Auto sales fell for the fourth straight month in China as demand for new cars continues to fall in June. Sales did rise 19.4 percent year-over-year, but the forecast of 20 percent increase for the year, is far off the pace of the 45 percent recorded in 2009.
“Growth is definitely slowing, though sales still remain strong,” said Zhang Xin, an auto industry analyst for Guotai Jun’an Securities in Beijing. “China’s auto industry faces a possible crisis of rising costs and should not just pursue remarkable sales numbers,” Zhang said. “The recent labor unrest should be an alert.”
Source: Associated Press
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