China’s passenger vehicle sales continued to grow in June but at a slower rate to the previous month, Bloomberg reported. The China Automotive Technology & Research Center said sales of cars, sport-utility vehicles and multipurpose vehicles grew 10.9% year-on-year to 839,228 against 34% growth in April and 25% in May. Fearing a severe cooling of car sales, the government last month said it would provide subsidies of renminbi 3,000 (US$440) on purchases of some fuel-efficient vehicles with engine displacement of 1.6 liters or less. Beijing had previously halved the purchase tax on cars last year but have since been reintroduced at 7.5%. However, most domestic and foreign carmakers are still showing strong sales growth. General Motors said its China sales overtook its sales in the US for the first time during the first half, selling a total of 1.21 million vehicles on the mainland.
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