China will continue to expand auto export while strengthening the technology innovation and brand building, said Chinese Vice Premier Zeng Peiyan here on Sunday.

Chinese auto companies should bring in advanced technology and management expertise, enhance their research ability and build up their own brands, said Zeng when visiting the 2006 Beijing automotive exhibition.

China has grown into world third largest auto producer and second largest auto market. The exhibition opening at the weekend has seen an unprecedented presence of China's home-grown brands, roughly one third of of the 572 vehicles on show, according to the organizers.

Chinese brands currently account for about one quarter of China's auto sales. While consolidating their shares in low-end products, Chinese companies are moving into more lucrative markets now dominated by foreign carmakers.

Zeng said China should also develop more energy-saving, environmental-friendly cars, and new types of car fuels to alleviate the energy shortage.

The ongoing exhibition will be a platform to enhance exchange and cooperation in world auto industry, he said.

According to the organizers, the auto fair has attracted 1,500 companies from twenty countries and regions across the world. It is expected to draw 500,000 visitors.

(For more biz stories, please visit Industry Updates)