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People's Daily Online>>China Society

Cheaper cars for officials

By Xu Chi (Shanghai Daily)

14:43, November 20, 2011

A new policy states that each vehicle purchased for government use cost 180,000 yuan (US$28,300) or less and have a maximum engine size of 1.8L.

The new policy is meant to cut the government's expenditure on vehicles and it may lead to a reduction in the number of luxury cars used for public affairs or law enforcement, representatives of the National People's Congress told the Beijing Times.

The policy was issued on Friday by the Ministry of Industry and Information Technology and the Government Offices Administration of the State Council.

It was issued after a report by the Chinese Ministry of Finance revealed in June that the country's total expenditure on vehicles, hospitality and receptions reached 9.47 billion yuan last year. Of that, 6.17 billion yuan was spent on vehicles.

The new policy would prevent the government from purchasing SUVs and other luxury vehicles as most have an engine size larger than 1.8L and often cost more than 180,000 yuan, said Ye Qing, a deputy of the National People's Congress.

Ye told the newspaper the policy would be good for domestic car manufacturers as under the new regulations, government facilities may have to purchase cars made by Chinese automakers, which are usually cheaper, rather than imported cars.

Ye also said the new policy could save the country 800 million yuan to 1 billion yuan each year

But he warned that purchases be supervised properly to ensure no government facilities violate the policy, the newspaper said.

Previously, the limit was 200,000 yuan per vehicle.


Leave your comment3 comments

  1. Name

helen at 2011-11-22203.82.82.*
Good move!And those who fake military car plates should have their vehicles confiscated and their owners incarcerated. This should put a stop to so many incidents especially in Guangdong and other southern regions. A policy of this nature would be most welcome by the Chinese people.
wende at 2011-11-2171.255.93.*
Times are bad that government officials ought to be thrifty to operate within the budget. Gadgets should be the ones absolutely needed and not just a show of "face".
OVER SEA at 2011-11-2075.72.239.*

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