MUNICH (Bloomberg) -- Rolls-Royce car sales in China are being hit as the nation's wealthy pull back from ostentatious purchases amid a government crackdown on graft and conspicuous consumption.
"There's a cool wind blowing in China on Rolls-Royce sales," Peter Schwarzenbauer, the BMW Group board member who oversees the ultraluxury unit, said Wednesday in Berlin. "We've adjusted production" to adapt to a decline of as much as 15 percent in Chinese deliveries.
The decline at Rolls-Royce reflects slowing sales of luxury models, as China's millionaires rein in spending. Audi, the best-selling premium car brand in the country, last month posted its first sales decline in the country in more than two years. In addition, BMW brand's year-on-year China sales dipped last month for the first time in a decade.
Premium carmakers such as BMW have long enjoyed double-digit growth rates as newly wealthy Chinese flocked to cars like the 7-series sedan.
Globally, sales of Rolls-Royce vehicles, such as the 345,000-euro ($385,800) Phantom, declined 13 percent during the first quarter to 781 cars. Last year, the marque sold a record 4,063 autos, a rise of 12 percent.
Schwarzenbauer told the Automotive News Europe Congress earlier this month that Rolls-Royce would fail to set a new global sales record in 2015, largely because of the slowdown in China.
"The money is there, but people don't want to show off by driving around in a Rolls-Royce," he said.