China Auto Imports More than Double

Automobile imports to China have more than doubled in the first 10 months of this year, compared to the sales figures of last year. The number of passenger cars imported reached 628,100 units from January to October in 2010, up 111.9% year on year, according to a report from the China Association of Automobile Manufacturers cited by the Yonhap news agency.

Almost half of the total number of sales, 273,700 units were compact cars, a 128.69% increase from last year.

"With this year's taxes being lowered, there has not been a massive effect on small car sales. The taxes were originally lowered as a way to combat the global financial crisis, while now the Chinese auto market is growing much stronger and shows that the mission has been accomplished," said Secretary of the China Association of Automobile Manufacturers, Mr. Zhang Boshun, referring to the Chinese government is canceling the preferential taxes on small displacement cars.

During the January-October 2010 period, China imported the majority of cars from five countries: Germany, Japan, South Korea, the United States and the UK, the report said.

October imports to China totaled 56,200 foreign cars, down 12.26% on a monthly basis, but up 23,12% compared to October 2009.

Automobile imports to China witnessed a linear growth from 2007 through 2008, increasing more than 30% year-on-year. However in 2009, due to the emergence of the global financial crisis, import growth was slowed to a mere 2.8% increase over 2008.

Analysts expect China's total auto sales to surpass the 17 million units mark this year, a 25% increase from the 13.6 million units sold last year.