Should China develop its private use car? What kind of passenger car should China develop? Should China develop its own passenger car industry? What is the way out for China´s passenger car industry? And how to develop Chinese passenger car industry? These questions are intensively concerned by more and more people, and lead to much discussion recently. In this paper, the author intends to give an analysis on some representative viewpoints that proposed recently, and also his own opinions. It is convinced that the way to solve the“auto disaster”problems is not to put more restrains on the use of private car, but to promote the applications of high-tech to automobiles, mean-while to strengthen city planning and traffic management.

The author confirms that the“technology import and joint venture”has had a positive impact on the progress of the manufacturing technology and management efficiency of Chinese auto industry, however there is also a negative effect on the self-development ability. It is proposed that the general strategy for Chinese auto industry will be“Self-Strengthening + International cooperation”which consists of the following strategies： high-tech strategy, twin-win with self-reliance strategy, internal union for self-strengthen strategy, self-own production right strategy, leap over development strategy.