Large capital requirement set for new makers of commercial vehicles

BEIJING - China's regulators have moved to set stricter rules on new commercial vehicle manufacturers next year to avoid possible overcapacity and encourage advances in the industry.

The Ministry of Industry and Information Technology released a draft regulation on Oct 18 through its website that proposes newly established commercial vehicle producers should have at least 2 billion yuan ($300 million) in capital.

The proposed rule covers trucks, buses and towing vehicles.