The public bids for bargains at Chinese central government auto auctions

World Today

The first batch of premium sedans formerly owned by the Chinese central government has been auctioned off in Beijing. Another 3,000 premium sedans are expected to be sold soon in Beijing. The sales are part of a government effort to cut down on spending, and increase transparency. CCTV’s Hou Na reported this story from Beijing.

The first car, a 9-year old Volkswagen, was sold for 60-thousand yuan a little less than $10,000, but the competition for auctioned vehicles has been fiercer than organizers expected.

The public bids for bargains at Chinese central government auto auctions

The first batch of premium sedans formerly owned by the central government has been auctioned off in Beijing. Over 3,000 premium sedans are expected to be sold in Beijing. The sales are part of a government effort to cut down on spending, and increase transparency. CCTV's Hou Na reported this story from Beijing.

“This is the very first time we hold a car auction like this. During the preview event in the last two days, we received more than 3,000 people,” Cai Haiyuan, Deputy director of Asian Games Village Automobile exchange market said. “We’re very surprised to see so many people here today.”

The first batch of 304 premium sedans formerly owned by the central government and various sub organs are being auctioned.

Including official cars that have been taken out of service as part of reform measures that began last July to slash spending on government vehicles.

Central authorities decided to sell the vehicles last year, as part of an ongoing frugality campaign.

Bidders said they believed the former government cars to be more reliable than ordinary second-hand vehicles.

“I think the official cars are in better shape compared with other second-hand cars in the market. I’m also supporting the anti-graft campaign,” A bidder who didn’t give his name said.”I had a budget of around 100-thousand yuan [about $16,000]. I think the cars here are in better condition with better and more stable insurance.”

Almost 3,200 vehicles impounded by the central government are waiting to be sold, but records show government-owned sedans in China could number in the millions.

The money raised by the sales will go to the central treasury while auctions taking place under the watchful eyes of auditing agencies and the public.

More auctions of government vehicles are expected to be held nationwide in the near future.