国产热热热精品,亚洲视频久久】日韩,三级婷婷在线久久,99人妻精品视频,精品九热人人肉肉在线,AV东京热一区二区,91po在线视频观看,久久激情宗合,青青草黄色手机视频

USEUROPEAFRICAASIA 中文雙語(yǔ)Fran?ais
Business
Home / Business / Motoring

Favorable policy to expire next month

By LI FUSHENG | China Daily | Updated: 2016-11-28 08:04

Favorable policy to expire next month

China's favorable policy on car purchase tax is due to expire next month.[Photo provided to China Daily]

Tax breaks on vehicles with low engine sizes will end by start of 2017, unless lobbying groups prevail

China's automotive industry might suffer in 2017 as the country's favorable policy on car purchase tax is due to expire next month, said industry insiders and analysts.

The policy was introduced in October 2015 to boost lackluster market performance. Currently, customers that buy cars with engines no larger than 1.6 liters are entitled to a 50 percent discount on the purchase tax, which usually stands at around 10 percent of a car's sticker price.

Shi Jianhua, deputy secretary-general at the China Association of Automobile Manufacturers, told the Changjiang Times newspaper that if the policy cannot be extended, the overall car market would see "a growth rate less than 2 percent or even negative growth in 2017".

CAAM statistics show that a total of 22 million cars were sold in the first 10 months of 2016, representing 13.8 percent growth year-on-year.

Of these, 19 million were passenger cars. Those with engines no larger than 1.6 liters totaled 13 million vehicles, accounting for 72 percent of passenger cars, which is 4.1 percentage points higher than in the same period last year.

Chen Shihua, the association's deputy general secretary, said such cars have accounted for 70 percent of passenger car sales "every single month" this year. "We can say that it has played a positive role in boosting the market's performance," he added.

Automakers have also voiced their concerns that sales will fall after the removal of the favorable policy, which has stimulated consumer demand.

Jochem Heizmann, president and CEO of Volkswagen Group China, said, "If the government really stays on their present decision that this (policy) will sharply end at the end of this year, you can expect a big negative impact in the first quarter next year."

Nigel Harris, president of Changan Ford Automobile Co Ltd, has similar concerns. He expects that in the first quarter of 2017, the market will see some slowdown. "We have been seeing a lot of sales activity in the fourth quarter this year because the policy is set to expire at the end of the year, and a lot of people are buying, taking advantage," he explained.

He said extending the policy would "make sense" as the automotive industry has been a big contributor to China's economy and employment.

In an earlier interview, Shi at the CAAM said the association will lobby to extend the policy. Various Chinese media have reported that the authorities are considering the suggestion, with some departments in favor of it and others having not yet expressed their viewpoints.

Li Weili, an official at the State Information Center, said at the China Automotive Dealers Association's annual conference earlier this month that the policy may be adjusted to give a 25 percent discount on the purchase tax, which would spur the auto market to grow by around 4.4 percent year-on-year.

But he added that the possibility of extending the policy as it was or removing the policy cannot be ruled out.

Credit ratings agency Fitch Ratings Inc expects that the Chinese authorities are likely to extend the tax break for another year, but clarified that "a late announcement, say in December, will probably reduce sales in the first quarter of 2017 more than if it came earlier".

Most Viewed in 24 Hours
Copyright 1995 - . All rights reserved. The content (including but not limited to text, photo, multimedia information, etc) published in this site belongs to China Daily Information Co (CDIC). Without written authorization from CDIC, such content shall not be republished or used in any form. Note: Browsers with 1024*768 or higher resolution are suggested for this site.
License for publishing multimedia online 0108263

Registration Number: 130349
FOLLOW US
望谟县| 大埔县| 南郑县| 岳普湖县| 托里县| 榆林市| 阳谷县| 台安县| 安西县| 连州市| 黑山县| 左贡县| 浮梁县| 轮台县| 招远市| 元江| 鹤山市| 兴和县| 巴南区| 河曲县| 崇州市| 广灵县| 封开县| 泾源县| 合肥市| 海口市| 星座| 南丰县| 青神县| 汾阳市| 高密市| 巴南区| 固原市| 宁安市| 遂平县| 遵义县| 湾仔区| 静安区| 东至县| 社旗县| 公安县|