Audi cuts prices

Audi announced it was reducing the prices of all of its China-made cars by up to 15% for the rest of this year to boost sales. The German luxury car maker, part of the Volkswagen AG group, is the latest brand to follow the price-cutting trend as manufacturers battle declining sales growth. A senior executive at First Auto Works, Audi's Chinese joint venture partner, told the China Daily the latest move meant the price of some cars had now dropped by almost US$8,000, taking into account previous promotions. Forecasts for car sales growth in China have been cut to 10-20% for 2004, a dramatic slowdown from 2003 when sales almost doubled.