In the first nine months of the year, Mercedes has sold 203,485 vehicles in China, up more than 30% year-over-year. U.S. sales in the same period totaled 233,211, just 15% higher than total sales in China and up 8.4% year-over-year compared with the first nine months of 2013.
So, we wondered, what is the total Chinese market for a Mercedes? In 2013 there were 19.38 million Chinese households with assets worth more than $491,000. Income in those households, which a Chinese survey dubbed the top 1% in the country, averaged about $246,000.
A top-of-the-line Mercedes S-class sedan could cost as much as $486,000 in China according to a report last year in Businessweek. So while a one percenter in the United States with an average income of $506,000 might be a better bet to buy a Mercedes, there are a lot more Chinese one percenters making up the average household income.
The Chinese government accused Mercedes of price-fixing last year, and last August the company was found guilty of manipulating prices on after-sales services in China. That could cost the company up to 10% of revenues when the penalties are assessed.
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