BEIJING (Reuters) - Auto sales in China plunged 79% in February, marking their biggest ever monthly decline, with demand pummelled by the coronavirus outbreak.
Sales in the world's biggest auto market tumbled to 310,000 vehicles from the same month a year earlier, falling for a 20th straight month, the China Association of Automobile Manufacturers (CAAM) said.
"China's auto sales for February returned levels not seen since 2005," said Chen Shihua, a senior association official.
Sales of new energy vehicles, which include battery-electric cars, contracted for an eighth month in a row.
A CAAM official told Reuters last month that sales are likely to drop by more than 10% in the first half of this year. If the outbreak is effectively contained in China before April, the decline could be around 5% for the whole year, he added.
In Hubei province where the outbreak began and which is a major car manufacturing hub responsible for nearly 10% of China's output, Dongfeng Motor Group Co Ltd (HK:0489) and its partners Honda Motor (T:7267), Renault SA (PA:RENA) and Peugeot SA (PA:PEUP) have all said they are delaying the restart of production.
Tesla's (O:TSLA) production and delivery plans in Shanghai, have also been disrupted.
However, after authorities in Wuhan on Wednesday lifted restrictions on a limited number of key industries in the city and allowed some people to return to work, Honda resumed limited output at a car plant in the city.
Nissan Motor (T:7201) has also said it plans to partially resume production in Xiangyang, another city in Hubei, as well as its plant in Zhengzhou, Henan.
Industry-wide auto sales fell 8.2% last year, pressured by new emission standards in a shrinking economy and trade tensions with the United States.