Coronavirus outbreak takes a toll, China auto sales likely plunged 18% in Jan

Auto sales in China are likely to have fallen 18% in January, their 19th consecutive month of decline, an industry body said as the outbreak of the new coronavirus began to hit the industry.

By: Reuters
| Updated on: 13 Feb 2020, 12:47 PM
Follow us on:
Follow us on:
Hyundai cars are seen at a plant of Hyundai Motor Co on the outskirts of Beijing, China January 25, 2019. REUTERS/Jason Lee/Files (REUTERS)
Hyundai cars are seen at a plant of Hyundai Motor Co on the outskirts of Beijing, China January 25, 2019. REUTERS/Jason Lee/Files

Sales of new energy vehicles (NEVs) plunged 54.4%, down for a seventh month in a row, preliminary data from China Association of Automobile Manufacturers (CAAM) showed.

Local governments began imposing travel curbs and warning residents to avoid public spaces in the last two weeks of January, and industry executives said the epidemic was likely to wreak havoc on auto sales and production in the first quarter.

Automakers need to get used to a new normal of "low speed growth" in China, CAAM said last month, predicting sales are likely to shrink 2% in 2020, the third consecutive year of contraction.

Also check these Cars

Find more Cars
Tesla Model 3 (HT Auto photo)
UPCOMING
₹70 - 90 Lakhs* *Expected Price
View Details
Explore your Vehicle
Tesla Model S (HT Auto photo)
UPCOMING
₹70 Lakhs - 1 Cr* *Expected Price
View Details
Renault Kwid (HT Auto photo)
₹4.07 - 5.51 Lakhs**Ex-showroom price
Add to compare
Check latest offers
Renault Kiger (HT Auto photo)
₹5.45 - 10.09 Lakhs**Ex-showroom price
Add to compare
Check latest offers
Renault City K-ze (HT Auto photo)
UPCOMING
₹6 - 10 Lakhs* *Expected Price
View Details
Renault Triber (HT Auto photo)
₹6.33 - 8.97 Lakhs**Ex-showroom price
Add to compare
Check latest offers

The coronavirus has led some automakers to postpone the resumption of production after the holiday.

In Hubei, the central province where the outbreak began, and a major vehicle making hub responsible for nearly 9% of China's output, Dongfeng Motor Group Co Ltd and its partners Honda Motor Co Ltd, Renault SA and Peugeot SA have all said they would delay production.

Other automakers with operations in Hubei include Nissan Motor Co Ltd which has a plant with Dongfeng, and General Motors Co which has a venture with SAIC Motor Corp Ltd.

Those operating plants outside Hubei province such as Volkswagen AG and General Motors have said they will keep some factories idled for one or more weeks.

Tesla Inc, which started delivering cars built at its $2 billion plant in Shanghai last month, has said it expects a delay of just one to one-and-a-half weeks in its ramp up of China-built Model 3s due to the shutdown. It restarted production in Shanghai on Monday with local government help.

Industry sales fell 8.2% last year, pressured by new emission standards in a shrinking economy and by trade tension with the United States.

First Published Date: 13 Feb 2020, 12:47 PM IST
Recommended for you
View all
NEXT ARTICLE BEGINS
Shopping Bag Shop Now
55% OFF
SOFTSPUN Microfiber Cloth - 4 pcs - 40x40 cms - 340 GSM Grey- Thick Lint & Streak-Free Multipurpose Cloths - Automotive Microfibre Towels for Car Bike Cleaning Polishing Washing & Detailing…
Rs. 269 Rs. 604
19% OFF
Involve Your Senses One Musk Organic Car Perfume, Involve Your Senses Strong Fiber Air Freshener to Freshen'up Your Car - IONE01-40 g,Car Accessories interior car perfumes and fresheners
Rs. 324 Rs. 399
73% OFF
pTron Bullet Pro 36W PD Quick Charger, 3 Port Fast Car Charger Adapter - Compatible with All Smartphones & Tablets (Black)
Rs. 349 Rs. 1,299
13% OFF
Jopasu Car Duster
Rs. 755 Rs. 869

Please provide your details to get Personalized Offers on

Choose city
+91 | Choose city
Choose city
Choose city
By clicking "View Offers" you Agree to our Terms and Privacy Policy

Dear Name

Please verify your mobile number.

+91 | Choose city