The Chinese government has laid down a set of regulations to define what exactly a small displacement car is. The standards are also part of a bigger plan to give more preference for ‘green’ cars in the forthcoming years.

China's National Development and Research commission (NDRC) have set standards for fuel economy, emissions and car size. This move is aimed to encourage Chinese car makers to upgrade to higher environmental protection standards and in the process, manufacture eco-friendly cars.

The following rules are to be followed by the manufacturer if their car has to be classified under small cars, which will enjoy tax benefits and other preferential policies.

Fuel Economy

For cars weighing from 1660kg to 1770kg, the car has to use less than 9.3 litres of fuel per 100km of travel. Cars weighing from 2180kg to 2280kg must use less than 11.07 litres of fuel per 100km of travel to boast benefits.

Emission Standards

All cars must meet Euro 3 tailpipe emission standards.

Car Size

To meet criteria, small displacement cars must be no longer than 4.2 meters in length and for hatchbacks, cars must be no longer than 4.0 meters in length.