China’s car dealers have banded together to put pressure on global automotive brands in negotiations over subsidies and sales targets — discovering the bargaining power of a united front, as the country’s auto sector did four and half years ago.

In 2010 a series of industrial actions emboldened Chinese car workers to agitate for greater pay and benefits. Dealers are now forming their own associations to extract concessions from companies such as BMW and Volkswagen.

In a letter circulating online, an association representing dealers that sell imported VWs have complained of persistently high sales targets, despite slowing economic growth and intense competition. China, the largest car market, reported its lowest quarterly growth figure in more than five years in October. Car sales data today are expected to show a year-on-year increase of 8 per cent, half the 2013 figure.