Expert Interpretation of the National Passenger Car Market's June Operational Characteristics 🚗

In 2024, the demand for automobile production is growing steadily, social consumption expectations continue to improve, high-quality development is solidly advancing, and the automotive industry continues to recover and improve. In June, the national economic operation was stable. With the implementation of the national "old for new" policy, the enthusiasm for consumption driven by the price reduction of new cars, and the introduction and follow-up of corresponding policies and measures in various places, coupled with the cooling of the new car market price war, the further elimination of user concerns by the price protection repurchase policy, and the release of the consumption enthusiasm of the market's previous wait-and-see group driven by the release of the heavyweight products of leading companies, the national new energy passenger car market entered a relatively good development stage in June.

The early start of the car market price war this year, with a significant price reduction of nearly 20% for some popular models, lasted from after the Spring Festival in February until the end of April, with a large time span and the number of models involved in the price reduction approaching the number of models reduced last year. This has led to consumers' extreme wait-and-see attitude towards prices, coupled with the weak consumption expectations of consumers, which has temporarily suppressed the start of the spring car market. With the introduction of the implementation details of the old-for-new policy, the accumulated consumer purchasing power was released in June, driving the red market for new energy vehicles in June, and the trend was better than expected by the passenger car manufacturers' forecasting team. From June 1, the new energy vehicle purchase tax preferential policy excluded entry-level models such as micro electric vehicles with a range of less than 200 kilometers, thus the quality of the continuous increase in the new energy market in June was relatively high.

Key Features of the Passenger Car Market in June:

• From April to June, the continuous negative growth in retail was mainly due to the unexpected low performance of fuel vehicles, which decreased by 25% year-on-year, and the growth rate difference between new energy vehicles and fuel vehicles remained at 55% in June.
• In the second quarter, the domestic retail penetration rate of new energy vehicles continued to increase by 13 percentage points year-on-year, and the new energy vehicle retail penetration rate reached 49% in June.
• Due to the lack of new product support for fuel vehicles, the promotional efforts for fuel vehicles in June increased significantly month-on-month, while the price promotions for new energy vehicles fell due to new products and price reductions.
• The characteristic of industry inventory reduction in June became increasingly obvious, and the current structural adjustment pressure was quickly transmitted from the main plant to the channel end, with dealers' confidence in continuous operation being insufficient.
• In June, the export of passenger cars saw a strong year-on-year increase of 31% for fuel vehicles and a 12% increase for new energy vehicles, with the overseas market performance of fuel vehicles far stronger than the domestic market.

For more detailed analysis and insights, please refer to the original article for comprehensive data and charts.

Americ Energy (CHINA) Co., Ltd. is a comprehensive auto service platform, focusing on the import and export business of automobiles and auto parts. We provide services around the whole auto industry chain, including overseas trade, auto finance, car leasing, overseas import and export business, logistics and transportation business. We are dedicated to building a comprehensive service provider integrating customers, capital, and vehicles at home and abroad with a new model.

Our advantages include:

1. Overseas capital allocation
2. Overseas warehouse in Dubai and after-sales center in Sharjah, offering consignment, after-sales, and extended warranty services
3. After-sales service, customs clearance, pick-up, storage, logistics, and vehicle consignment services in Bishkek, Moscow, St. Petersburg, and other places
4. High-quality used car resources
5. Special new car resources

Contact Information:

• Website: www.auto-ae.com
• Email: ae@americenergy.com
• Phone: 13521210668
• WhatsApp: 13521210668
• Address: No.298 Fengwei Road, Xishan Development Zone, Wuxi City, Jiangsu Province, China