China: EV sales slow down sharply, EV ventures continue
Guangzhou
September 20, 2019
China Automobile Manufacturers Association (CAAM):
On September 11, announced the automobile production and sales situation in August.
EV: Production volume (see Figure 1)
Maintained an increase of 74,000 units, up 2.2% year-on-year.
However, sales volume decreased by 6.0% to 69,000 units.
EV: Sales volume
Since February 2017, the double-digit increase has been maintained due to the active subsidy policy of the Chinese government.
However, after a substantial subsidy reduction in June 2019, demand decreased and began to decrease compared to the same month last year in August.
NEV’s demand slows down and there is a possibility that new EV ventures will be trapped.
Emerging EV venture trends: (See Figure 2)
Sales of Shanghai Wulai Automobile (NIO: listed on NASDAQ in the US) in July will remain at 837 units.
They have a consistent deficit.
From January to March 2019, a loss of 2,623.60 million yuan (39,354 million yen, 1 yuan = about 15 yen) occurred.
In March 2019, announced the cancellation of the Shanghai Jiading District plant construction project.
-JETRO
https://www.jetro.go.jp/biznews/2019/09/226f6cdb4a6628f6.html