Ministry of Commerce last Tuesday held a meeting on topics about expanding domestic demand in Beijing. Officers in the meeting said “Room for automotive market is still huge and the policy for stimulus the market can be still expected”. According to the news on website of Ministry of Commerce, related government department are considering and automotive can drive the domestic demand enormously. For issues like the renew of old-for-new policy, car-go-rural policy and car purchase tax cutting policy, there is no final decision and the government is considering collaboration of these policies.
It is another positive sign from government since last statement by MIIT. From Jan.-Oct. China’s automotive market boomed 37.7% and the whole year auto market size will reach 13 million units. China is will top America and become the biggest auto market this year. Car purchase tax cutting policy is considered as a major source of the market booming. According to the policy, vehicles under 1.6L only to be levy 5% car purchase tax and before this the tax levy rate is 10%. For the rest two policy, insiders also believe they made contribution to the auto market booming this year.
It is another positive sign from government since last statement by MIIT. From Jan.-Oct. China’s automotive market boomed 37.7% and the whole year auto market size will reach 13 million units. China is will top America and become the biggest auto market this year. Car purchase tax cutting policy is considered as a major source of the market booming. According to the policy, vehicles under 1.6L only to be levy 5% car purchase tax and before this the tax levy rate is 10%. For the rest two policy, insiders also believe they made contribution to the auto market booming this year.