China Summons Top Carmakers Over 'Zero-Mileage' Used Vehicles
An anonymous reader shares a report: China's Ministry of Commerce is meeting with some of the country's biggest automakers to discuss whether the industry is using a loophole to mask weakening sales. Reuters adds: It comes after Great Wall Motor's Chairman Wei Jianjun said in an interview with Sina Finance last week that a phenomenon called "secondhand cars with zero mileage" had emerged in the Chinese market as a result of the industry's years-long price war. The phenomenon, he said, involved cars that had been registered and had licence plates -- marking them as sold -- but had never been driven being sold in the secondhand market. Wei said that at least 3,000 to 4,000 vendors on Chinese used car platforms were selling such cars. The source said the tactic was seen as a potential method within the industry for automakers and dealers to support new car sales as they try to meet aggressive sales targets. Read more of this story at Slashdot.
An anonymous reader shares a report: China's Ministry of Commerce is meeting with some of the country's biggest automakers to discuss whether the industry is using a loophole to mask weakening sales. Reuters adds: It comes after Great Wall Motor's Chairman Wei Jianjun said in an interview with Sina Finance last week that a phenomenon called "secondhand cars with zero mileage" had emerged in the Chinese market as a result of the industry's years-long price war.
The phenomenon, he said, involved cars that had been registered and had licence plates -- marking them as sold -- but had never been driven being sold in the secondhand market. Wei said that at least 3,000 to 4,000 vendors on Chinese used car platforms were selling such cars. The source said the tactic was seen as a potential method within the industry for automakers and dealers to support new car sales as they try to meet aggressive sales targets.
Read more of this story at Slashdot.
