In China buyers of BMWs prefer cars in either white or silver

Earlier this week, US car maker GM said it would invest another $3bn in China.

Big investments and a string of new models highlight that China has come of age in the world of automobiles.

The Beijing AutoChina show, which opens officially on Thursday, is the showcase for a market where sales jumped by 75% last year.

China car sales 2003 VW 800,000 GM 650,000 Mitsubishi 151,000 PSA Peugeot Citroen 150,000 Ford 120,000 Honda 120,000 Toyota 98,000 Nissan 74,000 DaimlerChrysler 37,000

China is the world's third largest car market with sales of over 2 million cars in 2003.

DaimlerChrysler will "invest in passenger cars, jeeps and commercial vehicles," according to Roman Fischer, chairman and chief executive of DaimlerChrysler China.

The planned investments include a medium and heavy-duty truck manufacturing plant, an auto components manufacturing operation in Beijing and a Mercedes-Benz van manufacturing plant in southern China.

Ford plays catch-up

DaimlerChrysler's announcement is bad news for its 37%-owned subsidiary, Mitsubishi, which was hoping for a cash injection.

Last month Mitsubishi announced a revival plan that placed China as its main hope for survival and is still reeling after DaimlerChrysler decided not to come to its rescue.

Many car makers are also unveiling new models at the show and, with Chinese buyers in mind, giving more space and European styling for added status appeal.

Ford's new four-door Focus is "geared to Chinese needs," said Ford, aimed at "the needs and aspirations of Chinese consumers". Ford also plans to unveil a new version of the Mondeo for the Chinese market.

China is being targeted by Ford as a market where it needs to catch up with rivals.

It signed a deal in February this year to build a second manufacturing plant in China's eastern Jiangsu province.

Production at the plant, just outside Jiangsu's capital Nanjing, will start once government approvals are obtained.

Meanwhile Volkswagen, the market leader in China, said it was considering producing its Skoda line of cars in China in its an effot to preserve its market share.

"We have to bring more brands of the group to China," said Walter Hanek, Volkswagen executive vice president.