Light-vehicle sales rise 20% in October behind tax breaks on small cars
China's light-vehicle sales rose more than 20 percent for the fourth straight month in October as consumers took advantage of a soon-to-expire tax incentive for small cars.
Deliveries totaled 2.34 million vehicles last month, for a gain of 20 percent from October 2015, according to the China Association of Automobile Manufacturers.
October sales of SUVs and crossovers surged 43 percent year on year to 896,000 vehicles, while MPV deliveries jumped 20 percent to 231,800 vehicles.
Sedan sales also increased 10 percent to approximately 1.17 million vehicles.
But microvan deliveries continued to shrink, plunging 32 percent to 45,800 vehicles. That's because rural car residents, the traditional customers for cheap, no-frills microvans, have been switching to small crossovers and MPVs.
For the first ten months, China's light-vehicle sales totaled 19.09 million vehicles, up 15 percent from the same period last year.
In October 2015, the central government halved the purchase tax to 5 percent for vehicles with engine displacements of 1.6 liters and below.
The tax cut is due to expire at the end of this year.
October sales of SUVs and crossovers surged 43 percent year on year to 896,000 vehicles, while MPV deliveries jumped 20 percent to 231,800 vehicles.
Sedan sales also increased 10 percent to approximately 1.17 million vehicles.
But microvan deliveries continued to shrink, plunging 32 percent to 45,800 vehicles. That's because rural car residents, the traditional customers for cheap, no-frills microvans, have been switching to small crossovers and MPVs.
For the first ten months, China's light-vehicle sales totaled 19.09 million vehicles, up 15 percent from the same period last year.
In October 2015, the central government halved the purchase tax to 5 percent for vehicles with engine displacements of 1.6 liters and below.
The tax cut is due to expire at the end of this year.
