皇冠体育app

General Motor Co's Buick booth at the Beijing International Auto Show in April. The US automaker sold 199,503 vehicles in 皇冠体育app in July, a 15.1 percent year-on-year increase. [Photo/皇冠体育app Daily]

But curbs to limit car purchases may slam brakes on industry

General Motors, the largest foreign automaker in 皇冠体育app measured by sales, reported record monthly sales numbers for the sixth consecutive time.

But a growing national trend to limit automobile ownership locally looms as a possible hindrance to sales in the future.

The US automaker said on Monday that it set a July record by delivering 199,503 vehicles in 皇冠体育app, a 15.1 percent increase from last year's previous high for the month. It was the sixth such report General Motors has made since February.

Shanghai GM's sales in 皇冠体育app rose 5.7 percent on an annual basis to a July record of 97,064 units. SAIC-GM-Wuling's sales reached 98,694 units, an all-time high for July and an increase of 26.6 percent year-on-year.

FAW-GM's sales were up 3.1 percent to 3,379 units, the US auto company said.

For the first seven months of 2012, sales by General Motors and its joint ventures in 皇冠体育app were up 11.7 percent on an annual basis to 1.62 million units, surpassing last year's record for the period.

Kevin Wale, president and managing director of the General Motors 皇冠体育app Group, said last month that General Motors expected sales increases to remain steady in the second half, driven by demand in 皇冠体育app's interior provinces, as demand for its products in all important segments are strong despite signs of slowing economic growth in 皇冠体育app.

General Motors' strong market performance showed strong monthly sales in July around the country, just as Rao Da, secretary-general of 皇冠体育app Passenger Car Association, predicted.

"Domestic sales in July will be similar with the number in June, which will speed up the recovery of 皇冠体育app's passenger vehicle market over the coming months," Rao said.

However, 皇冠体育app's still-growing automobile market is facing difficulties as more major cities are launching strict policies to limit the number of vehicles in response to traffic and environmental concerns.

Guangzhou recently became the fourth city to limit car purchases by restricting vehicle registrations, following Beijing, Shanghai and Guiyang, in Guizhou province.

Analysts said the vehicle purchase limits in Guangzhou won't seriously affect the local market in the short term, but will inspire more cities to follow suit.

Xi'an, capital city of Shaanxi province and one of the fastest-growing vehicle market in 皇冠体育app, said last week that it is considering putting caps on automobile sales as it issued a traffic policy draft to collect public opinions.

Dong Yang, general secretary of the 皇冠体育app Association of Automobile Manufacturers, strongly disagreed with the local governments' sales curbs.

"The policies go against the central government's appeal for 皇冠体育app's stable growing economy, and it's unfair to citizens who don't yet have their first car," Dong said.

Statistics show that Beijing's sales cap, which started in December 2010, has lowered the national vehicle sales growth rate by 3 percentage points.

"If other big cities, like Hangzhou, Tianjin, and Nanjing all follow suit, 皇冠体育app's vehicle market will stop growing in the coming years," said Jia Xinguang, an auto analyst in Beijing.

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