In August, the national demand for car purchases continued to be released, showing the characteristics of "off-season is not light"——

Automobile production and sales increased sequentially

Reporter Liu Jin

According to data from the China Association of Automobile Manufacturers, in August, China's automobile production and sales achieved double growth year-on-year, and production and sales continued to recover. Driven by various factors such as consumption promotion policies and preferential promotions for car companies, the demand for car purchases continues to be released, and the overall auto market presents the characteristics of "off-season is not light".

Automobile exports grew strongly

In August, China's automobile production and sales reached 8.257 million units and 5.258 million units, up 2.7% and 2.8% month-on-month, and 2.7% and 5.8% year-on-year, respectively. In the first eight months, China's automobile production and sales reached 4.8 million units and 1822.5 million units, respectively, a year-on-year increase of 1821.7% and 4%.

"Due to the high base driven by favorable policies in the same period last year, the double growth of automobile production and sales in August was unexpected." Xu Haidong, deputy chief engineer of the China Association of Automobile Manufacturers, said that the growth was not only driven by the export market, but also showed that the domestic market began to pick up.

In August, China's automobile exports grew strongly, reaching 8,40 units, an increase of 8.3% month-on-month and 9.32% year-on-year. In the first eight months, vehicle exports reached 1.8 million units, a year-on-year increase of 294.1%.

Cui Dongshu, secretary-general of the Passenger Vehicle Market Information Joint Association, said that China's independent brand exports have entered a new stage, especially new energy has entered a period of development opportunities. He pointed out that in the future, China's independent brands need to strengthen technological upgrading to participate in international competition. At the same time, whether it is charging facilities or after-sales maintenance, it is necessary to establish an effective guarantee mechanism to continuously improve user satisfaction.

From the perspective of the domestic market, the market share of Chinese brand passenger cars has maintained rapid growth. In August, Chinese brand passenger car sales reached 8.129 million units, a year-on-year increase of 2.25%, and its market share reached 6.56%, an increase of 8.8 percentage points. Chen Shihua, deputy secretary-general of the China Association of Automobile Manufacturers, said that the market share of Chinese brands has risen to a higher level than in previous months. In the first eight months, sales of passenger cars of Chinese brands reached 4.8 million units, a year-on-year increase of 848.21%, and their market share reached 2.54%.

New energy vehicles performed well

Recently, in the ideal car store of Tianjin Wuqing Wanda Plaza, customers have come to consult one after another. In August, in the sales ranking of medium and large SUV models, the monthly sales of the ideal L8 and ideal L7 models exceeded 8,8. In addition to ideal, the delivery volume of mainstream new energy vehicle manufacturers continued to exceed <>,<> units in August, and many brands even hit a record high.

Consumer recognition of new energy vehicles continues to increase. According to data from the China Association of Automobile Manufacturers, in August, the production and sales of new energy vehicles reached 8,84 units and 3,84 units, respectively, up 6.4% and 7.8% month-on-month, and 5% and 22% year-on-year, respectively. In the first eight months, NEV production and sales totaled 27.8 million units and 543.4 million units, up 537.4% y/y and 36.9% y/y, respectively.

Cui Dongshu said that retail sales in August reached the best level in the same period in history, mainly due to the concerted efforts of the upper and lower levels, the government's policies, and manufacturers to promote new products. The car market in August is not only "off-season", but also "hot off-season".

The car market is again ushering in the tide of price reductions

Recently, a SAIC Volkswagen sales store in Beijing has significantly more customers. The salesperson said, "Because of the price reduction, there are more customers and the sale is good."

Since July, SAIC Volkswagen has reduced the price of the ID.7, its main pure electric vehicle (EV), by CNY 3,3 for a limited time, to a minimum of CNY 7,12, and in August, it also launched a discount of up to CNY 59,8 for nine SUV models. In addition, many car companies, including Tesla, SAIC Volkswagen, SAIC MG MG, Leap Auto, Chery New Energy, Nezha Automobile, and Zeekr Automobile, have announced price reductions through official channels such as direct reductions and limited-time offers.

This "price reduction tide" shows the characteristics of great strength and wide range. Basically, there are tens of thousands of yuan of discounts, and there are many models involved, ranging from mini cars priced at 350,000 yuan to medium-sized cars priced at 2.3 million yuan.

At the beginning of this year, starting with Tesla's price cut, there was a round of price reduction. Will the price war return? Some insiders predict that under the pressure of market competition, concentration and overall increment, car companies have to join the price war, and round after round of price cuts will continue until the end of the year.

Cui Dongshu analyzed that compared with the price reduction at the beginning of the year, this round of price reduction is more rational. Car companies flexibly adjust prices according to market demand, and at present, the effect of increasing sales is more obvious.

"The sharp price reduction of automobiles is an unavoidable change in the market environment, especially for new energy vehicles, which is a necessary condition for market promotion." However, Xu Haidong said that price reduction cannot become the only option that is customarily relied on, and car companies should comprehensively use different strategies and means to achieve the upgrading and optimization of models, better meet consumers' demand for quality and service, and promote the high-quality development of the automotive market. (Economic Daily)