🐂 Not all bull runs are created equal. November’s AI picks include 5 stocks up +20% eachUnlock Stocks

China September vehicle sales growth slowest in 19 months

Published 13/10/2014, 08:07
© Reuters A boy looks out from the sunroof of a car during a traffic jam on the Jingshi Highway, on national day holidays in Zhuozhou
MBGn
-
BMWG
-
HMC
-
VOWG_p
-
7201
-

BEIJING (Reuters) - China's September auto sales rose 2.5 percent from a year earlier, its slowest pace in 19 months, dragged down by sluggish sales of commercial vehicles such as trucks, an industry association said on Monday.

Vehicles sales totalled 1.98 million units last month, the China Association of Automobile Manufacturers (CAAM) told a press conference in Beijing. Passenger vehicle sales rose 6.4 percent while commercial vehicle sales slumped 16 percent.

During the first nine months of 2014, China's vehicle sales rose 7.0 percent from a year earlier.

CAAM has forecast that the market will expand 8.3 percent this year, slowing from last year's 13.9 percent pace.

"China already has a huge auto market, and with more cities expected to restrict auto sales to fight pollution, it's natural for growth to slow down," said Li Xiangfeng, an analyst at Shanghai-based consultancy ISE.

"The market cannot grow at double-digit pace forever," he said, adding that the slump in commercial vehicle sales might be cased by a slowing economy.

In September, Japanese carmakers Nissan Motor Co Ltd (T:7201) and Honda Motor Co Ltd (T:7267) both posted their third consecutive monthly decline in China sales, registering decreases of 20 percent and 23 percent respectively.

Nissan attributed the decline to sluggish sales of commercial vehicles and increased competition while Honda said dealers had been clearing inventory ahead of the launch of two new models later this year.

On the other hand, sales of German brands have continued to be robust. Premium carmaker BMW (DE:BMWG) posted a 17.9 percent growth during the first nine months while Daimler AG's (DE:DAIGn) Mercedes Benz said its China sales jumped 30.5 percent in September.

© Reuters. A boy looks out from the sunroof of a car during a traffic jam on the Jingshi Highway, on national day holidays in Zhuozhou

Volkswagen AG's (DE:VOWG_p) premium brand Audi posted a 13 percent increase in China sales in September.

(Reporting by Beijing Newsroom; Writing by Samuel Shen; Editing by Kazunori Takada and Sunil Nair)

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.