Crackdown on China's 'Zero-Mileage' Used Car Practice

China's People's Daily calls for an end to selling new cars as discounted second-hand vehicles, a practice termed 'zero-mileage used cars.' This follows concerns about market disruption, sales data inflation, and negative impacts on manufacturers and consumers. Regulatory action is urged to restore market order and promote innovation.

China's official Communist Party newspaper, People's Daily, is calling for an end to the controversial sale of brand new cars as discounted second-hand vehicles, referred to as 'zero-mileage' used cars.

This practice, condemned recently by Great Wall Motor's Chairman, is seen as a market-disturbing tactic inflating sales data and prompting calls for regulatory action to protect consumers and manufacturers.

The paper highlighted negative impacts such as profit margin compression and potential risks for consumers, urging authorities to enforce stricter regulations to ensure fair market competition and encourage innovation in vehicle quality.

(With inputs from agencies.)