What’s really behind China’s EV sales numbers: Local govts promote ‘zero-mileage’ used car exports, inflating sales, growth figures

AI Summary

China's auto industry has been inflating sales figures by exporting brand-new, zero-mileage cars as "used" vehicles to markets like Russia, Central Asia, and the Middle East. This practice, supported by regional governments eager to meet economic growth targets, allows automakers to record sales and offload excess inventory amid a domestic price war. While criticized domestically, the export of these fake used cars is actively encouraged through various government incentives, including extra export licenses and tax rebates.