Data from China Association of Automobile Manufactures reveals that in November, production and sales numbers all exceeded 2.5m units in the automobile industry, recording a historical high. Sales number of passenger vehicles with displacement less than 1.6L reaches 1.56m units, increasing 16.5% with the previous month, 3.1 percentage points higher than the growth rate of total passenger vehicles. The growth rate compared with the same period of last year is 29%, 5.3 percentage points higher than that of total passenger vehicles.
In the passenger vehicle market, vehicle with displacement no more than 1.6L accounts for 70.9% in terms of sales, 1.9 percentage points higher than that of last month. Purchasing tax halving benefits will continue to promote the sales. Analysis believes that with small displacement vehicles becoming trend of the market, market share of displacement no more than 1.6L will continue to go up. Sales of vehicles with displacement no more than 1.6L increases 13% in November, compared with the decrease of 5% of displacement larger than 1.6L. The top ten best-selling passenger vehicle models are all equipped with displacement less than 1.6L. The sales champion Lavida’s single month sales volume exceeded 40,000 units, which is seldom seen in the adjusting market. Besides, Sylphy and Excelle all sold more than 30,000 units in November.
In 2016, cars and SUVs with displacement no more than 1.6L will continue to fuel the market growth. Under the incentive of purchasing vehicle tax benefits, car market will rally and SUV market will still keep a rapid growth, with trends of transiting to small displacement.
Influenced by the policy, vehicles with small displacement will still be the driving force of market growth. Relevant market analysts told reporters that, “Purchasing tax benefits policy could be regarded asa stimulating measure to maintain the economic growth. Automobile enterprises will fully enjoy the policy dividend and strive to promote sales volume.”
This round of purchasing tax benefits will end at the end of 2016. Therefore, passenger vehicle market will present a “V-shape” trend in the next year. Professionals believe the automobile market will have a higher growth rate of 7% in 2016, and the passenger car market is higher.
Automobile analysts said,” Different from solely promoting sales growth, this round of stimulating policy has significantly adjusted the market structure.” It’s predicted that small displacement vehicles and alternative energy vehicles will become the market hot spots.
