Recently, the China Passenger Car Association released the latest new car sales report, in which the data shows that from February 1 to 16, 2020 (the first half of the month), the retail daily average sales volume of Chinese passenger car manufacturers was 2249, down 92% year-on-year compared with 29090 in the same period last year, a record drop. Specifically, in the first week of February (1-9), the average daily retail sales of passenger vehicles in China was only 811, down 96% compared with 22965 in the same period of last year; in the second week (10-16 February), the average daily retail sales was only 4098, down 89% compared with 36965 in the same period of last year.

According to the survey results of China Automobile Circulation Industry Association on February 20, the return rate of tangible markets in all parts of the country is 15%, and most of the automobile markets have not yet been fully restored. The return rate of 4S shop is 40%, and that of secondary dealers and used car dealers is 4%.

Therefore, according to the analysis of the passenger Federation, the retail trend of the domestic passenger car market in the first two weeks of February was low, mainly due to the comprehensive impact of the renovation after the Spring Festival and the new pneumonia epidemic. The number of dealers opened in various places was small, and the passenger flow of the dealership was small, so only the particularly urgent car buyers could buy cars during the epidemic. In February, the sales volume of automobile manufacturers will be significantly lower than expected, and the sales volume is expected to drop about 70% year on year. The cumulative sales volume from January to February is expected to drop nearly 40% year-on-year, about 10 points lower than the previous two months.

However, the Federation said that the sharp decline in car retail volume is only a temporary impact, and the recovery speed depends on the relevant measures of local governments.

In order to hedge the impact of the epidemic, Wang Bin, deputy director of the market operation Department of the Ministry of Commerce, said on February 20 that the Ministry of Commerce would study and issue policies and measures to further stabilize automobile consumption with relevant departments. At the same time, encourage all regions to introduce measures to promote new energy vehicle consumption, increase the purchase restriction index of traditional vehicles and carry out the replacement of old vehicles with new ones according to local conditions, so as to promote automobile consumption.