Already faced with slow development and slight overcapacity, the automaker's position as China's leading premium car manufacturer is coming under grave threat from its fiercest rivals

Audi retained its top position in China's premium car segment last year, but the good days might be over soon as its arch rivals are catch up fast and tough negotiations with its rebellious dealers are pending.

The German brand sold 589,000 cars to Chinese people in 2016, about 70,000 cars more than BMW and 110,000 cars more than Mercedes-Benz, but its pace of growth is much slower.