China Auto Review Corrects Claims on Zero-Mileage Car Resale Ban

Auto Review, the official publication of China's top auto industry association, has retracted its earlier claim that the Ministry of Industry and Information Technology (MIIT) plans to ban the resale of cars within six months of registration to combat the zero-mileage used car market. The publication acknowledged inaccuracies in its original report and revised its statement to say that MIIT is working with relevant departments to regulate zero-mileage used cars and address the issue at its source, without specifying a resale ban or timeline. Additionally, Auto Review corrected its report regarding the China Automobile Dealers Association's proposal, changing it from a new code system for used car exports to the establishment of a relevant mechanism without further details. Despite these corrections, the publication maintained that automakers like Chery and BYD are considering stricter enforcement against dealers who register vehicles before actual sales. Zero-mileage used cars, which involves registering and insuring new vehicles before sale to inflate reported sales figures, have become a significant issue amid intense competition and overcapacity in China's auto market. The government and industry groups continue to scrutinize the practice to restore market clarity and fairness.