China Auto Sales Could Grow by 12-15% Annually Through 2016 - AlixPartners (F) (GM)

Even as auto sales in China fell 0.25 percent to 1.55 million vehicles in April -- the country's first decline in 27 months -- consulting firm AlixPartners forecasts sales to grow by 12 to 15 percent annually through 2016.

AlixPartners bases its outlook on increasing wealth in the country, with households drawing annual income of about $9,262 expected to double over the next five years. The firm polled 40 senior executives.

Phasing out of government subsidies, raised fuel prices, and further control of traffic and pollution contributed to the decline in sales for China.

China automakers are expected to boost their market share from 28 to 34 percent, taking some away from Japanese automakers.

Additionally, electric and hybrid vehicles are expected to make up about 13 percent of the total in China, as the government encourages the purchase of such vehicles.

Stocks which may see upside as their respective companies look to deepen ties in the Chinese marketplace include: Ford Motor (NYSE: F), General Motors (NYSE: GM), Tesla (Nasdaq: TSLA) for its electric vehicles. Japanese automakers include: Toyota (NYSE: TM), Honda (NYSE: HMC), and Nissan (OTC: NSANY), among others.

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