• Transport

Transport

The study links the major unsustainabilities of China’s urban road transport with those deficiencies in urban road transport planning and management and China’s auto industry policy.

Road transportation systems are often characterized by low efficiency, heavy congestion and high environmental pollution. Domestically made autos, due to lack of competition and heavy government protection, are characterized by high prices, high energy consumption, high pollution emission, and low safety. These products have largely contributed to the unsustainability of Chinese urban road transport.

Findings also identify deficiencies in:

• Relying heavily on supply-side approaches such as road capacity expansion
• Encouraging individual transportation, particularly the ownership of private cars
• Inadequate emission control
• Lack of integrated command-and-control and market-based instruments
• Lack of coordination mechanisms among the key government agencies involved in the formulation and implementation of transportation policy

It concludes that as China has become a member of WTO, China’s auto industry is facing a greater-than-ever challenge, given the technological capability, the scale, and management skill of most of its manufacturers. Its recommendations include that:

• There is an urgent need for the government to formulate innovative policies to facilitate the industry’s technological upgrading and concentration so that Chinese auto makers can compete with their foreign counterparts in the Chinese and international market
• Sustainable urban road transportation would induce the technological upgrading and restructuring of China’s auto industry, and ultimately bring China’s auto industry on the road to sound development
• Integration of urban road transport planning and China’s auto industry policy will play a vital role in China’s sustainable urban road transport and auto industry development

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