In spite of the country's still-weak economic development, larger discounts and tax advantages for electric and environmentally friendly vehicles helped China's passenger vehicle sales increase in August compared to the same month last year.
The China Passenger Car Association (CPCA) said on Friday that car sales increased year over year in August by 2.2% to 1.94 million units, marking the first increase since May.
From July, sales increased by 8.5%. Sales increased 1.8% over the first eight months to 13.38 million units.
According to calculations made by Reuters using statistics from the CPCA, Tesla's share of the Chinese electric vehicle (EV) market nearly doubled in August to 13.2 percent from 7.5 percent in July, helped by sizable discounts.
Tesla sold 64,694 cars in China in August, the data showed, while deliveries of its China-made Model Y hit 65,316 last month, topping the CPCA passenger vehicle model sales.
Even while slower economic development hurts consumers' wallets, lower interest rates on current mortgages are anticipated to contribute to the revival of the auto market, according to CPCA Secretary General Cui Dongshu.
One of a number of steps aimed at bolstering the economy and the crucial, heavily indebted real estate sector will see China's major banks begin to reduce interest rates on current loans for first-time house buyers.
As domestic growth slowed, Chinese automakers continued to place their bets on foreign markets. According to the data, exports increased 31% year over year in August after rising 63% in July.
NEV sales, which have supported China's auto sales rise, increased 34.5% in August and accounted for 36.9% of all auto sales. August sales were up 11.8% from July's figures.
The biggest vehicle market in the world, China, is experiencing greater competition as automakers battle with waning demand.
Tesla started a price battle at the beginning of the year, and the American electric vehicle manufacturer has announced more price reductions after doing so twice in the previous month. The beginning pricing of the company's redesigned Model 3 was 12% more expensive than the outgoing base rear-wheel drive model.
As domestic rivalry heats up, Chinese EV manufacturers are also ratcheting up their efforts to enter into foreign markets.
The Seal electric car was unveiled for Europe on Monday at the IAA Mobility auto show in Munich by the Warren Buffett-backed Chinese EV powerhouse BYD.Smaller domestic competitor Xpeng also announced plans to expand into further European markets next year during the Munich exhibition.
(Source:www.marketscreener.com)
The China Passenger Car Association (CPCA) said on Friday that car sales increased year over year in August by 2.2% to 1.94 million units, marking the first increase since May.
From July, sales increased by 8.5%. Sales increased 1.8% over the first eight months to 13.38 million units.
According to calculations made by Reuters using statistics from the CPCA, Tesla's share of the Chinese electric vehicle (EV) market nearly doubled in August to 13.2 percent from 7.5 percent in July, helped by sizable discounts.
Tesla sold 64,694 cars in China in August, the data showed, while deliveries of its China-made Model Y hit 65,316 last month, topping the CPCA passenger vehicle model sales.
Even while slower economic development hurts consumers' wallets, lower interest rates on current mortgages are anticipated to contribute to the revival of the auto market, according to CPCA Secretary General Cui Dongshu.
One of a number of steps aimed at bolstering the economy and the crucial, heavily indebted real estate sector will see China's major banks begin to reduce interest rates on current loans for first-time house buyers.
As domestic growth slowed, Chinese automakers continued to place their bets on foreign markets. According to the data, exports increased 31% year over year in August after rising 63% in July.
NEV sales, which have supported China's auto sales rise, increased 34.5% in August and accounted for 36.9% of all auto sales. August sales were up 11.8% from July's figures.
The biggest vehicle market in the world, China, is experiencing greater competition as automakers battle with waning demand.
Tesla started a price battle at the beginning of the year, and the American electric vehicle manufacturer has announced more price reductions after doing so twice in the previous month. The beginning pricing of the company's redesigned Model 3 was 12% more expensive than the outgoing base rear-wheel drive model.
As domestic rivalry heats up, Chinese EV manufacturers are also ratcheting up their efforts to enter into foreign markets.
The Seal electric car was unveiled for Europe on Monday at the IAA Mobility auto show in Munich by the Warren Buffett-backed Chinese EV powerhouse BYD.Smaller domestic competitor Xpeng also announced plans to expand into further European markets next year during the Munich exhibition.
(Source:www.marketscreener.com)
