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Shanghai Waigaoqiao Automobile Exchange Market Co yesterday was given a China Compulsory Certification (3C) for parallel imports of BMW X5 xDrive35i — the first in Shanghai’s free trade zone.
3C is a mandatory safety mark for both domestic and imported products in the Chinese market.
It is considered an important step for the growth of parallel imports.In 2014, China started a trial program that allowed independent auto dealers registered in the Shanghai FTZ to directly import vehicles, a sales channel that is parallel to authorized dealers.
The program was later expanded to FTZs in Guangdong, Tianjin and Fujian. Parallel imported cars are usually 10-20 percent cheaper than those in authorized dealers, but its sales were poor because of limited choices of models, poor after-sales service and the complicated certification process.
Previously, only dealers franchised by manufacturers could apply for 3C. Independent deals used to get around the regulatory pitfall by importing cars that worked out costly and time-consuming because of crash tests and disassembles.
The Shanghai FTZ regulator also pledged to join hands with dealers to step up after-sales services for parallel imported cars, with measures such as building a special auto parts warehouse for after-sales maintenance and setting up a special fund to guarantee after-sales services.
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