[SJMSUBS] Yue Ce Yue Kai Xin - Zhang Li Yin on Super Junior
Incentives creating a surge in new rural Chinese car owners
The Chinese auto industry is benefitting hugely from government attempts to target rural buyers with a range of incentives, according to a new Los Angeles Times report today (27th May).
Beijing launched its 'Send Automobiles to the Countryside' campaign earlier this year in order to support domestic sales and offset the decline in demand from foreign countries.
Among the initiatives are a 50 per cent sales tax reduction, the cancelling of road maintenance fees and a ten per cent discount for consumers buying cars with engines under 1.3 litres.
As a result, China has surpassed the US so far in 2009 in terms of sales, which increased by nine per cent to 3.8 million units in the first four months of the year.
This total - which also included record months in March and April - compares favourably to a decline of 37 per cent in the US during the equivalent period.
Jia Xinguang, an independent auto analyst in Beijing, told the news provider: "In the past, many automakers believed that the consumption ability in rural areas was quite low.
Kaixin001.com Sues Oak Pacific For Unfair Competition
Chinese social networking service website Kaixin001.com has sued Oak Pacific Interactive, which previously launched a similar website as that of Kaixin001.com, for unfair competition and the case has been accepted by Beijing Second Intermediate People's Court.
Founded in March 2008, Kaixin001.com, with the Chinese name of "Kai Xin Wang", has gained great success with its featured marketing method and products. According to an unnamed insider quoted in a news article on Sina.com, in September 2008, Oak Pacific Interactive suggested acquiring Kaixin001.com, but the suggestion was rejected. In October 2008, Oak Pacific Interactive bought the domain name of Kaixin.com and opened a similar website with the same Chinese name of "Kai Xin Wang".
Kaixin001.com said in its indictment that Kaixin.com's Chinese name, the major part of its domain name, its functions, service targets, and contents are basically the same with those of Kaixin001.com. In addition, the style of its front page is similar with that of Kaixin001.