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And foreign rivals ranging from Volkswagen to Toyota are offering more models to compete with Hyundai, squeezing its share as an affordable international brand.

Analysts say the action on joint ownership of companies is significant because, until now, the rules have limited carmakers' appetite for investing in China.

Analysts have forecast China could triple both its oil and liquefied natural gas imports from the United States this year, which could offer one solution to cutting the US trade gap and meeting China's energy demand.

Analysts said the recent breakthrough in finalizing the RCEP－which is hailed as what would be the world's largest trade bloc－is symbolically significant and a major achievement.

And there are signs that the strategy is beginning to pay off.