China Oct auto sales rise at slowest pace in five months – industry body

China Oct auto sales rise at slowest pace in five months - industry body

SHANGHAI/BEIJING : China’s auto sales rose at their slowest pace in five months in October, from a weak base a year ago, underscoring faltering demand due to waning effect of incentives, while persistent zero-COVID policies kept consumers away from shopping sentiment.

The world’s biggest auto market posted sales of 2.51 million units in October, a 6.9 per cent rise from the same month a year ago, according to data from the China Association of Automobile Manufacturers (CAAM) on Thursday.

This time of year, known as “Golden September, Silver October”, is usually a high point in sales for the industry, with consumers making purchases after staying away from showrooms during the stifling summer months.

However, a prolonged global shortage of semiconductors disrupted production and dragged sales last year and the weak performance this year would further drag on the recovery of the overall auto sales, which for the first 10 months were 4.6 per cent higher than the same period in 2021, CAAM data showed.

In July, CAAM lowered its auto growth projection for 2022 to 3 per cent from an earlier estimation of 5.4 per cent.

CAAM tracks broader auto wholesales from manufacturers to dealers, including passenger vehicles, buses and trucks while the China Passenger Car Association, which reported October sales earlier this week, focuses on retail sales of cars.

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