GW Motor CEO asks gov't to buy small cars

Shanghai, March 5 (Gasgoo.com) Great Wall Motor CEO Wang Fengying recently proposed that China's government agencies and institutions should buy more low-emission cars as part of the government's effort to boost the market demand for small-engine cars.

"According to the auto industry stimulus plan newly outlined by the government, passenger cars with the engine size below 1.5 liters should have 40% market share and those below 1.0 liters are to have 15 market share, but these goals are not easy to reach," Wang said, as "the sales tax cuts for small cars, effective on Jan. 20, will last only until the end of this year and are not a sustained support for low-emission cars."

As further measures to boost the market demand for small-engine vehicles, she proposed that the government agencies and institutions should buy more low-emission cars than the high-emission ones to set a good example for auto consumers, and that the government should reduce or scrap the sales taxes, road tolls, parking fees, annual inspection fees and other charges levied on small cars.

The CEO of Great Wall Motor said that the government itself should buy more Chinese-brand vehicles and the government's auto-purchase bids should be opened to all carmakers. The stimulus plans also says that Chinese-brand vehicles should have larger market share.

Government officials in China have been using big-engine cars as one of their privileges or as a symbol of status. And most of these official vehicles are imported luxury cars that consume much more money and fuel.