AutoBeta(AutoBeta.net)06/19 Report--

After being effectively controlled by the COVID-19 epidemic, there have been obvious signs of recovery in the global automobile market since May, allowing markets in many countries to show signs of moderate recovery for the first time, but there are still signs of sustained decline in some areas.

Judging from the performance of the automobile market in May this year, it can be divided into three kinds of market performance: markets such as China and South Korea showed double growth compared with the previous month, while those in Europe and the United States showed a year-on-year decline and a sharp increase compared with the previous month, while some regions such as Japan and Indonesia are still in the same month-on-month decline, which shows that the Asian market differentiation is the most serious; although there is an obvious recovery in Europe and the United States, the market still lags behind in the same period.

Specifically, the Chinese market performed best in May this year. Under the environment of effective control of the epidemic and market recovery, automobile production and sales in May completed 2.187 million and 2.194 million respectively, an increase of 4% and 5.9% from the previous month, and an increase of 18.2% and 14.5% respectively over the same period last year. Both wholesale and retail sales grew year-on-year, the first positive wholesale growth since July 18.

According to the China Automobile Association, the recovery of the automobile market benefited from the continued improvement in the domestic fight against the epidemic in May, with automobile enterprises speeding up the resumption of work and production, and with the promotion of a series of favorable policies of the central and local governments, consumer confidence was improved, the pent-up demand of some consumers was released faster, and the automobile market gradually recovered. Therefore, it is still optimistic about the rebound of the auto market in the follow-up this year.

Also achieving month-on-month growth in May was the South Korean market, where sales in the domestic market rose 9.7 per cent year-on-year to 168778 in May, according to figures released by the Ministry of Land and Transport. Among them, domestic car sales in South Korea were 146130, an increase of 9.3% over the same period last year. The increase in domestic sales is mainly due to the fact that after the epidemic, the South Korean government reduced individual consumption tax in order to boost car sales, thus reducing the burden on consumers to buy cars. This is also the second month of year-on-year growth in South Korea's domestic market since the outbreak.

Compared with the Chinese and South Korean markets, the European and American markets still show signs of a large year-on-year decline, while the UK, Brazil and other regions with the biggest year-on-year decline are still in a decline of about 80 per cent, and have achieved clear signs of recovery from the previous month. Even Tesla's sales of 852 Model 3 vehicles have become the best-selling models in the UK, which means that the signs of recovery are not obvious.

The performance of major auto powers such as the United States, Italy and Germany is slightly better, but there is also a decline of about 50%. It is understood that this is due to the gradual relaxation of the blockade of the epidemic, the gradual increase in sales to private consumers, and some government measures to stimulate market consumption. For example, the subsidy for consumers to buy some models in Germany will reach 6000 euros (about 48000 yuan) to further restore the vitality of the German market. But predictably, for European and American markets, there is still a long way to go to get back to normal.

It is worth mentioning that the Indian car market finally achieved sales in May due to the government's relaxation of epidemic prevention measures in low-risk areas, as India announced three times the extension of the blockade, which led to a huge decline in sales in the local car market. It was zero in April.

Unlike the above-mentioned countries, the deterioration of the Japanese market in May came more from the impact of policy and changes in consumer psychology. The increase in consumption tax, the overlap of consumption time and the contraction of consumer sentiment have all led to a month-on-month decline in the Japanese market. At present, how to restore market confidence has become one of the issues that the Japanese government needs to focus on.

On the whole, in May this year, most markets have experienced the most difficult period to achieve a certain market recovery, but due to the sustained impact of the epidemic, car markets in various countries cannot recover rapidly. after all, the environment under the impact of the epidemic has reduced the desire of most consumers for large goods, and perhaps only when the economy recovers can the car market recover significantly. Of course, car consumption is an important symbol of the national economy for all countries, and the local economy will also take various measures to promote economic recovery.

Welcome to subscribe to the WeChat public account "Automotive Industry Focus" to get the first-hand insider information on the automotive industry and talk about things in the automotive circle. Welcome to break the news! WeChat ID autoWechat