Government issues list of vehicle rental options as part of reform

The central government has released a list of vehicle rental companies that its departments may use, a step forward in the reform to control government spending on vehicles - an effort that analysts said will boost the domestic rental market in the future.

According to the guideline issued on July 16, government vehicles for regular affairs should be scrapped, leaving a small number - around 10 percent - for special functions. Under the guideline, departments should use the vehicle rental companies when cars are needed.

Additionally, officials from central departments can receive monthly traffic subsidies ranging from 500 yuan ($81) to 1,300 yuan, depending on their rank.