Further fall in car sales in China
German text:
Car sales in China have continued to decline despite government incentives. The sales dropped by 6.9 percent compared to the previous year to 1.78 million vehicles, as the China Passenger Car Association (CPCA) announced on Monday. This marks the third consecutive month of shrinking Chinese car sales.
The price war on the world's largest vehicle market initially curbed sales, but even the government's subsidies for vehicle replacement could not prevent a waning momentum in the past few months. In June, 9.9 percent more electric vehicles were sold in the People's Republic - in May, however, there were still 27.4 percent more. On the other hand, sales of vehicles with eco-friendly powertrains, called New Energy Vehicles (NEVs), showed strong growth. In this category, sales increased by 67.2 percent, following a 61.1 percent increase in the previous month. Chinese manufacturers like BYD, Nio, Zeekr, and Leapmotor all reported record monthly sales.
Meanwhile, Chinese export figures rose by 28 percent. This trend could be affected by the dispute between China and the EU over planned European import tariffs for Chinese electric vehicles. Early signs of this can be seen in the NEVs, which account for around one-fifth of all Chinese auto exports and nearly half of all domestic sales. "NEV exports are currently under pressure," said CPCA head Cui Dongshu. These grew by 12.3 percent in the year-on-year comparison but shrank by 15.2 percent compared to the previous month.
Despite the Chinese government offering incentives to boost car sales, they continue to decline. Despite the increase in electric vehicle sales in June, overall car sales in China have shown a waning momentum, affecting both domestic sales and exports.
