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Increasing fuel efficiency of the automobile population in China and the impact on demand for oil
06/01/2010
In 2010 with over 70% increase in the automobile population in China gasoline demand increased by about 3%. A key reason is that older fuel consuming vehicles are replace with the much more fuel efficient new models. The government is also encouraging the sale of smaller cars which have higher fuel efficiency. This has made it possible for China to make the conversion to a high automobile using nation in the space of one decade without putting to much stress on oil demand and prices.
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