China's Auto Industry Output to Hit ¥4t

The output of China's automotive industry will likely reach ¥4 trillion in 2010. The industry's profits are expected to grow up to 90% this year, well above the 40% pace for the output, according to Zhang Xiaoyu, deputy director of the China Machinery Industry Association. "Auto production and sales are both set to exceed 18 million units this year," Zhang said. "Although growth will slow in 2011, China's auto industry is still in a booming period that will last for the foreseeable future."

The Beijing city government last week introduced a set of measures to curb the number of vehicles sold in the city to ease severe congestion. The new policies could drag the city's new car sales down as much as 70% next year but would likely not have an noticeable impact on the nation's auto sales as a whole.

Source: http://www.yicai.com/news/2010/12/637803.html