At the China Automotive Industry Roundtable held yesterday, Cheng Mingzhi, a legal expert in the automotive industry who was invited to give a speech, analyzed the latest changes in the forthcoming "Automobile Industry Policy". As the new "Automobile Industry Policy" will dictate the development of China's auto industry in the next decade, when the details of this new policy were mentioned yesterday, Chinese and foreign auto investors have paid close attention.

Cheng Mingzhi's lawyer revealed that on the basis of the draft of the new "Automotive Industry Policy" in 2003, the relevant departments have repeatedly convened relevant law and industry professionals to revise some articles with relatively large repercussions. The new “Policy” in 2004 will likely include some new changes to control the import of auto parts after the release of import quotas, especially to restrict the production of SKD which is very popular nowadays; it is required that the distributor of parts and components must obtain the license of the manufacturer. Change the domestic car sales network can only sell domestic car policy restrictions; by restricting the import of vehicle ports to control the smuggling of automobiles; the introduction of relevant regulations to limit the new enterprises entering the auto industry and non-core enterprises to increase production, to prevent excessive development of car manufacturers; As for the proportion of equity, domestic enterprises still must occupy large shares in joint ventures; it may be deleted that in 2010, domestic auto companies’ products with independent property rights must meet relevant regulations such as more than 50% of the total sales volume of domestic automobiles.

It is reported that in the first half of last year, the public notice of the new "Automobile Industry Policy" that was being solicited in the first half of the year has attracted widespread attention in the industry due to six major contradictions. First, continue to support the three major auto groups or allow all types of auto companies to develop freely; How to control the overheating of auto investment; third is how to increase the proportion of products with independent intellectual property rights in the total automobile production; fourth is how to regulate various charges for the auto industry; fifth is whether it can harmonize environment, energy, traffic, and car The sixth is how to deal with the impact of imported cars and imported components on the domestic market after China's entry into the WTO.


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