and CarMax this morning popping after strong results today. Although off of the best levels of the session, our Phil Labau joins us to talk more about the takeaways from that and whether or not Phil tariffs are feeding demand for used cars. Well, they're definitely feeding demand.Everybody in the industry knows that because you saw a surge especially in April and in May. That's some of the results that you see reflected by CarMax. They beat on the top and the bottom line, Carl.And when you read the analyst ...

Group 1: Market Overview - From June 1 to June 8, the national retail sales of passenger cars reached 343,000 units, a year-on-year increase of 19%, but a month-on-month decrease of 12%. Cumulative retail sales for the year reached 9.159 million units, up 10% year-on-year [1][3] - During the same period, wholesale sales of passenger cars amounted to 311,000 units, a year-on-year increase of 10% and a month-on-month decrease of 2%. Cumulative wholesale sales for the year reached 11.1 million units, up 12% year-on-year [1][5] - The retail penetration rate of new energy vehicles (NEVs) reached 58.8%, with retail sales of 202,000 units, a year-on-year increase of 40% [1][3] Group 2: Economic and Policy Impact - The domestic economic situation has improved, particularly in exports, which has stabilized domestic demand. Various local policies promoting consumption have activated market conditions [3] - Dealers have intensified promotional activities to capitalize on trade-in policies, leading to increased consumer purchasing enthusiasm [3][5] - The automotive market is experiencing a shift in consumption hotspots, with strong performances in pure electric vehicles, range-extended new products, and hybrid models [3] Group 3: Used Car Market - In the first four months of 2025, the used car transaction volume reached 6.31 million units, a year-on-year increase of 0.5%, while transaction value decreased by 2.7% to 413.4 billion yuan [5][6] - The penetration rate of new energy vehicles in the used car market reached 9.1% in April 2025 [5][6] - The used car market in China is in a rapid growth phase, with significant potential for future development, especially with the introduction of national scrappage policies [6] Group 4: Export Performance - In April 2025, the sales of Chinese self-owned brands in overseas markets reached 241,000 units, a year-on-year increase of 13% [7] - From January to April 2025, the total overseas sales of Chinese self-owned brands reached 660,000 units, up 9% year-on-year [7] - The export strategy of Chinese automotive brands has evolved, focusing on local assembly and production, which has shown significant results [8] Group 5: Price Trends - The number of models with price reductions has significantly decreased from January to May 2025, indicating a stabilization in pricing strategies [9] - The average price reduction for new energy vehicles was 17,000 yuan, with an overall market reduction of 23,000 yuan during the same period [10] - The promotional efforts for new energy vehicles have increased, with a promotional reduction rate of 11% in May 2025, reflecting a recovery in market conditions [10]