China Automotive Systems net income falls 35%
China Automotive Systems Inc.'s quarterly net income fell nearly 35 percent to $9 million (57 million yuan) as the loss of government sales incentives squeezed profit margins, reported Supplier Business, a newsletter published by IHS Automotive.
For the three-month period ending Sept. 30, the supplier's revenues declined 1 percent year-on-year to 476 million yuan.
In a written statement, company CEO Qizhou Wu cited higher sales taxes on small cars, tighter credit and the loss of scrappage incentives for the sales downturn.
China Automotive Systems, based in Wuhan in central China's Hubei province, produces power steering systems and components.
