China car sales climb 8.3% in Dec, bolstered by price war

CHINA’S passenger car sales climbed 8.3 per cent in December, bringing to a close a strong year for auto giant BYD and other domestic brands, which have been outselling their foreign rivals.

Sales came in at 2.37 million vehicles for December, the fifth straight month of gains, although growth fell back from a jump of 25.5 per cent for November, the China Passenger Car Association (CPCA) said on Tuesday (Jan 9).

Full-year sales rose 5.3 per cent to 21.93 million – the third consecutive year of growth for the world’s largest car market, amid a bruising price war as carmakers sought to woo consumers unnerved by a faltering economic recovery.

Last year also saw China almost certainly become the world’s largest exporter of passenger cars, surpassing Japan, as BYD and other local electric vehicle brands made strides overseas.

China’s passenger vehicle exports increased 62 per cent in 2023 to a record 3.83 million vehicles. Japanese customs data shows passenger car exports at 3.5 million for the first 11 months of the year, excluding second-hand vehicles.

Sales of pure battery-powered vehicles in China climbed 20.8 per cent last year after a 74.2 per cent jump in 2022. Sales of plug-in hybrids, more economically affordable than pure electrics, grew 82.5 per cent last year after a 160.5 per cent surge a year earlier. REUTERS