Car sales in China fell sharply last month again. It is tenth month in a row that the Chinese are buying fewer cars compared to a year earlier. Before this decline, the market enjoyed rising sales for decades.
The Chinese bought 12 percent fewer passenger cars in March compared to a year earlier. That amounted to 1.78 million vehicles. The decrease from a month earlier was indeed stronger, almost 20 percent. The slowdown in the Chinese economy, partly due to trade tensions with the United States, and the adjustments in the tax system led to a fall in demand for cars.
Falling sales are bad news for automakers worldwide. China is the largest source of growth for many car companies. China has 1.4 billion people but only 200 million passenger cars.
Maurice Esma, a co-founder of EconomicInform is a freelance journalist with the expertise in international finance and corporate rights. The author can be reached by email [email protected]