As the economic recession penetrates every corner of people's lives, rising numbers are adopting frugal outlooks. And, as a result, the auto market in Beijing now seems as chilly as the winter. Zhang Cheng has more.

Reporter:
Car dealers in the Chinese capital city have begun their final spurt of the year with a series of tempting promotions.

The "Asian Games Village" Car Market in Beijing has seen the unveiling of the highly-equipped Audi A6, and its huge price cut of more than 80,000 yuan, or 12,000 US dollars.

A sales assistant in the market says compared with last year, high-end cars have seen huge price reductions.

"This Porsche beside me was originally selling for 1,180,000 yuan, but now the price has dropped to 1,080,000 yuan. Most imported high-end cars have undergone large price reductions."

But many customers still have a "wait and see" attitude for even lower prices.

"I have followed the auto market over the last week, and I think prices will drop by another 20,000 to 30,000 yuan. It looks unlikely the prices will rebound."

Guo Yong, manager of the information department in the "Asian Games Village" Car Market, explains why the price reduction is so dramatic.

"Car retailers usually have large-scale promotional programs at the end of November and the beginning of December. By doing this, they finish their sales targets for the year, and at the same time, raise funds for the next year. "

Meanwhile, with an growing public awareness of environmental protection, more people prefer low-emission cars.

According to official statistics, from January to November the sales volume in Beijing increased by 11 percent compared with the same period last year.

More than 480,000 private cars are expected to be sold in Beijing this year, higher than average levels of other auto markets in China.

Zhang Cheng, CRI News.