The Shanghai Auto Festival kicked off in Putuo District on May 1st with new car releases and sales promotions, as part of the city's Double Five shopping frenzy.
Dozens of models of 20 brands from both home and abroad are being exhibited at the Meichuan Road pedestrian street during the festival, which runs through Tuesday. Brands including Lexus, Audi, Cadillac, Buick and Chevrolet unveiled their latest models at the event.
"Dealers are providing discounts and promotions at the festival, such as cash subsidies and preferential financial policies," said Lu Sheng'ang, deputy director of the Putuo Commission of Commerce.
A 70,000-yuan (US$9,914) discount, for instance, is being offered for Jaguar XEL vehicles, while Land Rover Discovery models are about 50,000 yuan cheaper. Many of the cars on display are electric or hybrid models.
Sales at local 4S stores were severely affected in February due to the coronavirus outbreak, but business has been gradually recovering since March, said Zhang Ying, an official with the Xinyang Industrial Park in Putuo, which has a dozen 4S stores.
"Thanks to various promotional events and stimulus policies, total sales at 4S stores in April exceeded that of last year," Zhang said.
The city government has released guidelines to help boost consumer confidence and the automobile sector is one of the main focuses.
Shanghai Vice Mayor Xu Kunlin attended the opening ceremony of the auto festival on Friday.
Apart from the auto festival, Putuo has prepared some 60 promotional activities across its shopping, travel and entertainment venues for the city’s upcoming two-month shopping carnival.
The Double Five Shopping Festival runs through June and aims to provide the city with an economic boost after a downturn during the beginning of the year due to the novel coronavirus epidemic.
Putuo is determined to get back on track by becoming one of the city’s top shopping destinations, said Jiang Dongdong, the district's director.