These “secondhand cars with zero mileage” are vehicles registered and sold with license plates but remain unused, a trend linked to price wars in China’s auto market by Great Wall Motor’s Chairman Wei Jianjun.
He mentioned that thousands of these vehicles are listed on Chinese used car platforms.
The practice may be used by automakers and dealers to artificially boost new car sales figures and meet tough sales targets, the source said, with the meeting also involving industry groups and used car platforms.
After news of the meeting, shares in automakers including BYD and Leapmotor fell over 3%.
Evergrande 2.0 in the making.
PLS Price at posting:
$1.24 Sentiment: None Disclosure: Not Held
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