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Domestic car sales up 12.4% month-on-month in Feb

(Xinhua)
Updated: 2009-03-10 17:16

Sales of domestically made cars rose 12.4 percent month-on-month and 24.7 percent year-on-year to 827,600 units in February, the China Association of Automobile Manufacturers (CAAM) said Tuesday.

Related readings:  Premier: China to boost second-hand auto market  China aims to cut auto groups to 10 from 14  Auto market optimistic after Jan sales  China automobile sales zoom past US

The association said sales were buoyed by government stimulus policies. On Jan 14, China announced a plan to halve the purchase tax on passenger cars with engine displacements of less than 1.6 liters to 5 percent, effective January 20.

"Passenger autos with engines under 1.6 liters accounted for 70 percent of the passenger vehicle market, so the bounce of small-engine cars played a critical role in the revival," Zhu Yiping, CAAM assistant secretary general, told Xinhua.

Domestic car production was 807,900 units, up about 23 percent from both a month and a year earlier.