Luxury boom in China

It is a huge, unsated market and analysts predict the upper-end shows no signs of slowing.

Five Aston Martin One-77s, at around $6 million each, were reportedly sold at the Shanghai Auto Show this week and two Shanghai Special Maybachs ordered at $2 million a piece.

So premium and upper-end players _ primarily European marques _ are paying even closer attention to China as it heads to boasting one million millionaires.

Most makers came to pay their respects at the dazzling Shanghai Show, some with international premieres such as the Mercedes A Class concept, BMW's M5 concept, the new Beetle, Audi's Q3 and the dramatic Citroen DS5.

Peugeot debuted a 508 sedan for the local market and took the wraps off the SXC concept car styled here while the Chinese-owned Volvo unveiled the elegant Concept Universe sedan.

For Jaguar Land Rover China this is today their third largest market. Jaguar sales here were up 40 per cent in the first quarter, Land Rover up 50 per cent.

JLR China president Bob Grace says his company has a major commitment to China and Chinese consumers. The company now has 200 employees and 100 dealers; future product tailored for this area will include smaller displacement engines, diesel engines and long wheelbase sedans to cater for local tastes.

"The Chinese consumer understands premium luxury brands," says Grace.

And chasing wealthy customers looking to stand out on the crowded streets is attracting the likes of German customisers Brabus and Hamann which debuted in Shanghai this week with a wild, 515kW version of the SLR McLaren among their tent full of hot-rodded supercars.