Mercedes drives to the summit of China's luxury automakers

GUANGZHOU -- Mercedes-Benz became the top seller among China's luxury auto suppliers for the first time in 2017 as longtime leader Audi's first-half sales slowed amid a dealer boycott.

Mercedes' sales jumped well over 20% to around 610,000 vehicles, including the Smart microcar brand. The Daimler group automaker narrowly topped the roughly 590,000 units moved by Audi, whose sales came in flat on the year.

Audi's tally dropped 12% for the January-June half as dealers refused its imports over differences regarding sales operations involving a local joint-venture partner. Sales for the Volkswagen group brand did pick up in the second half, but not enough to stay in the pole position.

BMW's sales increased 15% to around 590,000 units, including the Mini brand.

Audi has become a symbol of luxury autos in China by winning the hearts of the affluent and supplying many government vehicles. But President Xi Jinping's anti-corruption and frugality campaigns have applied the brakes to purchases of government vehicles.

The German trio dominating the luxury auto segment in China will likely continue to wage intense warfare this year.