Davis Index: Market Intelligence for the Global Metals and Recycled Materials Markets

Chinese vehicle sales declined by 8.2pc in 2019 and are expected to drop again for a third consecutive year according to data from the China Association of Automobile Manufacturers (CAMM).


The CAMM data attributes the decline to the trade war with the US and new emissions standards introduced by the Chinese government. Vehicle sales are slated to fall by 2pc in 2020 compared to 8.2pc in 2019. CAMM also confirmed auto sales declined for the 18th consecutive month in December 2019.


Vehicle sales began declining in 2018 by 2.8pc, halting a consistent rise dating back to 1990. Industry analysts hope dissipating trade tensions between the US and China will result in rebounding sales. 


New Energy Vehicle (NEV) sales rose by 6.2pc in 2018, but subsidies being scuttled, sales declined by 27.4pc in December 2019, resulting in a 5pc decline to 1.24mn units. CAAM expects more of the same in 2020.


Global automakers released caution-laden forecasts for 2020 after having cut production and shut factories, resulting in major layoffs, in 2019. Ford, for example, said its sales declined by more than 25pc in 2019; in 2018, its sales fell 37pc. 


Matt Tsein, GM’s president, expects Chinese sales to keep decreasing in 2020, and by 15pc compared to 2019. 

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