 under New Investments: localiazation of X5 and BEV vehicles (iX5) by 2022.
Over the past ten years, SUV became super popular in China and manufacturers started to produce small-mid SUV’s in China. Models like X1 and X3 now have long wheel base versions tailored for Chinese market. Mercedes produces GLA and GLC’s in Beijing and others like XC60, Tiguan, Ford Edge, Evoque...etc are all made in China. For high end SUV’s, people have the option of buying parallel imports when Chinese government encourages such business when they setup free trade zones in more than eight cities starting 2016.
A parallel imported X5 costs roughly 20% less than its MSRP in China but you lose the warranty. With the new tariff parallel import dealers are hurting and I believe BMW has a hard time moving those high end SUV’s as well.
Interestingly, Brilliance’s stock 1114.HK was down more than 27% after it resumed trading on Oct 12th, the day after the announcement.