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Passenger car to see fast growth

By Su Yue (chinadaily.com.cn)
Updated: 2007-01-12 09:13

Special coverage: Auto China 2006  Related publication:        Related readings: Boom in passenger car sector expected Small passenger cars to face stricter ELV rules China's passenger car sales boom in April

China's automobile industry has witnessed a rapid growth in sales volume in 2006 and the passenger car market is expected to maintain fast growth in 2007, said Xu Changming, an official with the National Bureau of Statistics Bureau (NBS).

According to Xu, the director of Resources Development Department under NBS, the total sales volume of passenger cars in 2006 reached 4.22 million units, up 30 percent from the 2005 figure. The auto producers' average profit growth margin hit 50 percent. High-end vehicles have enjoyed an even higher sales growth rate.

China's auto sector underwent a brief ebb due to oil price hikes, but it soon returned to the fast track. During the six years since 2001, China's auto sector has enjoyed five years of fast growth, and the average annual growth rate for the 2001-2006 period is 36 percent, indicating the entry of China's passenger car market into a high-growth era.

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The full text is available in the January Issue ofAutoChina.