Green light given to eco-friendly vehicles
By Gong Zhengzheng (China Daily)
Updated: 2006-01-05 06:07

Despite some discrimination, small cars are becoming more and more popular in China mainly because of soaring oil prices.

Statistics from the auto association showed that the proportion of less-than-1.6-litre car sales among domestically-made passenger vehicles grew to 66.1 per cent in the first 11 months of last year, from 62.5 per cent in 2004.

Sales of made-in-China passenger vehicles totalled 3.51 million units during the period, up 19.48 per cent.

Most domestic brands compete in the low-emission segment. These include Chery, Geely, Xiali, Chang'an and Hafei.

"We expect to perform much better than before thanks to the new policy. We will launch more low-exhaust-emission models," Qing Lihong, a sales manager of Chery Automobile Co, said yesterday in a television interview.

The notice also called on government departments to take the lead in using environmentally friendly vehicles.

Automobiles guzzle the bulk of China's petrol, and the country has been the world's second biggest oil consumer after the United States since 2002.

According to industry statistics, more than three-fifths of China's total petrol output and one-fifth of its diesel output are used by vehicles at present.

China's annual crude oil imports are forecast to grow to 190 million by 2010 from 123 million tons in 2004.

(China Daily 01/05/2006 page1)