Core Insights - The retail sales of passenger cars in China for September 2023 reached 2.239 million units, representing a year-on-year increase of 6% and a month-on-month increase of 11% [1] - Cumulative retail sales for the year 2023 stand at 17.004 million units, showing a year-on-year growth of 9% [1] - The retail market for passenger cars in September 2025 is stable compared to 2023, but weaker than the performance in early September 2024 [1] Market Dynamics - The strong retail performance in August 2023 was driven by the government's expanded trade-in policy initiated at the end of July 2024, which led to higher-than-expected sales [1] - Some dealers shifted sales from late August to early September to achieve a more balanced monthly sales progress, resulting in a slight negative growth in early September 2023 [1] - The implementation of trade-in subsidies in certain regions has been cautious, considering the sustainability of these subsidies, leading to slower sales trends in those areas [1] Seasonal Factors - The third week of September 2023 showed better year-on-year performance due to a low sales base from the previous year, as September 17, 2022, coincided with the Mid-Autumn Festival [1] - Despite the improved weekly performance, the overall market trend remains relatively stable without surpassing the average daily contribution of sales [1]

Core Insights - The retail sales of passenger cars in China from July 1 to 27 reached 1.445 million units, representing a year-on-year increase of 9% but a month-on-month decline of 19% [1][5] - Cumulative retail sales for the year amount to 12.346 million units, showing an 11% year-on-year growth [1][5] - Wholesale sales during the same period totaled 1.505 million units, marking a 17% year-on-year increase but a 25% decline from the previous month [1][8] - Cumulative wholesale sales for the year stand at 14.785 million units, reflecting a 13% year-on-year growth [1][8] Retail Market Performance - The retail of new energy vehicles (NEVs) reached 789,000 units from July 1 to 27, a 15% increase year-on-year but a 17% decrease month-on-month [1][5] - The penetration rate of NEVs in the retail market is 54.6%, with cumulative retail sales for the year at 6.258 million units, a 31% year-on-year increase [1][5] - The wholesale of NEVs during the same period was 816,000 units, up 17% year-on-year but down 20% month-on-month [1][5] Weekly Sales Trends - Daily average retail sales for the first week of July were 40,000 units, a 1% increase year-on-year but a 6% decrease month-on-month [4] - Daily average retail sales increased to 48,000 units in the second week, reflecting an 11% year-on-year growth but a 4% decline from the previous week [4] - The third week saw daily average retail sales rise to 58,000 units, a 17% year-on-year increase but a 20% month-on-month decline [4] - By the fourth week, daily average retail sales reached 67,000 units, showing a 5% year-on-year growth but a significant 30% decrease from the previous month [4] Market Dynamics - The domestic economic situation has improved, particularly in exports, which has stabilized domestic demand [5] - The passenger car market is experiencing structural differentiation, with traditional fuel vehicle inventories increasing amid market contraction [5] - The market is entering a consolidation phase, with expectations of a prolonged summer break affecting sales [5] - The monthly sales patterns are becoming more stable, with July historically contributing a larger share to annual sales in recent years compared to earlier periods [5]

Group 1: Market Overview - From July 1-6, the national retail sales of passenger cars reached 238,000 units, a year-on-year increase of 1%, but a decrease of 6% compared to the previous month. Cumulative retail sales for the year reached 11.14 million units, up 11% year-on-year [1][3] - In the same period, wholesale sales of passenger cars were 233,000 units, showing a year-on-year increase of 39% and no change from the previous month. Cumulative wholesale sales for the year reached 13.51 million units, up 13% year-on-year [1][5] - The retail penetration rate for new energy vehicles (NEVs) was 56.7%, with retail sales of 135,000 units, a year-on-year increase of 21% but a decrease of 11% from the previous month. Cumulative retail sales of NEVs reached 6.58 million units, up 37% year-on-year [1][3] Group 2: Market Trends and Predictions - The domestic economic situation has improved, particularly in exports, stabilizing domestic demand. July is expected to be a month of adjustment in the car market, with a structural differentiation in growth [3][4] - The trend of "old-for-new" vehicle replacement is anticipated to strengthen in the second half of the year, with recommendations for local governments to improve budget planning for subsidies [4][6] - The automotive industry is increasingly driven by both domestic and international demand, with a notable improvement in industry order and a strong start to production and sales in July [5][6] Group 3: Pricing Analysis - The number of models with price reductions has significantly decreased in 2025, with only 14 models in June compared to higher numbers in earlier months. The average price reduction for new energy vehicles was 12% in the first half of 2025 [8][9] - The average price reduction for conventional fuel vehicles was 8.9% in the first half of 2025, indicating a trend of stabilizing prices in the market [9][10] Group 4: Used Car Market Insights - The used car market in China is experiencing growth, with a transaction volume of 7.91 million units in the first five months of 2025, up 0.6% year-on-year, although transaction value decreased by 2.1% [9][10] - The potential for the used car market is significant, especially with the development of new energy vehicles, which provide consumers with lower-cost options for car ownership [10]