{"id":3194,"date":"2018-10-12T18:57:32","date_gmt":"2018-10-12T18:57:32","guid":{"rendered":"http:\/\/www.styledeals.co.uk\/blog\/china-car-sales-slump-ripples-globally\/"},"modified":"2018-10-12T18:57:32","modified_gmt":"2018-10-12T18:57:32","slug":"china-car-sales-slump-ripples-globally","status":"publish","type":"post","link":"https:\/\/www.styledeals.co.uk\/blog\/china-car-sales-slump-ripples-globally\/","title":{"rendered":"China car sales slump ripples globally"},"content":{"rendered":"\n
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\"SalesmenImage copyright<\/span>
\n Getty Images<\/span><\/p>\n

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Image caption<\/span>
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\n Car sales in China declined in September for the third month in a row
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Car sales in China fell 11.6% in September to 2.4 million – the third month in a row of year-on-year decline.<\/p>\n

The deceleration comes amid a slowdown in China’s economy and has pinched performance at vehicle manufacturers around the world.<\/p>\n

At Ford, September sales in the country tumbled 43% compared with 2017, the US carmaker said on Friday.<\/p>\n

The report followed steep declines reported earlier by Volkswagen, Jaguar Land Rover<\/a> and General Motors.<\/p>\n

The China Association of Automobile Manufacturers, a government-backed industry group, said it still expected growth for the full year. <\/p>\n

But some analysts predict 2018 could mark the first time since at least the 1990s that China – now the world’s biggest vehicle market – contracts.<\/p>\n

“This is new territory,” said Michael Dunne, chief executive of ZoZo Go, an investment advisory firm focused on China’s car market.<\/p>\n

‘Pulling back’<\/h2>\n

China’s economic growth is expected to slow to 6.6% this year, down from 6.9% in 2017, according to the International Monetary Fund. <\/p>\n

This week, the multilateral lender also cut its forecast for 2019 to 6.2%, citing trade tensions, as the US and China raise tariffs on each others’ goods.<\/p>\n

The car market has been hurt by a regulatory crackdown on peer-to-peer lending, which was a major source of funding for car purchases, Mr Dunne said.<\/p>\n

Buyers have also grown cautious because of concerns about the trade tensions with the US.<\/p>\n

“It doesn’t affect them individually yet, but it’s a cloud hanging over their lives,” he said.<\/p>\n

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Image copyright<\/span>
\n Getty Images<\/span><\/p>\n

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The slackening in demand presents a problem for global carmakers, who have looked to the country as the world’s next great market.<\/p>\n

Jaguar Land Rover this week announced a two-week shutdown at its Solihull plant, after its sales in China plunged 46%.<\/p>\n

At Volkswagen and General Motors, which rely on China for about 40% of their sales volumes, year-on-year sales in September were down 11% and 15% respectively.<\/p>\n

Nor have sales at Chinese firms been immune to the weakening.<\/p>\n

This week, Geely Automobile Holdings – one of China’s biggest car companies and a strong seller this year – said it sold about 122,000 cars in China in September.<\/p>\n

That figure was up 14% from a year ago, but it slipped about 1% from August and marked a much smaller gain than the 30% or more year-on-year leaps of prior months.<\/p>\n

The slowdown is being felt by companies to different degrees, but Mr Dunne said every carmaker in the world was concerned.<\/p>\n

“Growth and profits are at stake and they’ve come to expect them from China,” he says.<\/p>\n<\/p><\/div>\n


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Source<\/a> by [author_name]<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"

Image copyright Getty Images Image caption Car sales in China declined in September for the third month in a row Car sales in China fell 11.6% in September to 2.4 million – the third month in a row of year-on-year decline. The deceleration comes amid a slowdown in China’s economy and has pinched performance at … <\/p>\n","protected":false},"author":0,"featured_media":3195,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[1],"tags":[],"class_list":["post-3194","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-general"],"_links":{"self":[{"href":"https:\/\/www.styledeals.co.uk\/blog\/wp-json\/wp\/v2\/posts\/3194","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.styledeals.co.uk\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.styledeals.co.uk\/blog\/wp-json\/wp\/v2\/types\/post"}],"replies":[{"embeddable":true,"href":"https:\/\/www.styledeals.co.uk\/blog\/wp-json\/wp\/v2\/comments?post=3194"}],"version-history":[{"count":0,"href":"https:\/\/www.styledeals.co.uk\/blog\/wp-json\/wp\/v2\/posts\/3194\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.styledeals.co.uk\/blog\/wp-json\/wp\/v2\/media\/3195"}],"wp:attachment":[{"href":"https:\/\/www.styledeals.co.uk\/blog\/wp-json\/wp\/v2\/media?parent=3194"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.styledeals.co.uk\/blog\/wp-json\/wp\/v2\/categories?post=3194"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.styledeals.co.uk\/blog\/wp-json\/wp\/v2\/tags?post=3194"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}