【正确答案】The Chinese government thinks highly of the development of the auto industry. Since the founding of the People's Republic of China in 1949, the government has granted the auto industry a high degree of protection in order to make it a national industry. However, things did not develop as hoped. Few of China's numerous auto enterprises are of a large scale. Since the mid-1980s, spurred on by the preferential policies for foreign investment, international auto giants have established joint ventures in China one after another, which indicates good prospects for China's auto industry. After China's entry into WTO, the domestic market faces huge challenges, of which substantial price reductions are just one. It is only through fierce competition that the Chinese auto industry can grow up.