Page last updated at 06:32 GMT, Tuesday, 20 October 2009 07:32 UK

China car output 'breaks record'

Ford showroom in Beijing
The government has a number of measures in place to lift car sales

Chinese annual car production has topped 10 million for the first time as carmakers boost output to meet growing demand, state media has said.

The 10 millionth car produced this year rolled off the First Automobile Works Group assembly line in Changchun, the official Xinhua News Agency reported.

Despite the downturn and falling sales at most global carmakers, demand for cars in China is booming.

State incentives, such as tax cuts on small cars, have boosted sales.

Like many other governments around the world, China has also introduced subsidies to trade in older vehicles.

Previously, only the US and Japan had produced 10 million cars in a single year.

Domestic Chinese car sales overtook those in the US for the first time in December of last year, and this trend has continued.

Global carmakers are now increasingly targeting China as a key growth market.



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