During the year 2009 China’s auto commerce restructuring design presented

China to 15 principle car businesses into smaller diagram than 10 prepares are proceeding with the end of this year will be liberated in the past the merger and reorganization automakers plan. Ministry of Industry and Information (hereinafter referred to a letter 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 industry restructuring and revitalization plan for China’s auto enterprises to increase the degree of concentration of a specific request that the present 15 large-scale enterprises into the car less than 10, but there are many issues which need to be resolved. Such as tax issues, an enterprise of the car by other provinces after the merger rate, the tax is paid by the headquarters or remain in situ. “The problem is not resolved, it is difficult to get the support of local government. Similar to a lot 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 annals of a uncommon worldwide economic urgent position on China’s commerce has produced in grave shock. China’s auto market from the starting of the third quarter of 2008 had couple of contradictory development, falling effectiveness of key enterprises, a considerable down turn in trade items, own emblem, and little and medium-sized enterprises face large difficulties.

Crisis and the external demand is shrinking and so on, but also with the Chinese automobile industry self-development among the existing contradictions and problems related. For example, irrational industrial structure, technological level is not high, the capability of independent innovation is weak, the imperfect consumer policy and other issues are also important 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 mechanical supplies, the auto amend and remove the next three years planning to revitalize the inside account will organise 10 billion yuan of special funds to encourage the auto strengthen on the systematic development of enterprises, technological accesses, as well as novel cars and special parts and constituents of energy development. Miao yu uncovered, involving the provincial automotive technological enterprises reach funding sanctioned next week, involving the inside motor motor vehicle finance will be the organization of systematic endeavours for the deployment of next week.

The first quarter of 2009, introduced as a result of the central and below 1.6 liters displacement cars and car purchase tax by half of the subsidies go to the countryside motorcycle, automobile production and sales growth showing a gradual trend of year-on-year passenger car sales growth to achieve the double. Displacement 1.6 liters and below the first quarter of the passenger cars sold a total of 1.41 million last year, an increase of 21.7% over the same period, total passenger car market share of three quarters, pulling effect on the market significantly.

Miao yu said, if the implementation of these principles for some time in the vehicle sales market after the stimulation, then step-by-step chilling, we will address the introduction of more mighty incentives.

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