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Home >> Gov't Regulation
  Beijing confirms plans to raise tax on small cars in 2017
Automotive News China | 2016/12/20

China's government confirmed media reports that it will raise the purchase tax on small vehicles next month, with the increase to be phased in over the next year.  Vehicles with engine sizes up to 1.6 liters currently carry a 5 percent purchase tax. That will be increased to 7.5 percent next year and 10 percent in 2018, according to an announcement by the Ministry of Finance.
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  GM price-fixing probe signals Beijing's ire at Trump
Reuters | 2016/12/20

BEIJING -- China's plan to punish a U.S. automaker accused of price-fixing is a sign of how Beijing could retaliate if President-elect Donald Trump upends decades of relations between the two nations.  Trump's assertion that the United States need not be bound by the policy that Taiwan is part of "one China" would erode a bedrock of U.S.-China ties that has underpinned the vast increase in trade and cooperation between what are now the world's two largest economies.
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  COMMENT
Beijing should let state-owned automakers sink or swim
Yang Jian | 2016/12/16

SHANGHAI -- When China joined the World Trade Organization 15 years ago, it had two big goals: attract foreign investment and help domestic companies gain access to foreign technology.  China's auto industry attracted plenty of investment, but domestic automakers never got the technology. Now Beijing is giving up the fight.  Last week, the government announced that foreign automakers can produce electric vehicles and batteries in China without sharing technology with their Chinese partners.  Pictured: Yang Jian is managing editor of  Automotive News China.
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  GM China to be penalized for monopolistic behavior, reports say
Reuters | 2016/12/16

 China soon will slap a penalty on General Motors' China unit for monopolistic behavior, according to media reports out of China today.  Initial reports from the  China Daily  newspaper didn't name the automaker, but Bloomberg, citing people familiar with the matter, reported that GM China was the target. 

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  COMMENT
Beijing's EV battery policy loses touch with reality
Yang Jian | 2016/12/2

SHANGHAI -- In recent years, Beijing has offered big incentives to encourage the sale of electric vehicles, despite scant interest among consumers.  Now Beijing wants to force-feed the growth of EV battery makers, too.  And like previous EV policies, Beijing's proposed battery rules have little basis in reality.   Pictured: Yang Jian is managing editor of Automotive News China.
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U.S. steel makers push Trump team for more trade defenses
Reuters | 2016/11/29

The top U.S. steel makers' association said it has been in contact with President-elect Donald Trump's transition team as the industry seeks tougher trade defenses under his incoming administration. Trade restrictions are tantalizing for an American steel industry struggling with foreign competition, notably Chinese companies, but analysts say new measures could trigger a backlash from U.S. automakers and other consumers who want unfettered access to overseas markets.

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  City of Beijing to ban polluting cars during smog alerts
Reuters | 2016/11/25

BEIJING -- Next year, Beijing will ban highly polluting old cars from being driven whenever air quality alerts are issued in the city or neighboring regions, the city's environmental protection bureau said. China has adopted various measures over the years to reduce the blankets of smog which shroud many of the country's northern cities in the winter, causing hazardous traffic conditions and disrupting daily life.

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  Beijing likely to extend tax break for small cars
Automotive News China | 2016/11/15

The Chinese government is expected to extend a 50 percent cut in the sales tax on small vehicles, according to an official with the China Association of Automobile Manufacturers, a government-backed industry body.  Government ministries are assessing the impact of the tax incentive on China's car market, Ye Shengji, vice secretary general of the association, said last week at a news briefing in Beijing. 
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  Infiniti weighs first EV with eye on China
Bloomberg | 2016/10/20

Nissan Motor Co.'s premium Infiniti brand is evaluating when to introduce an electric vehicle with the outlook for demand in China in mind.  Infiniti now offers nine models in China, of which five are SUVs and the remaining sedans. Six of the vehicles run on gasoline and the others, hybrid models.

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China, in crackdown, to legalize and regulate low-speed EV makers
Bloomberg | 2016/10/18

China plans to plug a regulatory gap and begin overseeing low-speed electric vehicles used mainly in the countryí»s rural areas, legitimizing a market segment that dwarfs sales of regular battery-electric cars made by the likes of BYD Co. and Tesla Motors Inc. Under current regulations, there are no rules governing the production and sale of EVs with top speeds below 100 kilometers per hour. The result has been a proliferation of cheap, poorly made EVs powered by polluting lead batteries that pose a threat to road safety and the environment, the government says.

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OF THE LAST WEEK
How sour dealer relations wreaked havoc on Audi's China sales

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GM unveils nine-speed automatic gearbox in China

Former Volvo China CEO joins EV maker

Chinese suppliers invest in U.S. component makers

Ningbo Jifeng Auto Parts to buy stake in German interior trim supplier

Light-vehicle deliveries dip in January

China sales of EVs, plug-in hybrids plunge 74% in January

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