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China has reversed a policy that would have nixed incentives for investments from foreign automakers, paving the way for further expansion by General Motors, Volkswagen and others. Legislators had removed automotive manufacturing from the list of industries that would receive government support in the future, but foreign investment fell off significantly in April. The country's National Development and Reform Commission responded by not only reinstating foreign automotive investment but by givin


The Chinese government is enacting escalating fleetwide fuel-economy standards that may be fairly reasonable for 2015 but become far less realistic at the end of the decade.

2009 BYD F3DM - Click above for high-res image gallery

Chinese National Radio recently reported that Tengzhong wouldn't be allowed to purchase Hummer due to environmental concerns. The company released a statement after that news broke saying that while there was no "definitive agreement," the CNR report wasn't based on facts from the government regulatory body in question, and Tengzhong is still working on the deal.

2008 Hummer H2 - Click above for high-res gallery

For the past decade or so, China has been looked upon by the automotive industry as something approaching a gold rush in waiting, with millions of units ripe for the selling. That may yet be true, but it's hard to reconcile that with the notion that China overbuilt to the tune of two million excess vehicles last year, and plans are in the works for about eight million more units. This, according to the country's National Development and Reform Commission.