China passenger car sales rise 8% in Dec '08

Shanghai, January 9 (Gasgoo.com) China's passenger car sales rose more than 8% in December 2008 after seeing a big fall in November, Reuters reported Friday, citing an announcement from the China Passenger Car Association.

In December, passenger vehicle sales rose 8.1% year-on-year to 644,028 units while output down 18% year on year at 493,806 units, the association said.

Full-year sales of passenger vehicles in China, excluding exports, rose only 7.4% to 6.43 mln units in 2008, a significant fall from the double-digit growth rates seen in recent years, as the global recession stunted demand.

Car sales in China fell 7.9% in November month on month to 361,710 units, an 8.1% decline from a year earlier, according to the association.

Rao Da, secretary-general of the association, said that the rebound in December is a positive response to the government's decision to lower fuel prices and to cut the consumption tax for cars with small engines.