Affected by the epidemic at the beginning of 2020, the development of major manufacturing industries has been frequently hindered, and the automobile industry, as one of the country’s pillar industries, bears the brunt. According to data from the China Association of Automobile Manufacturers, in the three months of the first quarter, automobile production and sales showed negative growth, especially in the month of 2, the year-on-year decline reached 79.79% and 79.08%. Entering the second quarter, the auto industry showed signs of recovery. In April, the production and sales volume of automobiles rose slightly year-on-year. May-June, the automobile market sentiment index continued to rise, and the year-on-year growth rate of automobile production and sales both reached double digits. June monthly car production reached 2.325 million units, a month-on-month increase of 6.31%, Year-on-year growth of 22.69%; car sales reached 2.300 million, a month-on-month growth of 4.83% SPAN>, a year-on-year increase of 11.87%. Automobile production and sales both hit record highs this year. At the same time, 1-6accumulated monthly production reached 10.112 million, a year-on-year decrease of 16.62%; Cumulative sales reached 10.257 million, a year-on-year decrease of 16.74%, and the rate of decline continued to tighten, overall exceeding expectations.
Source: Tiantian Chemical Industry Network
From the end of January to the beginning of February is the national traditional Spring Festival. Major domestic automakers, dealers, and distributors have stopped working and production. Consumers often do not choose to buy new cars during this time. They either have already prepared before the festival. Or prepare to make other plans after the festival. However, what is unexpected is that a sudden new crown epidemic broke out in February and spread wildly in March. This is undoubtedly worse for major domestic car companies. Fortunately, with the hard work of the national government and the positive response of the people across the country, the demonic epidemic was finally brought under effective control in the shortest possible time. In this way, all walks of life can be revitalized, and the automobile industry is naturally not a problem. This can be seen from the recovery trend of automobile production and sales in the second quarter. In addition, the overall optimistic performance of automobile production and sales in the second quarter may also benefit from the following points: first, automobile consumption promotion policies have been introduced in various parts of the country, which effectively stabilized the recovery momentum of the automobile market; The long-term confinement on the one hand has led to retaliatory growth in demand for cars; third, major car companies are scrambling to launch large-scale promotional activities, such as Buick’s “May Car Buying Festival” and SAIC Motor’s “May 5 Car Buying Festival”, in order to Attract more new and old customers.