On January 9, the Automotive Market Research Branch of the China Automobile Dealers Association (CADA) released the production and sales data for passenger vehicles in December 2019. According to the data, in December 2019, narrow-definition passenger vehicle sales totaled 2.14 million units, a year-on-year decrease of 3.4%. For the full year 2019, cumulative narrow-definition passenger vehicle sales reached 20.6976 million units, down 7.4% year-on-year—a significantly larger decline than the -3% growth rate recorded in 2018, representing a downturn that exceeded expectations.

Cui Dongshu, Secretary-General of the China Association of Automobile Manufacturers, analyzed that December 2019 sales failed to meet growth expectations, with a month-on-month increase of only 11.1%. This figure is among the lowest in historical terms, reflecting weak market demand and continued significant pressure on the market. Looking at overall auto sales, in the past, whether the Spring Festival fell earlier or later, December’s month-on-month growth typically hovered around 15%, reaching as high as 16% at its peak. The fact that December’s month-on-month growth has now hit a historic low underscores the market’s relatively weak performance.

Specifically, in December 2019, combined sales of passenger cars exceeded 1.01 million units, down 6.9% year-on-year; combined sales of SUVs reached 990,000 units, up 2.5% year-on-year; and combined sales of MPVs totaled 132,000 units, down 15.2% year-on-year. For the full year 2019, cumulative combined sales of passenger cars amounted to 10.14 million units, down 9.1% year-on-year; cumulative combined sales of SUVs reached 9.18 million units, down 3.6% year-on-year; and cumulative combined sales of MPVs totaled 1.37 million units, down 18.2% year-on-year.

In December 2019, according to the comprehensive sales rankings of narrow-definition passenger vehicle manufacturers, the top five were FAW-Volkswagen, SAIC-Volkswagen, Dongfeng Nissan, Geely Automobile, and SAIC-GM, with sales volumes of 228,000 units, 221,000 units, 143,600 units, 126,700 units, and 124,500 units, respectively. Cui Dongshu noted that the manufacturer rankings in December last year showed significant changes compared to previous years, when FAW-Volkswagen, SAIC-Volkswagen, and SAIC-GM typically occupied the top three positions—a clear divergence had emerged. “U.S.-made vehicles haven’t performed strongly, partly due to fuel consumption issues. Last year, several U.S.-brand automakers introduced three-cylinder engines, but so far, market acceptance has been less than ideal.”

In addition, regarding new-energy vehicles, in December 2019, wholesale sales of new-energy passenger cars reached 137,000 units, a year-on-year decrease of 15.1%. For the full year 2019, wholesale sales of new-energy passenger cars totaled 1.06 million units, representing a year-on-year growth rate of 5.1%.