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China’s Car Sales Climb 13%

Retail sales of passenger vehicles in China reached 1.5 million units last month compared with 1.3 million in May 2013, according to preliminary figures from the China Passenger Car Assn.

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Retail sales of passenger vehicles in China reached 1.5 million units last month compared with 1.3 million in May 2013, according to preliminary figures from the China Passenger Car Assn.

Last month's volume was unchanged from April.

Analysts say car sales in China this year are being pushed by consumer fears that more cities will restrict new-vehicle purchases in an effort to improve air quality and reduce traffic congestion.

The China Assn. of Automobile Manufacturers said in May that the number of privately owned vehicles in the country will probably climb to 200 million by 2020 from 127 million in 2013. The group estimates that China's current transportation infrastructure can handle no more than 300 million vehicles.

Gardner Business Media - Strategic Business Solutions