People visit the 18th Guangzhou International Automobile Exhibition at the China Import and Export Fair Complex in Guangzhou, south China's Guangdong Province, Nov. 29, 2020. (Xinhua/Lu Hanxin)
BEIJING, Jan. 27 (Xinhua) -- The automobile industry of China will open up to foreign investment in full swing by 2022, reported Shanghai Securities News Wednesday quoting an official.
China will remove limits for passenger vehicle companies on foreign shareholding and the quantity of no more than two joint ventures in 2022, said Huang Libin, spokesperson of the Ministry of Industry and Information Technology (MIIT) and director-general of the Bureau of Operation Monitoring and Coordination with MIIT, at a press conference held Tuesday.
He added that by then China's auto sector will be fully open to foreign investment as it has already lifted the foreign shareholding restrictions on special vehicles and new energy vehicles in 2018 and commercial vehicles in 2020.
This will lead to more intense market competition and may quicken the mergers and reorganization of related enterprises, he said.
According to him, MIIT will actively cooperate with related countries in fields including development and design, trade and investment and standard regulations to jointly maintain a stable and smooth auto supply chain, and guide industry enterprises to improve innovation capabilities.
(Editedby Gu Shanshan with Xinhua Silk Road, gushanshan.1987@163.com)
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