WHY CAR SALES INCREASED

Not because of across the board tax cuts which the conservatives are always braying about but because of targeted tax breaks meant to increase spending. It worked here and it worked in China.

China car sales jump 37% on tax breaks
May 11, 2009
Christine Buckley, Industrial Editor
London Times

Car sales in China, which in January overtook the US to become the world’s biggest automotive market, rose 37 per cent last month.

The total sale of vehicles, including trucks and buses, rose 25 per cent to 1.15 million. China has been leading the developing car markets and until last year had reported consistent growth of more than 20 per cent. April’s figures are boosted by government incentives to encourage more sales, with buyers of smaller cars receiving a tax incentive.