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Chinese Government Probes Automakers Over Fake Used Cars

  • China’s Ministry of Commerce is investigating automakers over concerns of misrepresentation in new vehicle sales.
  • There are allegations of automakers providing 'zero-mile vehicles' to dealers at discounted rates to meet sales targets.
  • This misleading practice has raised concerns about fraud, especially given the lack of clear regulations in China regarding such practices.
  • The Chinese government, which heavily subsidizes the automotive sector, aims to address loopholes and prevent automakers from taking advantage of incentives through fraudulent means.

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