China sets timetable for further government car reform

China set a timetable on Wednesday to reform government car use in state-owned public institutions and enterprises to reduce fiscal expenses.

State-owned public institutions must stop use of general-purpose government cars by mid-2016, while they may retain vehicles for emergency use, telecommunications and other special purposes.

Heads of state-owned enterprises can choose to use government cars or receive transportation subsidies instead. The reform is expected to be implemented as soon as June.

China started to reform government car use in July 2014 with an aim to cut unnecessary fiscal expenses and promote thrift. The country completed reforms among government departments by September 2015, revoking use of about 4,000 vehicles that were later sold to the public.