Group 1 - The core viewpoint of the article is that the inventory warning index for Chinese automotive dealers in August 2023 is reported at 57%, indicating a year-on-year increase of 0.8 percentage points, while showing a month-on-month decrease of 0.2 percentage points [1]

Core Viewpoint - The latest Vehicle Inventory Alert Index (VIA) for July 2025 indicates a slight decline in the automotive market's overall health, with a warning index of 57.2%, down 2.2 percentage points year-on-year but up 0.6 percentage points month-on-month [2][3]. Inventory and Market Conditions - July marks a traditional off-season for the automotive market, influenced by the phased withdrawal of subsidy policies, reduced consumer financing rebates, and decreased promotional efforts from manufacturers. This has led to increased consumer hesitation, with 47.7% of dealers reporting a downward trend in the market, with declines exceeding 5% [3]. - Despite a demand pullback due to earlier sales surges, the market remains relatively active due to effective order digestion and summer tourism. However, extreme weather and manufacturers' summer breaks have contributed to a slight decrease in dealer inventory levels compared to the end of June [3]. - Dealers are facing challenges such as declining foot traffic, extended purchase decision cycles, and lower transaction rates, which are exacerbating inventory turnover and financial pressure [3]. Index Breakdown - In July, sub-indices for inventory, market demand, average daily sales, and employment all showed a month-on-month decline, while the operational status index increased [5]. - The national index stands at 57.2%, with regional indices showing variations: North at 60.5%, East at 59.8%, West at 52.9%, and South at 53.4% [6]. Brand Performance - The index for luxury and imported brands increased month-on-month, while the index for domestic brands saw a decline [9]. Future Market Outlook - The automotive market is expected to stabilize in August, with potential boosts from back-to-school purchasing and promotional events like the 818 shopping festival. Additionally, the government has allocated 69 billion yuan for the third batch of subsidies to support trade-in policies, with a fourth batch expected in October [11]. - The China Automobile Dealers Association advises dealers to realistically assess market demand and enhance promotion of trade-in and scrapping policies to boost consumer confidence while focusing on cost reduction and efficiency [11].

Core Viewpoint - The latest "China Automobile Dealer Inventory Warning Index Survey" released by the China Automobile Dealers Association indicates that in July 2023, the inventory warning index for automobile dealers in China was 57.2%, showing a year-on-year decrease of 2.2 percentage points and a month-on-month increase of 0.6 percentage points [1] Group 1 - The inventory warning index for July 2023 is 57.2% [1] - Year-on-year, the index decreased by 2.2 percentage points [1] - Month-on-month, the index increased by 0.6 percentage points [1]

Core Viewpoint - The latest "China Automobile Dealer Inventory Warning Index Survey" indicates a slight decline in the automotive circulation industry's prosperity, with the index at 57.2% in July 2025, down 2.2 percentage points year-on-year but up 0.6 percentage points month-on-month [1] Market Conditions - July marks a traditional off-season for the automotive market, influenced by the phased withdrawal of subsidy policies, reduced automotive consumer finance rebates, and decreased promotional efforts from manufacturers. This has led to increased consumer hesitation, with 47.7% of dealers reporting a downward trend in the overall market, with declines exceeding 5% [2] - Despite a slight overshoot in demand due to mid-year sales, the effective digestion of previously accumulated orders and the summer tourism boom have kept market activity relatively high. However, extreme weather and manufacturers' summer breaks have contributed to a slight decrease in dealer inventory levels compared to the end of June [2] - Passenger car sales in July are expected to be around 1.9 million units, slightly above expectations [2] Dealer Challenges - Dealers are facing ongoing challenges, including a decline in customer foot traffic, extended purchase decision cycles due to market conditions and policy adjustments, and lower-than-expected transaction rates. Additionally, the slowing inventory turnover is causing financial pressure, squeezing the gross profit margins on new car sales and increasing operational stress for dealers [2] Index Breakdown - The inventory warning index for July shows a regional breakdown: the national index is 57.2%, with the Northern region at 60.5%, Eastern region at 59.8%, Western region at 52.9%, and Southern region at 53.4% [4] - By brand type, the index for luxury and imported brands, as well as joint venture brands, has increased month-on-month, while the index for domestic brands has decreased [7] Future Market Outlook - The automotive market is expected to operate steadily in August, with short-term demand being suppressed by extreme weather conditions. However, the upcoming school season and promotional activities, such as the 818 car purchase festival and various auto shows, are anticipated to boost terminal sales [9] - The National Development and Reform Commission and the Ministry of Finance have issued a third batch of 69 billion yuan in national subsidies to support local implementation of trade-in policies, with a fourth batch expected in October. This is expected to positively impact the market performance in August compared to July [9] - The China Automobile Circulation Association advises dealers to rationally estimate actual market demand based on their circumstances and to enhance the promotion of trade-in and scrapping policies to boost consumer confidence while prioritizing cost reduction and efficiency [9]

Group 1 - The core viewpoint of the article indicates that the Vehicle Inventory Alert Index (VIA) for Chinese automotive dealers in July 2025 is at 57.2%, reflecting a year-on-year decrease of 2.2 percentage points and a month-on-month increase of 0.6 percentage points, suggesting a decline in the industry's prosperity [1]. Group 2 - The inventory alert index remains above the threshold line, indicating that the automotive circulation industry is experiencing a decrease in overall market conditions [1].

Group 1: Automotive Industry Overview - In June, China's automotive dealer inventory warning index was reported at 56.6%, a year-on-year decrease of 5.7 percentage points, but a month-on-month increase of 3.9 percentage points, indicating a decline in industry prosperity [1] - BYD reported sales of 382,585 new energy vehicles in June, with a cumulative sales figure of 2.15 million vehicles for the year [1] - Geely's June sales reached 236,036 vehicles, a year-on-year increase of 42%, prompting the company to raise its annual sales target from 2.71 million to 3 million vehicles [1] - Great Wall Motors sold 110,700 vehicles in June, reflecting a year-on-year growth of 12.86% [1] - New energy vehicle startups showed significant growth, with Xpeng delivering 34,611 vehicles in June, a year-on-year increase of 224% [1] Group 2: Company Developments - GAC Group announced that its first model in collaboration with Huawei is expected to be launched in 2026, focusing on the high-end market [4] - Li Auto's VP clarified that a fire incident involving a Li L7 vehicle was caused by burning debris from a hotel, and no injuries were reported [4] - Aich Automotive Technology (Shanghai) Co., Ltd. has a new equity freeze of 1.5 billion RMB, with a three-year duration, as reported by the National Enterprise Credit Information Publicity System [5][6] Group 3: International Automotive Performance - South Korea's five major automakers reported a 0.2% year-on-year increase in global sales for June, totaling 691,507 vehicles [7] - Hyundai's global sales reached 358,891 vehicles, up 1.5% year-on-year, while Kia sold 269,652 vehicles, reflecting a 0.2% increase [7] Group 4: Financial Reporting Changes - Renault announced a change in the accounting method for its stake in Nissan, which will result in a non-cash loss of 9.5 billion euros, effective from June 30, 2025 [8]

Core Viewpoint - The latest Vehicle Inventory Alert Index (VIA) from the China Automobile Dealers Association indicates a slight decline in the automotive circulation industry's prosperity, with the index at 56.6% in June 2025, down 5.7 percentage points year-on-year but up 3.9 percentage points month-on-month [1]. Group 1: Market Performance - In June, automotive dealers aimed to meet half-year targets through promotions during the Dragon Boat Festival and "6.18" sales events, alongside increased family car purchases due to the end of the college entrance examination and summer travel [2]. - The total passenger car sales in June are expected to be around 2 million units, slightly exceeding expectations, despite rising dealer inventory levels due to the "price for volume" strategy [2]. - Only 27.5% of 4S stores met or exceeded their sales targets in the first half of the year, indicating significant pressure on most dealers, with a notable risk of inventory accumulation [2]. Group 2: Inventory and Demand Indicators - The inventory index for June has significantly increased, while market demand, average daily sales, and operational conditions indices have decreased, reflecting heightened market pressure [2]. - The national index stands at 56.6%, with regional indices showing variability: North at 60.2%, East at 54.9%, West at 62.7%, and South at 49.6% [3]. - The indices for luxury/imported, joint venture, and domestic brands have risen month-on-month, indicating varied performance across brand types [7]. Group 3: Future Market Outlook - The automotive market demand in July is expected to decline month-on-month due to demand exhaustion, adverse weather in some regions, and the traditional off-peak consumption season [9]. - Despite ongoing increases in manufacturer wholesale volumes, dealer inventory pressure is anticipated to worsen, although new vehicle launches and regional auto shows may help boost sales [9].

Core Viewpoint - The automotive circulation industry in China shows signs of improvement, with the inventory warning index for May 2025 at 52.7%, indicating a year-on-year decrease of 5.5 percentage points and a month-on-month decrease of 7.1 percentage points [1] Group 1: Market Conditions - The automotive market in May exhibited a "high at the front and low at the back" trend, driven by various auto shows and the "May Day" holiday effect, leading to a significant increase in consumer foot traffic [3] - The overall market price fluctuated greatly, with many consumers remaining in a wait-and-see state while closely monitoring the new car market [3] - The national total index for May was 52.7%, with regional indices showing varying levels of market pressure: North at 52.6%, East at 52.4%, West at 62.1%, and South at 48.1%, indicating lower activity in the southern region [5] Group 2: Dealer Insights - A survey indicated that 51.6% of dealers believe prices will decrease, while 45.2% think prices will remain stable, and only 3.2% expect price increases [7] - The overall transaction rate among dealers in May showed a decline, with 27.4% of dealers reporting a decrease in transaction rates, 56.1% stating it remained stable, and 16.6% noting an increase [6] - Inventory levels remained stable, with 61.8% of dealers reporting inventory levels as unchanged, while 17.2% noted a decrease [8] Group 3: Future Outlook - Dealers expressed a pessimistic outlook for June, with 41.4% expecting a decrease in market demand and 68.2% rating their operational status as average [9] - The market is anticipated to improve due to promotional strategies for the upcoming 618 shopping festival, with 54.8% of 4S stores preparing for activities [10] - Despite the challenges, consumer confidence is expected to rebound, supported by policies like trade-in incentives and new car launches [10]

Core Viewpoint - The latest Vehicle Inventory Alert Index (VIA) for May 2025 indicates a slight improvement in the automotive circulation industry in China, with a current index of 52.7%, reflecting a year-on-year decrease of 5.5 percentage points and a month-on-month decrease of 7.1 percentage points, suggesting a recovery in market conditions [2][4]. Summary by Sections Market Performance - The automotive market in May exhibited a "high at the beginning and low at the end" trend, driven by various regional auto shows and the "May Day" holiday, which boosted consumer demand for family car purchases [4]. - The "old-for-new" vehicle policy and local consumption promotion measures have further stimulated consumer enthusiasm [4]. - As of May, 54.8% of 4S dealerships are preparing for promotional activities related to the 618 shopping festival, while 19.1% have already started promotions [4]. Dealer Conditions - Despite increased customer traffic, the fluctuation in terminal prices has extended order and transaction cycles, leading to slower capital recovery and heightened operational pressure for dealers [4]. - Only 35.0% of 4S dealerships have met or exceeded their sales targets for the first half of the year, with 64.9% falling short, including 17.8% close to completion [4]. Index Breakdown - The inventory and employment sub-indices decreased month-on-month, while market demand, average daily sales, and operational status sub-indices increased [4]. - The national index for May stands at 52.7%, with regional indices showing variations: North at 52.6%, East at 52.4%, West at 62.1%, and South at 48.1% [6]. Brand Performance - The indices for luxury and imported brands, joint ventures, and domestic brands all saw month-on-month declines in May [8]. Future Market Outlook - Looking ahead to June, dealers are cautiously pessimistic, with 37.6% expecting sales to remain flat, 27.4% optimistic, and 35.0% predicting a decline of up to 5% [8]. - The China Automobile Circulation Association suggests that due to increasing market uncertainties, dealers should rationally estimate actual market demand and enhance the promotion of "old-for-new" and scrapping policies to boost consumer confidence [8].

Core Insights - The latest "Vehicle Inventory Alert Index" (VIA) released by the China Automobile Dealers Association indicates that the inventory warning index for May 2025 is at 52.7%, showing a year-on-year decrease of 5.5 percentage points and a month-on-month decrease of 7.1 percentage points [1] Industry Summary - The inventory warning index is above the threshold line, suggesting an improvement in the automotive circulation industry's prosperity [1]