Only in China could a 45 percent sales increase be seen as a down month. Following a fantastic January that saw sales surge 84 percent to 1.22 million, China’s sales slipped to just 881,085 units in February. Although down 39 percent for January’s figures, that tally still represents a year-on-year sales increase of 45 percent.
Auto sales tend to slow during the month of February in China, largely due to the Lunar New Year holiday. This year was no exception, as the Chinese auto market slowed from its typical breakneck speed.
Still, 45 percent is a healthy growth margin, with most automakers still cashing in on China’s boom time. Small passenger cars and minivans lead sales in February, due to government incentives on those types of vehicles.
China posted a 45 percent sales growth last year – boosting the market to 13.6 million units and overtaking the United States as the world’s largest auto market – but analysts aren’t expecting a repeat performance for 2010. Despite China’s fast start to 2010, most are expecting a yearly growth rate in the 10-20 percent range.
References
1. ‘China passenger car…’ view
