Passenger vehicle sales bounced to rise 2.7% in Aug in China

On September 9, the China Passenger Car Association (CPCA) released August passenger vehicle sales of 1,381,990 units, an increase of 2.7% on a year-on-year basis. Specifically speaking, the cars sold 794,160 vehicles, down 12.7% from a year earlier; SUV sales increased 54.6% from a year earlier to 458,140 vehicles and MPV sold 129,690 vehicle, down 7.3% compared with the same period of last year.

The special enterprise for passenger vehicles sales in the top three are FAW-Volkswagen, Shanghai Volkswagen and SAIC-GM.

Passenger vehicles sales in August continued to decline due to the effects of the turbulent stock market and the impact of related national activities. Automakers cut production capacity in September to reduced dealers’ inventory so that dealers have enough energy to continue promoting sales according to the statement of Cui Dongshu Secretary General of CPCA.

Since the beginning of the year, Chinese auto market has been plagued by sales slump. In order to tackling the adverse situation, an array of dealers spared no effort to promote sales to cut the high inventory through various discounts in the form of cash, loans of low interest. Despite all these measures, the overall recession in the industry didn’t seem to get better until the last month.

It is reported that the passenger vehicle sales in August achieved a micro growth thanks to SUV sales growth at the same period. The overall passenger vehicle market witnessed a slight rise in overall transaction price. Models of A-level and SUV played a big role in helping raising overall price.