Core Insights - The average daily transaction volume in the used car market from July 14 to July 20, 2025, was 64,500 units, reflecting a week-on-week increase of 1.09%, but a year-on-year decrease of 2.1% compared to June [1] - The total transaction volume from July 1 to July 20 was 1.15 million units, down 1.5% from the same period in June, with an estimated total for the month around 1.61 million units [1] - Approximately 54% of used car dealers reported average transaction volumes, while 25% noted a significant decline compared to the previous week, indicating varied operational conditions among dealers [1] - Price trends are mixed, with 20% of dealers reporting price increases due to temporary concentrated demand for certain models, while 35% indicated a downward price spiral, highlighting an overall supply surplus [1] - The new car market has stabilized in pricing, which is expected to encourage consumers to trade in old cars, increasing supply in the used car market and stabilizing price expectations [1] Market Conditions - The used car market is currently in a traditional off-season, leading to decreased transaction volumes and dealer challenges such as inventory buildup and cash flow issues [2] - Seasonal consumption characteristics may lead to a small consumption peak due to improved weather, increased travel demand, and upcoming holidays and promotions, potentially boosting market performance [2] Regional Analysis - In the East China region, the average daily transaction volume was 21,800 units, with a week-on-week increase of 5.23%, particularly strong in cities like Nanchang and Linyi, which saw increases exceeding 25% [5] - The North China region reported an average daily transaction volume of 2,600 units, with a week-on-week growth of 3.76%, driven by cities like Langfang and Chifeng [5] - The Northeast region's average daily transaction volume was 2,400 units, with a week-on-week increase of 4.26%, led by strong performances in Changchun and Shenyang [6] - The Southwest region experienced a decline in average daily transaction volume to 12,600 units, down 2.25%, with cities like Mianyang and Guiyang showing notable decreases [6] - The Central South region's average daily transaction volume was 24,000 units, down 1.53%, with Guangzhou and Pingdingshan experiencing significant declines [7] - The Northwest region saw an increase in average daily transaction volume to 1,000 units, up 8.26%, with cities like Lanzhou and Wuzhong showing positive trends [7]