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          Business / Auto China

          Mileage shortfalls fuel sanctions

          By Li Fusheng (China Daily) Updated: 2014-05-19 07:34

          Mileage shortfalls fuel sanctions

          The Chinese government is increasing pressure on automakers after average fuel efficiency has improved just 1.3 percent. Hu Guolin / For China Daily

          Model, capacity curbs if new efficiency targets are not met

          Auto manufacturers in China are expected to redouble efforts to make energy-efficient vehicles as the central government announced tougher measures to curb fuel consumption.

          For the first time, the Ministry of Industry and Information Technology made fuel consumption statistics public on its website, showing that of 104 automakers listed - both Chinese and international - 34 failed to achieve targets set for 2013.

          Mileage shortfalls fuel sanctions
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          Mileage shortfalls fuel sanctions
          Struggle to meet new-energy goals

          Industry observers said the exposure might serve as an alarm as the ministry will continue publishing the names of failing automakers, according to a notice issued on its website on May 7 to solicit public opinion.

          The notice also forbids automakers from registering models that do not meet fuel consumption standards.

          An even tougher measure says manufacturers cannot expand production capacity if they fall short of fuel consumption requirements the previous year.

          The ministry's notice also sets the limit of fuel consumption in passenger vehicles at no more than 6.9 liters per 100 km by 2015.

          In a 2012 plan to stimulate development of energy-saving and new-energy vehicles, the State Council set a goal of no higher than 5 liters per 100 km by 2020, said the ministry on its website.

          The notice mandates that all passenger vehicle makers must submit fuel efficiency reports on a yearly basis. Those who fail to achieve targets are then required to provide plans on ways to improve.

          It also suggests that other government departments including customs impose punitive measures on passenger vehicle manufacturers that fail to meet targets.

          The notice comes after the national television network CCTV reported in March that some third-party testing agencies conspired with automakers to produce faked fuel statistics.

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