THE sight of jet black Mercedes limousines speeding along the roads of China's boom cities is becoming increasingly familiar.
Sales of the luxury German car have rocketed more than 15 times during the past 51/2 years, and the Southern Star Motor Company believes there is immense potential for expansion.
Sales manager Tony Leung Chun-wah said joint venture companies were their largest customers, and it was not uncommon for every department head to have a Mercedes at his or her disposal.
Under paramount leader Deng Xiaoping's reform programme, joint venture companies can apply for special licences which exempt them from paying import duties on cars.
''This makes a Mercedes 40 to 50 per cent cheaper than the same model locally, and larger companies are granted more licences,'' Mr Leung said.
He said his company had done exceptionally well this year, and about 1,500 vehicles had been delivered over the past six months.
''China is a vast country with more than 1.1 billion people. The vehicle density is still very low and we believe the market has great potential,'' he said.