China car market in 2023

Looking back on this special year, in 2023, China's automobile market has withstood severe trials and overcome many unfavorable factors, the whole industry has faced difficulties, acted proactively, market operations initially declined but then increased, and steadily increased, showing strong will, developing resilience and intrinsic motivation. In this year-end summary, we will explore this year's overall and major market segments and analyze the direction of future development.

Overall, China's automobile market is expected to start at a low, stay at a high, and gradually improve in 2023, breaking away from the "first fall, then rise" curve. The growth of China's automobile market is due to the rapid development and export of new energy vehicles, national policy support, and increasing market demand.

At the beginning of this year, the market was sluggish due to the influence of the Chinese New Year and the termination of subsidies. From March to May, the market begins to take off in earnest. From June to October, robust exports and domestic demand drove high growth. In particular, the retail sales volume of the automobile market in August this year reached the highest level ever recorded for the same period of the year, due to the strong momentum of the consumption stimulation policy in that month, and many new products were also launched. Low-priced models were launched before and after the Chengdu Motor Show, liberating consumer demand. During the peak season of automobile sales, the sprint-led promotion of the "Golden 9 and Silver 10" quarterly targets of the automobile market in September was significantly strengthened, and sales of both fuel vehicles and new energy vehicles increased compared to the previous month, and sales to consumers also increased. Demand for automobile purchases became clear. The situation was similar in October, with passenger car retail sales increasing 10.2% and 0.7% year-on-year to 2.033 million units, respectively, and the favorable performance of the Chinese automobile market exceeded industry expectations.