8 cities in China may implement purchase restriction policies

On July 10, Dong Yang, executive vice president and secretary general of the China Association of Automobile Manufacturers, declared that cities such as Tianjin, Shenzhen, Hangzhou, Chengdu, Shijiazhuang, Chongqing, Qingdao, and Wuhan may impose automobile purchase restriction policies.

It is estimated that if the above 8 cities' purchase restriction policies are implemented, it will cause a decline of about 25% in the sales of local automobiles, and directly reduce the sales of automobiles by about 400,000 vehicles, accounting for about 2% of the country's annual sales of automobiles. Dong Yang said that this year's economic growth has been reduced to about 7%, while the auto industry growth rate remained at 10%, if the suppression of auto consumption through purchase restrictions, it is bound to affect the industry-wide output value, and even the overall goal of the national economy.

Since the implementation of the three-city purchase restriction policy in Beishangguang, the market share of self-owned brand passenger vehicles has declined by nearly 50%. Dong Yang pointed out that in these cities, self-owned brand cars have actually been marginalized, resulting in the main reason for the decline in the share of the main brand market in the past two years.