New standard for car industry

A more stringent vehicle emission standard equivalent to the Euro III will begin on Sunday, said China's environmental regulator. And the sale and licensing of Euro II vehicles will expire a year later.

The State Environmental Protection Administration (SEPA) said that as the world's second-largest vehicle market and third-largest vehicle producer, China's rapidly growing car sales aren't just creating traffic jams in major cities; they're also causing noticeable deterioration of air quality in some large cities including the country's capital, Beijing.

The new standards would cut vehicle pollutants by 30 percent, said Zhao Yingmin, head of SEPA's department of science, technology and standards. He also said an emission standard equivalent to the Euro IV would take effect in 2010.