China’s Car Sales have Fallen for a Third Straight Year
China car sales fell 92% as the coronavirus held customers away from showrooms. Unbelievably, it was even worse at some point in January when nationwide sales toppled 96% to a daily average of only 811 cars sold, a report said. To make matters worse, deliveries for February may slide by 70%.
“There was barely anybody at car dealers in the first week of February as most people stayed at home,” PCA Secretary General Cui Dongshu said. Dealers slowly opened as daily sales of passenger cars were 4,098 units, which is still a decline of 89% from February 2019, he said.
You can only blame the epidemic so much as auto sales in China were trending down for the third straight year because of a slowing economy.
China’s commerce ministry reported that they will work with separate government departments to take stronger steps and actions to steady auto sales and reduce the impact of the epidemic on demand. The decline has hit U.S. carmakers in China very hard as Ford has lost around 3/4th of their revenues from China.