China is determined to raise its annual domestic car sales to 10 million units this year, and also wants sales to grow by another 10% every year for the next three years. It aims to achieve those numbers with a comprehensive investment in the company's transportation sector, beginning with merging China's 14 major automaking groups into ten. Doing so, they say, will help the development of new products and seriously slash costs in overlap.

The government's long term vision of the auto landscape in China would be three large automakers selling more than two million vehicles per year and at least four smaller groups selling above a million. To insure that they all have buyers, Chinese authorities will buy more Chinese cars, subsidize rural purchasers with 5 billion yuan ($732 million) in subsidies, offer rebates to those trading in used cars for new ones, eliminate road tolls and expand urban infrastructure. It's ambitious, for sure, but if the government can get the industry to go along, China certainly has the money to handle the rest.

[Source: Gasgoo, Photo by China Photos/Getty]


I'm reporting this comment as:

Reported comments and users are reviewed by Autoblog staff 24 hours a day, seven days a week to determine whether they violate Community Guideline. Accounts are penalized for Community Guidelines violations and serious or repeated violations can lead to account termination.


    • 1 Second Ago
  • From Our Partners

    You May Like
    Links by Zergnet
    Cars for Sale Near You

    Share This Photo X