Things are starting to get interesting in China's automobile market. Ford (F) and General Motors (GM) hope to continue to benefit from the falloff of Japanese automakers (HMC, TM, NSANY.OB) through their local joint ventures, but domestic firms are starting to understand the need to ramp up quality and innovation in order to compete. As it stands now, domestic brands only account for a third of all sales - short of the Beijing's target for 40% share. Volkswagen (VLKAY.PK) appears to be all-in with 70% of its new plants slated for China, while even Tesla Motors (TSLA) thinks it can make a splash in the region.
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