Car sales in China have fell down by 92% in the first half of this month as the Coronavirus outbreak grows severe
According to the China Passenger Car Association (CPCA), automobile sales in the Republic of China saw a 92% year-on-year decline in the first half of February 2020 due to the widespread Coronavirus. What’s more is that the sales in the first week of this month averaged at just 811 vehicles sold per day in the entire country, resulting in a 96% YoY decrease.
According to Cui Dongshu, secretary-general of CPCA, there was no one to be seen at car dealerships in the first week of February, as people stayed at their homes in order to prevent the spread of the deadly virus. Only a few dealerships were open during the first two weeks of February, and they’ve had limited buyers visiting them.
The shut down in the country has not only affected the Chinese automotive market, but markets around the globe since the supply chain has been affected. Manufacturers are not getting the necessary components required to manufacture their respective vehicles, since many parts are sourced from China.
Manufacturers like Nissan and Honda are delaying the re-opening of their manufacturing plants in the country until at least March 11, following the local government’s latest announcement. Jaguar Land Rover has said that it only has two weeks’ supply of parts left and if the situation persists, production would certainly be affected.
Hyundai’s luxury sub-brand Genesis has delayed the launch of its G80 facelift since the production has been idled at all seven of its plants in its home country, South Korea. The decision has been taken because there is a lack of parts from suppliers in China.
The annual Beijing International Automotive Exhibition was set to be held between April 21 and April 30, but has now been postponed because of the widespread of the virus. While a new date for the event will be announced in the future, many manufacturers will find other places to launch new products which were set to make their debut at the said event in Beijing.