China's new car sales fell in October

New car sales in China fell in October for the first time in 5 months.

The China Association of Automobile Manufacturers on Wednesday said more than 1.5 million cars were sold in October. That's a drop of about 1.1 percent from a year earlier.

Economists say Chinese consumers are refraining from buying as the government has tightened requirements for receiving subsidies to purchase fuel-efficient vehicles.

They say concern about the economy stemming from the European debt crisis is also affecting consumer confidence.

New car sales in China rose by double digits every month last year, with total sales for the year at just over 18 million units. That was the highest figure globally, surpassing the United States for a second straight year.

But this year, monthly sales have declined in 3 separate months including October.

The association of Chinese car makers says it will be difficult for sales to keep up with the same levels last year, casting a shadow on the nation's economy.

Thursday, November 10, 2011 14:49 +0900 (JST)