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Chinanews, Beijing, September 12 – “The auto1 industry in China has the capacity of producing more than 10 million cars every year, thus the Chinese government is ready to raise the standard for auto enterprises in the future to prevent excessive production,” said Zhang Baoguo，Vice Minister of the National Development and Reform Commission. “Of course, China will work out a plan to balance the effect of market economy and government macro control.”
At present, there are large amounts of capital flowing into the auto industry, despite the fact that it is faced with the risk of over production. Though auto industry in China enjoys very good market conditions, as there is strong demand for several models of cars in the domestic market, over production might haunt the auto industry as a whole.
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