Sales rose 3.3% in September on strong SUV growth, ending a three-month downturn.
SUVs racing ahead Image: La Priz |
Total light-vehicle sales topped 1.75m year on year, ending a stall in growth that had raised concerns about the health and long term prospects in the industry.
SUVs drove the uplift with a 59% surge from to 566,500 vehicles, thanks to increasing concerns around car safety and a slowdown in luxury vehicle sales.
MPVs fared less well, however, with sales dipping 4.1% to 161,300. Sedan deliveries also dropped 11% during the same period.
Overall, light vehicle sales were still below par, growing just 2.8% in the first nine months of 2015 to 14.5m, well below analysts predictions of 7-8%.
In order to counter sluggish performance, the government has halved the new vehicle purchase tax on vehicles of 1.6 litre engines or smaller. It is also organising local initiatives to spur the adoption of new energy vehicles.
While the new measures may lead to a small improvement in sales, car buyers are still recovering from a massive stock rout that has greatly hampered consumer appetite.