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Auto industry slows down
(peopledaily.com.cn)
Updated: 2004-10-11 15:17

China's top 15 auto companies have generally kept good momentum in the first eight months this year, but the rate of growth has dropped compared with that of the beginning of the year.

In addition, most auto factories have seen profits dropping.

In the first months of the year, 15 key enterprises realized a sales income of 388 billion yuan, or almost US$47 billion. That's up over 21 percent over the same period last year.

Sales income for First Auto Works, Shanghai Auto, and Dongfeng Auto accounted over 50 percent of those 15 companies.

During the same period, the 15 enterprises registered a profit of better than 31 billion yuan, or US$3.8 billion, up 5.4 percent over the same period last year.

Experts say the high cost of raw materials and price wars in the car market contributed to the phenomenon.

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