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    Car sales surge 20% as consumers rush to cash in on expiring tax cut

    By Bloomberg | China Daily | Updated: 2016-11-09 07:29

    China's passenger-vehicle sales climbed for an eighth consecutive month as consumers rushed to buy small-engine autos ahead of a tax cut due to expire at year-end, boosting deliveries at local carmakers including Geely Automobile Holdings Ltd and Great Wall Motor Co.

    Retail sales of cars, sport utility and multipurpose vehicles increased 20 percent to 2.22 million units last month, according to the China Passenger Car Association. Deliveries rose 15 percent to 18.7 million units in the first 10 months.

    Over the past few months, consumers have brought forth their purchases to qualify for a tax cut on vehicles with smaller engines that is expiring at the end of this year, even as the government said it is looking at extending the rebate. Chinese automakers such as Geely and Great Wall are among automakers that have benefited from the surge in demand for popular SUV models like the Boyue and H6.

    Car sales surge 20% as consumers rush to cash in on expiring tax cut

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