Guangdong Sept imports of big cars fall 26.5% m/m

Shanghai, October 20 (Gasgoo.com) Data from Guangzhou Customs show that in the first eight months of this year, the auto imports through Guangzhou ports grew at a two-digit rate monthly, but since the sales tax hike on high-emission vehicles were announced in late July, the imports of 3.0L-plus gasoline cars dropped 26.5% month on month to 2,396 units in September.

From January to September, there were 67,000 vehicles imported through Guangdong ports, up 46% year on year (y/y), and the import value totaled $2.63 billion, up 68.3% y/y, with their growth rate up 30.1 and 0.6 percentage points respectively. The data of Guangzhou Customs are believed to very representative of China's auto import market during the same period.

Because cars of larger engines are mostly made in other countries, imports of big luxury cars increased considerably in the first eight months to meet the growing demands from Chinese customers. In addition, the sales tax hike effective on September 1 had urged many of these customers to order and buy big cars ahead of schedule, and this also pushed up the import volume.

Industry experts said that the rise in the high-emission vehicle imports will escalate the oil energy consumption and environmental pollution -- a trend that goes contrary to the country's "energy efficiency and low emissions" policy. The Chinese government is expected to monitor and control this eco-unfriendly tendency.

Though the imports of big cars dropped in September, the higher sales tax on these cars will not in the long term keep many high-spending customers from buying cars of large engines and high emissions. Big car imports are likely to surge again sooner or later.