With the peak season for vehicle purchases approaching, car plates in Shanghai have reached record prices.
In August the average price for a Shanghai car plate was around 62,000 yuan, this month the price has increased with 3,866 yuan reaching 66,425 yuan (US$10,521). The lowest successful bid was up 3,600 yuan to 65,700 yuan. This year the auction attracted the lowest number of bidder, but this didn’t stop plate prices go nuts. Beginning with July, the period for holding a car plate was extended from one to three years.
“The new rule did push some scalpers out of the game. I think the falling number of participants is the greatest proof of that,” said Eddie Zhang, a second-hand car dealer in Shanghai. “The demand for car plates is definitely on the rise as the auto market is entering its sales campaign season around October.”
Shanghai offered 9,500 car plates for bidders this month, the same as in June, July and August, but only 19,114 people took part in the auction, down 10% from last month, which reported a 20% drop from July. In June prices for car plates fell after it increased for 7 straight months.