Over half Chinese carmakers suffer losses in '08

Shanghai, February 16 (Gasgoo.com) President of Guangzhou Automobile Industry Group said on Saturday that 60% to 70% of Chinese automakers had suffered losses last year as an economic slump reduced domestic sales, reports Guangzhou Daily.

Zhang Fangyou predicts that because the market slowdown is squeezing profits, automakers won't reduce car prices further

"Major automakers including SAIC, Dongfeng Motor and FAW all saw their profits slide in 2008, while Guangzhou Auto with its sales revenue down by 2.5 billion yuan ($366 mln), was anyhow the most profitable of all," Zhang said.

Zhang affirmed that amid the international financial crisis, Guangzhou Auto would not cut its workforce nor production but would instead increase output such as reducing work days or other methods to face challenges.