China’s economy continues to decline, with weak consumer demand. On March 11, the latest data released by the China Association of Automobile Manufacturers (referred to as “CAAM”) showed significant decreases in both production and sales of automobiles in February.
In February, the production of automobiles was 1.672 million units, a decrease of 31.7% month-on-month and 20.5% year-on-year; while sales reached 1.805 million units, down 23.1% from the previous month and 15.2% from the same period last year. From January to February, automobile production was 4.122 million units, a year-on-year decrease of 9.5%, and sales were 4.152 million units, down 8.8% from the previous year.
In terms of passenger cars, in February, production was 1.4 million units, down 32.1% from the previous month and 21.6% year-on-year; sales stood at 1.536 million units, a decrease of 22.7% compared to the previous month and 15.4% year-on-year. From January to February, passenger car production reached 3.462 million units, a 12% decrease year-on-year, and sales were 3.524 million units, a 10.7% decline compared to the same period last year.
In February, domestic sales of passenger cars reached 950,000 units, down 32.1% month-on-month and 34.2% year-on-year. Among them, traditional fuel passenger car sales were 505,000 units, a decrease of 221,000 units compared to the same period last year, with a month-on-month decrease of 38% and a year-on-year decline of 30.4%.
For commercial vehicles, production in February was 273,000 units, a decrease of 29.7% month-on-month and 14.1% year-on-year, while sales were 269,000 units, down 24.9% from the previous month and 14% year-on-year. From January to February, commercial vehicle production was 660,000 units, a 7% increase year-on-year, and sales reached 627,000 units, a 3.9% increase compared to the same period last year.
The market for new energy vehicles also declined. In February, production of new energy vehicles was 694,000 units, a 21.8% decrease year-on-year; sales were 765,000 units, down 14.2%, with new energy vehicles accounting for 42.4% of total new vehicle sales.
In terms of exports, in February, automobile exports reached 672,000 units, down 1.4% month-on-month and up 52.4% year-on-year. From January to February, automobile exports totaled 1.352 million units, up 48.4% year-on-year, but the sharp decline in domestic automobile sales weakened the support from export growth.
Recently, several automakers have released their sales data for February, showing an overall weak performance. BYD sold 190,200 units, a 41.09% decrease year-on-year, marking the first time monthly sales have dropped below 200,000 units in recent years. SAIC topped the list with 261,000 units sold, an 8.64% decline; Chery Group sold 146,200 units, a decrease of about 14.8%; Geely was the only company with a year-on-year sales increase, with a growth rate of only 3.6%.