China’s PV deliveries projected to fall 8% YoY in June, CPCA

China's PV retail sales (hereby referring to locally-produced cars, SUVs and MPVs) are estimated to drop 8% from a year ago to roughly 1.63 million units in June, according to China Passenger Car Association (CPCA).

The possible downturn is partly due to the higher year-ago deliveries inflated by the transition to the China Ⅵ emission standards, said the association. However, compared to the previous month, the sales in June is projected to represent a stable growth or remain flat as the efficacy of local stimulus policies would hit a climax and consumers' demands of car shopping would be further unleashed by the sales promotion offered by automakers and dealers.

A total of 38 local policies rolled out to spur car sales are due to expire by June, said the CPCA, which is one of major factors that drive a month-on-month growth in June. On the other hand, the motor shows held nationwide where OEMs and dealers conduct sales promotion will to some extend unlock the car purchase demands. According to a survey made by the association, the amount of motor exhibitions held during the first half of June rebounded to 60% of the prior-year level, and jumped nearly 30% over the month-ago period.

In addition, automakers and dealers are inclined to adopt some measures to sell as many as cars as they strive to fulfill their half-year goal.

According to CPCA's statistics, main automakers in China delivered around 25,725 and 36,600 PVs per day in the first (Jun. 1-7) and second week (Jun. 8-14), down by 10% and 17% from the previous year. Thus, the daily PV retail sales for the first half of June amounted to 31,162 units on average, sliding 14% over a year earlier.