Analysts Reports Slowest Auto Sales due to Sluggish Sales of Commercial Vehicles
Auto sales for the month of September increase by 2.5 percent compared to a year earlier in which analysts say the slowest pace in 19 months due to sluggish sales of commercial vehicles. Vehicle sales totaled 1.98 million units last month while passenger vehicle sales increased by 6.4 percent as sales from commercial vehicles have slumped down by 16 percent.
China already have a huge auto market and with more cities is expected to restrict their auto sales to combat pollution it it only natural to see a slumped in vehicle sales. According to CAAM the market can’t grow in a double digit pace forever and because the clumped in sales is being caused by the slow economy. This is seen in September as Japanese car makers Honda Motor and Nissan Motor posted their third consecutive monthly decline in sales in China as they registered a 23 percent and 20 percent decrease respectively.
While Nissan stated the decline of their sales of commercial vehicles along with increase in competition and Honda said that dealers have been clearing remaining inventory since the launch of two new models. On the other hand other car brands such as BMW posted a 17.9 percent growth while Mercedes Benz posted a 30 percent jump in sales in September.