Vehicle sales in China climbed to a record level in March helped by government measures such as lower purchase taxes, according to data released by the China Association of Automobile Manufacturers (CAAM).

The CAAM data confirmed earlier reports about the strength of the Chinese car market in March.
CAAM said that a total of 1.10 million vehicles were sold last month, up from 1.06 million units in March 2008.
The gain comes in spite of slower growth in the Chinese economy which is feeling the effects of lower exports, most notably to the US.
China's government has reacted quickly to reduce the impact of economic slowdown on its auto industry with measures such as tax reductions on smaller cars and subsidies for farmers to stimulate demand in rural areas.
General Motors China yesterday said its China sales in March rose 24.6% year on year to a monthly record of 137,004 vehicles as government stimulus policies kicked in.