The commission disclosed investment information on local infrastructure facilities on Tuesday.

With the establishment of the four markets, the Chinese capital expects to come closer to a "regulated and clear-cut" vehicle sales system, marking a great improvement over the chaotic status quo, according to Liu.

The consumption of automobiles has been increasing steadily since the early 1990s with the city's fast economic development. The average annual sales volume of automobiles in Beijing over the last five years reached nearly 190,000.

The city has five major automobile-trading markets and more than 1,000 sales dealers.

Liu said: "But the layout of these markets and sales dealers is disordered, going against the city-planning programme in many points, while the conditions of these markets are largely poor.

"This is not right for Beijing, which is striving to become an international metropolis and is preparing to host the 2008 Olympic Games."

Liu said the new system for selling cars would be like a pyramid. At the top would be the planned China International Automobile Fair, followed by four trading markets, and various car sales venues.

He said the four large-scale car markets would be set up in western, southwestern, eastern and northern Beijing.

The western market will be in Shijingshan District and provide all-round services, covering sales, inspections and the repair of old and new vehicles.

The southwestern market is based on the esteemed Beijing Trading Market for Second-hand Vehicles.

It will be the only one of the four to focus on second-hand car sales, officials said.

But it will be relocated south of its present address in Caihuying to near the South Fourth Ring Road.

"The area will also accommodate the planned China International Automobile Fair," said Liu.

Both the eastern and northern markets in Chaoyang and Changping districts will be devoted to the demonstrations and sales of new vehicles.

(China Daily February 6, 2002)