Three years ago Beijing asked world carmakers to propose designs. That was only the latest family-car hype to run out of gas. Tang Jingsheng, head of Zhonghua Motors, which developed the auto, claimed to have 500,000 orders. Politics is also stalling the family car. Most provinces want to make autos, but there can only be so many producers.
Local governments impose high car taxes.
Peter Loew, VW s commercial director in Shanghai, says Beijing may put off the car project for a few years and first build the roads to absorb the expected surge in vehicles. The delay would also enable China to employ better anti-pollution technology. But one thing is certain, says Loew, the family car will be built. All Rights Reserved. Terms under which this service is provided to you.