China's auto industry discusses ways to boost rural car sales: sources

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China's auto industry executives met with government officials over the weekend to discuss ways to promote higher car sales in rural areas, ...

BEIJING/SHANGHAI: China's auto industry executives met with government officials over the weekend to discuss ways to promote higher car sales in rural areas, sources familiar with the matter said.

He declined to provide details of the discussions but said participants had agreed that the current sales decline was normal give how China's car market was still developing. China's state planner had issued a series of measures in June to revive a slump in car sales but these had fallen short of automakers' expectations and done little to spur sales.Sources with knowledge of the meeting said government officials told participants they were considering policies to expand the second hand car market in rural areas and to improve vehicle retirement policies. They also urged firms to develop electric vehicle models that are suitable for the rural market.

A senior official at CAAM told Reuters last month auto sales in China may drop around 8per cent to 26 million this year but were ultimately still on track to hit 30 million by 2023 with further headroom.

 

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