Notice on Importing Automotive Vehicles by Permanent Institutions

Jun. 21 – The General Administration of Customs recently issued a notice regarding automotive vehicle imports made by permanent institutions and permanent personnel, with the aim to safeguard the local automobile market.

Customs Collection [2010] No. 32, issued May 25, stipulates that from Jul. 1, 2010 onwards, Customs will not process applications for importing used automotive vehicles by permanent institutions or permanent personnel, unless otherwise provided with the Intergovernmental Agreement on the duty-free entry of automobiles, or high-level talents and experts invited by the government. Applications sent to Customs before Jul. 1st, 2010 are not restricted by the new notice. Read the rest of this entry »

China to Extend Auto Replacement Subsidy

Jun. 18 – China will extend auto replacement subsidies from May 31 to Dec. 31, the Ministry of Commerce has announced.

The implementation of the auto replacement policy aims to encourage the elimination of high-emissions and polluting vehicles, and to stimulate automobile consumption, according to the MOC. Read the rest of this entry »

China’s Large SOEs Increasingly Matchmaking For Western Partners

Op/Ed Commentary: Chris Devonshire-Ellis

CHANGCHUN, Apr. 21 – As my regular tour of Northeast China cities continues, it is becoming apparent that the benefits to a foreign investor of participating in joint ventures with China’s large state-owned enterprises is spinning off in ways that no one had imagined a few years ago.

Take the massive state-owned First Auto Works (FAW) for example. In the past, I have spent many hours negotiating with a variety of foreign auto manufacturers in FAW’s gigantic offices in Changchun, not least for a division of Fiat. These talks could be protracted and the China side often unfamiliar with Western accounting and financial modeling. In the early days of Sino-foreign JVs, FAW was the game in town – producing everything from cars, trucks, buses and coaches to auto parts and even trams and railway carriages. Cold frigid winter days and a reputation as a rust belt did not do Changchun’s image much good, neither did the sight of farmers wearing blue Mao jackets and trotting along the side streets on donkey and cart. Detroit seemed sophisticated by comparison. Read the rest of this entry »

Daimler and BYD Sign MOU for China Electric Cars

Mar. 3 – Daimler of Germany and BYD, the Shenzhen-based, Hong Kong-listed small auto manufacturer, have signed an agreement to develop and sell electric cars on the Chinese mainland.

The deal could be worth up to US$150 million in a joint venture to develop fully electric vehicles.

“This is cooperation between the most senior car maker and the youngest, between the country with the best car industry and the country with the biggest car market,” BYD’s General Manager Henri Li stated at a press conference. Read the rest of this entry »

China Briefing Partners with China Daily and IBISWorld to Provide China Industry Reports

Mar. 2 – China Briefing has partnered with China Daily and the market research firms All China Marketing Research and IBISWorld to provide a series of industry reports covering a number of sectors

Written by dedicated researchers from China Daily and ACMR-IBISWorld, these reports are listed on the Asia Briefing Bookstore and include the following titles:

China Daily
AutoChina
China Banking
China Energy Read the rest of this entry »

China to Maintain Fiscal, Monetary Policies Until Next Year

Dec. 8 – China has confirmed that it would maintain its current fiscal and monetary policies until next year to sustain economic growth during the annual Central Economic Work Conference Monday.

The year 2010 is the last year of Beijing’s 11th five-year plan so the decision to continue with current stimulus plan is not only good news for China but for the rest of the world counting on the China market to augment sagging Western demand. Attending high ranking policymakers and officials during the three-day conference agreed that the global financial crisis has highlighted the urgency to transform the country’s economic development policy reports China Daily. Read the rest of this entry »

Claim Deadline for Input VAT Credits Extended

Dec. 3 – China’s State Administration of Taxation (SAT) has issued Circular 617 that extends the claim deadline for input value-added tax credits for certain invoices from 90 days to 180 days after issue date starting January 1, 2010.

The circular covers VAT invoices, land and river good transportation invoices, motor vehicle sales invoices, and VAT payment vouchers. Input tax credit claims can be filed within the tax filing period immediately following the month in which the invoices were verified. Read the rest of this entry »

Vehicle Sales Tax Breaks to Continue Next Year

Photo: SmokingPermitted - Cosa sono? La bambina dei no/Flcker Nov. 30 – Vehicle sales tax breaks and rebates for fuel-efficient vehicles are set to be extended to next year ensuring the continued strength of the Chinese automobile market.

The preferential tax policy was intended to be applicable only until the end of this year when vehicle purchase taxes were slashed by half for vehicles with 1.6 liter engines or smaller. According Global Times, the measures will either be adjusted to continue the current policy or rebates may be given based on fuel consumption. Read the rest of this entry »

Revitalization Programs Set for Five Industries

BEIJING, Nov. 24 – Beijing has launched revitalization programs for five industries, including the automobile industry, urban industry, biology and medicine industry, equipment manufacturing industry and new energy industry.

The plan spans from 2009 to 2011 and will involve strengthening technical reforms and infrastructure construction. Specifically, Beijing wants the revitalization program for the automobile industry to involve the new energy industry with 500 electric operated taxis by the end 2010. Read the rest of this entry »

China’s SOEs Post 9.2 Percent Profit in October

Nov. 23 – China’s Ministry of Finance has stated that the nation’s state-owned enterprises recorded an average 9.2 percent profit level in October over September’s figures, boosted in part by growing demand for vehicles and housing.

The previous ten months – November 2008 through August 2009 – had all shown a decline in profits of about 10.6 percent from the previous year. The September-October increase represents the first month on month growth for nine months. Read the rest of this entry »

The Asia Briefing Bookstore