China’s Passenger Vehicle Sales Slump in June

Sales of passenger vehicles in China took a hit in June, according to data released by the China Passenger Car Association, as poor economic conditions lead to consumer hesitancy toward big-ticket purchases.

According to CPCA data, sales were at 1.91 million units, 2.9% lower than last year. That marks the first monthly contraction since January, though sales in the first half of the year increased by 2.5%, reaching 9.65 million units.

New-energy vehicle sales, including battery-electric cars and plug-in hybrids, surged almost 25% in June, representing around 35% of the country's total. That's the fourth consecutive month for NEV sales increases. The first half of the year saw a surge of 37% in NEV sales, reaching 3.09 million units.

However, according to a Reuters calculation based on CPCA figures, Tesla's share of China's pure electric and plug-in hybrid car market declined from 10.5% in the first quarter to 8.8% in the second.

Chinese car manufacturers relied heavily on foreign markets to keep their sales growth afloat, as car exports surged by 56% in June.

Originally posted on Auto Dealer Today