China intends to tame proliferated automakers

Chinese authorities intend to prohibit the creation of new car companies. According to Reuters, is now in the Middle Kingdom already has more than 100 auto manufacturers, which produce different models.

And most of these car manufacturers are small companies that do not have a chance for serious development. That is why the Chinese authorities will compel automakers to join - if someone wants to do the release machinery, it would have to buy one of the already existing companies and invest in its development.

the companies will be allowed to associate with each other. As a result, as suggested in the leadership of China, will create large automobile holdings, which can compete with the world”s leading auto company.
 

In 2009, China became the world”s largest car market. According to the China Automobile Association, in 2009 in the Celestial Empire was sold 13.5 million vehicles (including trucks and buses), up 44% more than in 2008. Thus 87% of total sales accounted for Chinese automakers. For comparison, in the U.S. were sold all 10.43 million units, which is the worst figure for the last 27 years.

recall, this is not the first attempt to reduce the number of auto company in China. A year ago, the PRC government was planning to leave 10 of the 14 major manufacturing companies, which control 90% of the automobile market of the country. Under the plan the government, the country was to stay two or three manufacturers producing annually more than 2 million cars each, and four or five companies with output of over a million per year. The aim of the PRC government was to ensure the production and sale of not less than 10 million vehicles in 2009 and annual growth of 10% in the next three years.

China became the world leader in car sales in 2009. In 2009, China had sold 13.64 million vehicles (including heavy trucks. In second place were the United States with 10.4 million units of equipment.

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