Chongqing Changan Automobile Corporation, the listed arm of one of China's major auto groups, says it is cutting the price of its minivans by an average of 4.7% from Wednesday.

Changan says the price cuts represent an average discount of 2,000 yuan, or more than 240 US dollars, per vehicle.

The company says the price cuts were already part of its annual plan.

With automobile inventories in China rising and auto sales growth slowing, many auto makers have been cutting prices, which has started to erode profit margins.

Changan Automobile has A and B shares listed on the Shenzhen Stock Exchange.

(CRI.com September 2, 2004)