Statistics released by the China Machinery Industry Federation (CMIF) show that China produced 8.88m cars in 2007 and over 93% of those cars were fitted with Chinese-made engines.

Imports of engines for cars produced in China rotalled 610,000 units last year.

CMIF Chairman Yu Zhen said that China needed to build on its strengths in engine production through increased innovation and an upgrade of manufacturing technology. It also needed to step up spending on research and development, he said.