China’s passenger-vehicle sales last month climbed the most since January helped by a recovery in economic growth and rebound in demand for Japanese brands.
The fastest pace of auto sales in nine months adds to signs that China’s economy is gaining momentum going into the final quarter, with official statistics released last week showing industrial production and customs data rose more than forecast while manufacturing investment strengthened. Vehicle demand for Toyota and Honda brands surged last month as anti-Japanese sentiment over a territorial dispute abated.
“The recovery of demand for Japanese-brand cars is spurring overall vehicle sales,” said Harry Chen, an analyst with Guotai Junan Securities Co. in Shenzhen. “It’ll take the Japanese automakers more time to gain back market share.”
Wholesale deliveries of cars, multipurpose and sport utility vehicles rose 24 % to 1.61 million units in October, according to the state-backed China Association of Automobile Manufacturers today.
Total sales of vehicles, including buses and trucks, rose 20 % to 1.93 million units last month, the association said. In the first 10 months of the year, 17.8 million vehicles were delivered, with 14.5 million being automobiles. Commercial vehicles sales increased 7.4 % in the first 10 months of the year to 3.36 million units.