Polyester Acrylate Oligomer,,Polyester Oligomer,Polyester Runhe Chemical (Guangzhou) Co.,Ltd. , https://www.rhchems.com
It is very serious that automobile production and sales maintain high growth and diversion from January to August.
From January to August, the Chinese automotive industry saw a year-on-year increase of 21.18% in production and 19.20% in sales. According to data from the China Industry Association Information Center, the auto market started to show signs of recovery in August. Cumulative production and sales for the first eight months reached 3.4057 million and 3.28 million units respectively, maintaining steady growth. In August alone, production hit 375,200 units, while sales reached 382,300 units, with a sales-to-production ratio of 101.89%, the highest in the past eight months, up 3.66% and 8.37% year-on-year. However, the growth rate of passenger car production and sales slowed down significantly. In August, passenger cars produced and sold 171,900 and 171,300 units respectively, with a ratio of 99.07%, rising only 0.36% and 2.22%. Despite this, from January to August, passenger car production and sales still maintained strong growth, with sedans reaching 1.6028 million and 1.5059 million units, a 26.23% and 23.68% increase compared to the same period last year.
The auto market, although showing overall growth, is facing challenges due to severe customer diversion. While the industry as a whole is performing well, many manufacturers and dealers are struggling. This is partly due to over-optimism at the start of the year, leading to an oversupply of brands and a fragmented market. With over 2,500 companies registered in Beijing’s automotive sector, many struggle to sell even 100 vehicles annually, highlighting the competitive pressure. In Japan, there are around 2,000 dealers, yet Beijing alone has more than that, increasing the likelihood of customer fragmentation.
Price reductions have also failed to stimulate significant demand. In August, 217 models saw an average price drop of 1.9%, with 150 models experiencing a 2.76% average reduction. While early-year price cuts helped boost sales, the effect has diminished since April, with consumers becoming more cautious and holding off on purchases. Many believe prices will continue to fall, reducing consumer confidence. As a result, dealers are focusing on survival rather than growth, with promotions expected ahead of the National Day holiday. Although price cuts may not spark a major boom, they remain a key strategy for dealers trying to meet annual targets.