(ECNS) -- All local governments–excluding Beijing, Tianjin, Hebei, Shanghai, Jiangsu and Zhejiang–must cancel a restriction policy on second-hand cars from other cities or provinces by April 14, three Chinese ministries said in a circular jointly issued last Friday.
The ministries of commerce, public security and environmental protection urged all local governments to halt restrictions designed to prevent non-local cars from entering local second-hand markets.
Non-local used cars should be allowed as long as they satisfy existing environmental and safety requirements.
Many local governments ban second-hand cars from elsewhere if they do not meet local emission-standards for new cars. This policy originated in Beijing in 2008, when the city set up a strict environmental threshold for second-hand cars from other parts of the country. Soon afterwards, other regions followed suit, and it is now widespread across the country. Industry insiders have criticized it as local protectionism under the cover of environmental protection.
In March, the State Council issued a rule requiring all local governments to remove the restrictive policy by May.
So far, only a few provinces, including Guizhou and Sichuan, and the cities of Lanzhou, Dalian, Fushun and Huludao, had eliminated the policy accordingly.
