During the year 2009 China’s auto industry reorganising plan introduced

China to 15 foremost vehicle businesses into less than 10 designs are advancing with the end of this year will be handed out before the amalgamation and reorganization automakers plan. Ministry of Industry and Information (hereinafter mentioned to a note the Department of Public Works), vice minister of Miao yu4 19 at the Shanghai International Auto Show, said Summit.

Miao yu said, at present, the Department of Public Works has launched a letter promoting the development of corporate restructuring vehicle guidance, the policies will accelerate the introduction of measures to promote the proper solution of the placement of surplus production personnel to resolve the transfer of enterprise assets to resolve the debt with the approved the problem of disposal to support the auto industry through mergers and restructuring of products to integrate resources, enhance their competitiveness.

Miao yu said that in the automobile commerce restructuring and revitalization design for China’s auto enterprises to boost the degree of engrossment of a exact demand that the present 15 large-scale enterprises into the vehicle less than 10, but there are numerous matters which need to be resolved. Such as levy matters, an enterprise of the vehicle by other provinces after the amalgamation rate, the levy is paid by the head agency or stay in situ. “The difficulty is not settled, it is tough to get the support of localized government. Similar to many of this problem.”

He revealed that before the end of this year, the State Council will be out of the auto commerce amalgamation and reorganization plans.

Miao yu said that the history of a rare international financial crisis on China’s industry has resulted in serious shock. China’s auto market from the beginning of the third quarter of 2008 had few negative growth, declining effectiveness of key enterprises, a substantial decline in exports, own brand, and small and medium-sized enterprises face great difficulties.

Crisis and the external appeal is shrinking and so on, but also with the Chinese automobile industry self-development among the existing contradictions and difficulties related. For case, irrational industrial plan, technological crosswise is not high, the scope for of independent advance is thinned, the imperfect consumer policy and other distributes are also noteworthy causes.

Miao yu said, thus, China’s automobile industry reorganising and the revitalization plan, is to enhance protection, enlarge worker appeal, transfer the plan of merge consumption through the implementation of positive policies, stability and deductions of consumer appeal in automotive, reorganising as the main row, promote the reorganization of enterprises, to move ahead the technological development and the essential to the independent advance, to encourage the expansion of have brand enterprises, and promote novel energy automobiles and essential parts and constituents industry, and the formation of novel competitive advantage.

In the implementation of technology, the auto adjust and clear the next three years planning to revitalize the central finance will arrange 10 billion yuan of special funds to support the auto focus on the technical transformation of enterprises, technological advances, as well as new cars and special parts and components of energy development. Miao yu disclosed, involving the local automotive technological enterprises continue funding approved next week, involving the central motor vehicle business will be the organization of technical projects for the deployment of next week.

The first quarter of 2009, introduced as a result of the inside and on the floor heading down 1.6 liters displacement cars and car pay for tax by half of the subsidies go to the scenery moped, automobile demonstration and sales growth demonstrating a gradual trend of year-on-year passenger car sales growth to achieve the double. Displacement 1.6 liters and on the floor heading down the first quarter of the passenger cars traded a total of 1.41 million terminal year, an enhance of 21.7% through the same time span, total passenger car market portion of three quarters, forcing appearance on the market significantly.

Miao yu said, if the implementation of these policies for some time in the car sales market after the stimulation, then gradually cooling, we will consider the introduction of more powerful incentives.