On November 10, 2022, the China Automobile Dealers Association released the results of the "Auto Dealer Inventory" survey in October 2022: the comprehensive inventory coefficient of automobile dealers in October was 1.76, an increase of 19.7% month-on-month and 36.4% year-on-year. The inventory level is above the warning line. 1. Inventory coefficient in October increased year-on-year and month-on-month The spread of the epidemic in multiple places has led to insufficient "Silver October" and weakened demand in the automobile market. In October, Henan, Guangdong, Shandong and other provinces with large automobile consumption were affected by the epidemic and suffered serious sales losses. The epidemic prevention and control in various places is strong, and the closure of dealers has affected normal operations, and the automobile market is relatively quiet. At the same time, problems such as declining customer flow, high cost of lead conversion, delayed order conversion and insufficient purchasing power have led to sales performance in the peak season that is lower than expected, and dealer inventory pressure has increased significantly. 2. Inventory coefficient of high-end luxury, imported, joint venture and domestic brands increased The inventory coefficient of high-end luxury and imported brands was 1.58, up 25.4% month-on-month; the inventory coefficient of joint venture brands was 1.88, up 22.1% month-on-month; and the inventory coefficient of domestic brands was 1.65, up 3.8% month-on-month. 3. Brands with the highest inventory depth in October Against the backdrop of a rebound in the epidemic and weakening demand, various brands have experienced a temporary backlog of inventory, so the brands with high inventory this month will not be announced for the time being. 4. Cautiously anticipate market demand in November 2022 and rationally control inventory Judging from the national epidemic situation, the performance of the automobile market in early November will still be greatly affected. In November, dealers and manufacturers will enter the end-of-year sales sprint stage, and marketing discounts are expected to increase. At the same time, policies such as halving the purchase tax and new energy subsidies are about to expire. If the epidemic situation improves, automobile sales will have a more obvious tail-end market at the end of the year. If the epidemic continues to be high, automobile sales will be made up after the epidemic is alleviated. The China Automobile Dealers Association recommends that dealers should rationally estimate actual market demand and reasonably control inventory levels based on actual conditions. At the same time, do not relax epidemic prevention and control measures and continue to implement epidemic prevention and control measures. |
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