Core Viewpoint - The article discusses the recent trends in the Chinese passenger car market's intelligence index, highlighting a decline in the overall intelligence index and its components, while also indicating potential recovery due to policy changes and market dynamics [3][12]. Summary by Sections Overall Intelligence Index - The passenger car intelligence index for July 2025 is reported at 34.2, marking a decrease of 1.4 units from the previous month, ending a continuous growth trend observed from April to June [12]. - The decline is attributed to seasonal sales fluctuations and a significant drop in Tesla's domestic sales, which fell by 34% in July [12]. Component Indices - The smart cockpit index stands at 36.5, experiencing a month-on-month decrease of 1.7 units, halting its previous growth trend [7]. - The smart driving index is recorded at 38.4, with a slight decline of 1.3 units, indicating a minor retreat from its earlier upward trajectory [9]. - The external smart index remains lower at 16.5, reflecting the emerging nature of this area [3]. Market Performance - In July 2025, the retail sales of passenger cars reached 1.844 million units, showing a year-on-year increase of 7.3% but a month-on-month decline of 11.6% [12]. - The retail sales of new energy vehicles amounted to 987,000 units, with a year-on-year growth of 12.0% but a month-on-month decrease of 11.2% [12]. Future Outlook - Despite the current downturn, the article suggests that the intelligence index may recover in August due to the resumption of national subsidy policies, which could provide structural benefits to the market [12]. - The article emphasizes the importance of continuously updating the intelligence index to better reflect market dynamics and set mid-term development goals [12].