Abstract: The custom reform aimed to adapt to the WTO rule deeply influenced the development of Chinese public traffic corporations' efficiency.This paper estimates the average pure technical efficiency,scale efficiency,technical progress change of Chinese listed passenger car corporations over the period 19972005.The results indicate that the developments of passenger car industry are better than expected even when lots of foreign companies swarm in.Facing the drastic competency and environment constraint,they experienced an increase of TFP lower than GDP.