An official Chinese newspaper says at least ninety percent of foreign cars were illegally imported last year -- most of them smuggled in parts across the frontier from Hong Kong, or through sea ports.

It accuses government employees of either participating in the racket, or turning a blind eye to it.

The report, in the China Business Weekly, follows the announcement last week of a nationwide anti-smuggling campaign.

The BBC Beijing correspondent says China is seeking to promote domestic car production, and the pressure to prevent competition from illegal imports may be growing.