China Association of Automobile Manufacturers: Domestic automobile sales in May 2021 were 2.128 million units, down 3.1% year-on-year

Recently, the China Association of Automobile Manufacturers (CAAM) released the economic operation of the automobile industry in May 2021. Data showed that in May this year, the production and sales of the automobile market reached 2.04 million and 2.128 million respectively, down 8.7% and 5.5% month-on-month, and down 6.8% and 3.1% year-on-year respectively; compared with the same period in 2019, production and sales increased by 10.3% and 11.1% year-on-year.

Shi Jianhua, deputy secretary-general of the China Association of Automobile Manufacturers, said that the biggest problem in the decline in sales this month is the chip problem, and the data for June may not be too optimistic. The chip shortage problem has a huge impact on the second quarter, and will be alleviated to a certain extent at the end of the third quarter and in the fourth quarter.

Judging from the full-year sales volume, it will be higher than the previously predicted "4% growth". It is a relatively optimistic estimate to achieve a year-on-year growth of 6.5% and an overall sales volume of 27 million vehicles. It is also achievable to adjust the new energy vehicle sales from the original 1.8 million vehicles to 2 million vehicles.

In addition, in early May, the China Association of Automobile Manufacturers stated that in the first two months of this year, the chip supply shortage caused domestic automobile production to drop by 5% to 8%, and it is expected that this situation will not ease until the third quarter of this year.

The China Automobile Dealers Association also pointed out that as the chip shortage is affecting vehicle production, domestic automobile inventories are expected to continue to decline, and some models may even be "in short supply."

The global shortage of automotive chips that began at the end of last year has continued to this day. It is reported that due to the chip shortage, the global automobile market has currently reduced production by 1.157 million vehicles. It is estimated that global automobile production will be reduced by more than 2 million vehicles in 2021.

Zikuai Technology