Car import program will expand

The government will expand a pilot program to diversify vehicle import channels to boost domestic consumption and will improve the service sector, the State Council decided on Friday at an executive meeting.

The traditional model for car imports relies on dealers authorized by foreign car manufacturers and registered with China's industry and commerce departments. As a result, foreign carmakers used to hold sway over prices, making imports more expensive than in other countries.

But in October 2014, China agreed to let dealers import cars directly from abroad, either through carmakers or their foreign counterparts, under a new model known as "vehicle parallel import".