Passenger vehicles sales in China were up 13% in April, due to increased demand for new models.
In April wholesale deliveries of vehicles increased to 1.44 million units, compared with analysts’ estimates of 1.404 units. GM, VW and other automakers have been adding new models in China, relying on the rising urban population which has rose about 4% annually over the past 20 years, to boost sales. Since 2006 passenger-vehicle sales have increased by an average 25%, according to Kevin Tynan, an auto analyst for Bloomberg.
“The strong momentum in small sedan and SUV segments, which have been driving auto sales year-to-date, will continue,” Hou Yankun and Ming Xu, Hong Kong-based analysts at UBS AG, wrote in a note to clients. “Retail pricing remains largely stable for the mass market in April, despite being in the slack season of passenger vehicle consumption.”
Total vehicle sales in April were up 13% to 1.84 million units and during the first four months of the year sales increased 13% to 5.86 million units. Last month commercial vehicles sales were up 15% to 400,300 units, SUVs sales surged 46% to 228,000 units and sedan deliveries rose 10% to 977,000 units. The best-selling sedan was VW’s Lavida and the best-selling SUV was Great Walls’ Haval.
Ford was up 37% in April to 75,331 units, and GM increased 15%, thanks to Cadillac sales which gained 99% to a record 4,077 units.