Yesterday, at the Automobile Association's monthly vehicle sales information organized conference, Dong Yang, Secretary General of the association, said the auto market downturn with the Japanese earthquake, production and sales this year will be difficult to achieve the desired growth rate of 15%. In addition, the industry's hot for the recent problem of excess automobile production capacity in China, Dong Yang said there is not excess capacity, but insufficient.

    Dong Yang said that last year's sales data, 17.8 million units of automobile production, and sales of 18.2 million units, is still insufficient capacity. As for the "fifth" and "Eleventh Five-Year Plan" of the 24% increase in view, "the second Five Year Plan" is only about 10% increase, has become cool. The so-called "excess capacity" in some parts of the actual government investment is overheating, this phenomenon comes from the production side to the tax system. Dong Yang said that if the words in the consumer end of taxes, the current expansion of the phenomenon will blindly expand into the market and domestic demand.

    According to the Automobile Association statistics, in April the national production and sales continue slump, respectively 1,533,000 and 1,552,000, a decrease of 15.98% and 15.12%, down 1.85% and 0.25%.