Rays of recovery - Chinese auto production to exceed 15 million in 2010

Tuesday, 10 Aug 2010
Xinhua cited Mr Dong Yang secretary general of the China Association of Automobile Manufactures as saying that China annual production and sales of new autos will both surpass 15 million vehicles this year.

Mr Dong said rapid growth in auto sales during the first several months of 2010 was due to last year low comparison base and it was not representative of the true picture in the industry.

He said that "The current slowed growth in auto sales is beneficial for the sustained development of the industry, while a too fast growth may put a lot of pressure on the environment and use of energy."

As for auto inventories, Mr Dong said they remain within normal range, though the average stockpile period lengthened to 58 days in July from 55 days in June. He said that based upon June exports, China total auto exports for the year will hit or even exceed the 2008 levels seen before the financial crisis.

Auto sales in China continued to rise in July, though at a slower pace than in previous months. The growth rate slowed from 124% in January to 40% in April to 17.18% in July.

(Sourced from Xinhua)