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Trade war

China auto sales fall for first time in 14 months

Customers avoid GM and Ford as trade tensions rise

China has slapped Tesla and other American-built cars with a 40% import tariff since July.  (Photo by Yu Nakamura)

BEIJING -- The Chinese automobile market shrank in July, the first drop in more than a year, as consumers shied away from American cars due to an escalating trade spat with Washington.

New-auto sales decreased 4% on the year to 1,889,100 vehicles last month, the China Association of Automobile Manufacturers said Friday. Uncertainty about the economic outlook dampened carbuying sentiment as well.

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