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Jul 13, 2013

CARMAKERS NEWS * China: Cities restrict vehicle purchases

* China - Plans to further restrict car purchases 

Beijing,China -Associated Press/The Detroit News, by Louise Watt -July 11, 2013: -- China plans to increase the number of cities that restrict vehicle purchases in a bid to fight pollution and traffic congestion, state media reported Thursday... With more than 13 million cars sold in China last year, motor vehicles and their emissions have emerged as the chief culprit for the air pollution in large cities... Four cities, including Beijing and Shanghai, already curb the purchase of vehicles for private use, through lotteries and auctions of a limited number of license plates... Shi Jianhua, the deputy secretary general of the government-backed China Association of Automobile Manufacturers, was quoted Thursday as saying that eight more cities are likely to announce similar policies. The eight include the port city Tianjin, near Beijing, the metropolis Chongqing in the southwest and industrial powerhouse Shenzhen, not far from Hong Kong... Such restrictions might cut vehicle sales by 400,000 units, or 2 percent of total domestic sales, and have a “certain impact” on the country’s economic growth, the China Daily newspaper quoted... The China Association of Automobile Manufacturers, which consults with local governments and makes recommendations on vehicle policies, declined to offer details when called...

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