There are frequent policy guidelines at the national level for the automotive industry, aimed at further stabilizing and expanding automobile consumption. With the introduction and gradual implementation of policies for exchanging old for new and scrapping, the Ministry of Commerce has organized a nationwide promotion of car trade in, and automobile production and sales enterprises have carried out supporting promotional activities. Many regions have supported eligible cars to trade in old for new through energy conservation and emission reduction subsidies arranged by the central government, working together with corporate promotions to promote the car market before and after the May Day holiday.

Due to the impact of annual target tasks and emission upgrading factors, the market price promotion is strong, and consumer purchasing attitudes are gradually recovering. In April 2024, the wholesale and retail performance of the passenger car market was relatively weak.

In April 2024, SUV retail increased by 1%, surpassing the industry by 7 points. Due to the trend of consumer upgrading, the proportion of SUV demand has increased, and the year-on-year decline in sedan retail is 11%, which is 5 points weaker than the industry. MPV retail decreased by 15% year-on-year, significantly weaker than the industry by 9 points. The performance of sedans is lower than that of SUVs, mainly due to the poor performance of A0 class new energy sedans.

From a structural perspective, low-end consumption is sluggish, while high-end consumption is strong. The B-class performance in the sedan market is good; And SUVs have a strong high-end trend, with B-class and C-class SUVs being stronger compared to last year.

1、 Market trends of economy oriented passenger cars
1. A00 sedan market performance

In April 2024, the wholesale of A00 sedans reached 74400 units, accounting for 8.93% of the wholesale market share. Wholesale sales increased by 72% compared to the same period last year, and wholesale sales increased by 5% compared to the previous month this year; In April 2024, retail sales of 70000 units increased by 38% compared to the same period last year, while retail sales decreased by 10% compared to the previous month this year. From January to April 2024, the wholesale quantity was 273900 units, with a cumulative increase of 76% in wholesale sales by manufacturers; From January to April 2024, the domestic retail quantity was 269800 units, with a cumulative increase of 35% in retail sales.

At present, there is a clear trend of electric vehicles replacing micro cars. In the past few years, the sales of fuel powered micro cars have declined significantly, and the decline in the original boutique micro cars has been even more severe. Recently, the micro car market has become the main market for electric vehicles.

The A00 level market has returned to the competitive landscape of 20 years ago. At that time, Xiali, Chery, Geely, Changan, and BYD all had better A00 level products. Recently, diversified A00 level main models and new products such as BYD, Geely, Changan, and Chery have performed outstandingly, and micro electric vehicles are gradually showing incremental potential.

2. Market trends of A0 class sedan main models
In April 2024, 77100 units of A0 class sedans were wholesale, accounting for 9.26% of the wholesale market share. Wholesale sales decreased by 29% year-on-year and 25% month on month compared to the same period last year; In April 2024, retail sales of 50000 units decreased by 44% compared to the same period last year, and retail sales decreased by 4% compared to the previous month this year. From January to April 2024, the wholesale quantity was 307400 units, and the cumulative wholesale sales of manufacturers decreased by 8%; From January to April 2024, the domestic retail quantity was 182000 units, with a cumulative decrease of 25% in retail sales.

The characteristics of autonomous electric vehicles replacing fuel vehicles are obvious, and the competitive landscape has shifted from joint venture led to a new trend of autonomous dominance. In the early stage, Japanese Toyota and Honda maintained a strong position, but in recent years, the trend of independent fuel powered small entry-level cars has been relatively difficult.

3. Sales trend of A0 level SUVs

A0 class SUVs were wholesale 166100 units in April 2024, accounting for 16.09% of the wholesale market share. Wholesale sales decreased by 9% compared to the same period last year, and wholesale sales decreased by 3% compared to the previous month this year; In April 2024, retail sales of 100000 units decreased by 23% compared to the same period last year, and retail sales decreased by 1% compared to the previous month this year. From January to April 2024, the wholesale quantity was 600200 units, and the cumulative wholesale sales of manufacturers decreased by 13%; From January to April 2024, the domestic retail quantity was 359500 units, with a cumulative decrease of 19% in retail sales.

2、 Market Trends of A-Class Passenger Cars
1. Market trends of the main compact sedan models
In April 2024, A-class sedans were wholesale with 363000 units, accounting for 43.61% of the wholesale market share. Wholesale sales decreased by 5% compared to the same period last year, and wholesale sales decreased by 13% compared to the previous month this year; In April 2024, retail sales of 310000 units decreased by 15% compared to the same period last year, and by 14% compared to the previous month this year. From January to April 2024, the wholesale quantity was 1.3916 million units, and the cumulative wholesale sales of manufacturers decreased by 5%; From January to April 2024, the domestic retail quantity was 1.3361 million units, with a cumulative decrease of 3% in retail sales.

2. Market trends of the main compact SUV models

In April 2024, A-class SUVs were wholesale with 564500 units, accounting for 54.68% of the wholesale market share. Wholesale sales increased by 26% compared to the same period last year, while wholesale sales decreased by 9% compared to the previous month of this year; In April 2024, retail sales of 390000 units increased by 0% compared to the same period last year, while retail sales decreased by 7% compared to the previous month this year. From January to April 2024, the wholesale quantity was 2.2054 million units, with a cumulative increase of 22% in wholesale sales by manufacturers; From January to April 2024, the domestic retail quantity was 1.6928 million units, with a cumulative increase of 16% in retail sales.

3、 Market trends of B-class passenger cars
1. Market trends of B-class sedans

In April 2024, B-class sedans were wholesale with 261300 units, accounting for 31.39% of the wholesale market share. Wholesale sales increased by 21% compared to the same period last year, while wholesale sales decreased by 14% compared to the previous month this year; In April 2024, retail sales of 220000 units decreased by 3% compared to the same period last year, and retail sales decreased by 6% compared to the previous month this year. From January to April 2024, the wholesale quantity was 1.0264 million units, with a cumulative increase of 14% in wholesale sales by manufacturers; From January to April 2024, the domestic retail quantity was 90200 units, with a cumulative increase of 16% in retail sales.

2. Market Trends of B-Class SUVs

In April 2024, B-class SUVs were wholesale with 260700 units, accounting for 25.25% of the wholesale market share. Wholesale sales increased by 16% compared to the same period last year, while wholesale sales decreased by 18% compared to the previous month this year; In April 2024, retail sales reached 220000 units, a year-on-year increase of 7% compared to the same period last year, and a month on month decrease of 17% compared to the previous month this year. From January to April 2024, the wholesale quantity was 1.1139 million units, with a cumulative increase of 34% in wholesale sales by manufacturers; From January to April 2024, the domestic retail quantity was 975900 units, with a cumulative increase of 30% in retail sales.

3. Market trends of B-level and above MPV

In April 2024, B-level MPVs were wholesale with 46100 units, accounting for 55.45% of the wholesale market share. Wholesale sales decreased by 3% compared to the same period last year, and wholesale sales decreased by 12% compared to the previous month this year; In April 2024, retail sales of 50000 units increased by 2% compared to the same period last year, and retail sales increased by 5% compared to the previous month this year. From January to April 2024, the wholesale quantity was 168400 units, and the cumulative wholesale sales of manufacturers decreased by 2%; From January to April 2024, the domestic retail quantity was 173000 units, with a cumulative increase of 3% in retail sales.