22 September 2012

China SignPost™ (洞察中国) #66–“Kings of Coal to Barons of Bling? Xinjiang’s Coal Boom will Drive Sales of Bentleys, BMWs, and other ‘Bling’”

Gabe Collins and Andrew Erickson, Kings of Coal to Barons of Bling? Xinjiang’s Coal Boom Will Drive Sales of Bentleys, BMWs, and Other ‘Bling’,” China SignPost™ (洞察中国), No. 66 (21 September 2012).

China SignPost™ 洞察中国–“Clear, high-impact China analysis.”©

So what do coal mines have to do with high-priced Bentley automobiles? In Chinese coal mining towns, a lot. The roster of Bentley dealerships in China is remarkable because while it includes the predictable wealthy East Coast cities like Beijing, Shanghai, and Guangzhou, it also includes Ordos and Taiyuan, who are better known for their coal mines than for their flashy banks and brokerage houses (Exhibit 1). It is very likely that a similar economic boom is coming for Xinjiang, which is on track to become one of the world’s largest coal producers. …