China Automobile Dealers Association: Passenger car terminal sales are expected to be close to 2 million units in June, and sales growth in the first half of the year may reach 7% year-on-year

The Zhitong Finance App learned that on June 20, the China Automobile Dealers Association released the semi-monthly passenger car market report for June 2025. Stimulated by dealers' half-year target sprint, Dragon Boat Festival and “6.18” activities, and combined trade-in policies, consumers changed from watching early to actually buying cars. The end of the college entrance examination and the gradual increase in demand for summer self-driving car purchases will also drive a further increase in sales in the passenger car market in June. The China Automobile Dealers Association expects passenger car terminal sales to be close to 2 million units for the month of June. The year-on-year sales growth rate in the first half of this year is likely to reach 7%.

The China Automobile Dealers Association pointed out that under the impetus of national and local consumer promotion policies, the passenger car market maintained a steady and positive trend in the first half of the year. During the “May 1st” period, local auto shows began intensively, compounding the effects of small and long vacations, and the concentrated release of demand for family car purchases such as self-driving tours and marriage seasons helped the passenger car market achieve year-on-year and month-on-month growth in May.

June is the time point for the first half of the year. Manufacturers and dealers are making every effort to sprint to the half-year target, taking advantage of the Dragon Boat Festival holiday and “6.18” activities to actively promote momentum. Furthermore, with the end of the college entrance examination and the imminent arrival of the summer vacation travel season, new demand for car purchases is formed, which is conducive to an increase in market sales in June.

Based on the dealer's feedback on customer attraction, sales volume, and inventory biweekly report data, it can be seen that:

The number of visitors attracted in the first half of June decreased by 3.7% compared to the same period in May, and increased by 1.8% compared to the second half of May. Since the first half of May was mainly during the “May 1st” period, car shows of various sizes were held in many parts of the country, raising the level of passenger traffic in the first half of May; in the first half of June, driven by dealers' Dragon Boat Festival holiday and “6.18” promotions, the overall decline was not significant, and there was a slight month-on-month increase compared to the second half of May, which indicates that the passenger car market is still very popular recently.

Orders in the first half of June decreased by 5.5% compared to the same period in May and increased by 4.5% compared to the second half of May. Due to the concentrated release of consumer demand during the “May 1st” holiday, the order base for the first half of May was high. Although orders for the first half of June decreased compared to the first half of May, there was a slight increase from the second half of May. Currently, manufacturers and dealers continue to step up their promotions, and the popularity of the “6.18” campaign continues to a certain extent; with the gradual release of demand for car purchases after the college entrance examination and the increase in demand for car purchases during summer self-driving tours, orders are expected to increase further in the second half of June.

Sales in the first half of June decreased by 2.8% compared to the same period in May and by 11.8% compared to the second half of May. Orders in the first half of June have increased compared to the second half of May, and are expected to continue to be converted into sales in the second half of the month; manufacturers and dealers have strong semi-annual task impulse promotions, and consumers have switched from watching in the early stages to actual purchases; this will support passenger car market sales in June due to factors such as rising production capacity and delays in delivery of early orders until June.

Inventory for the first half of June fell 1.6% from the end of May. In the last week of May, in order to cope with the semi-annual task assessment point, dealers had strong motivation to replenish stocks, and inventory levels rebounded. Dealer inventory levels declined month-on-month in the first half of June.

Expectations for the passenger car market in June:

Stimulated by dealers' half-year target sprint, Dragon Boat Festival and “6.18” activities, and combined trade-in policies, consumers changed from watching early to actually buying cars. The end of the college entrance examination and the gradual increase in demand for summer self-driving car purchases will also drive a further increase in sales in the passenger car market in June.

Combined with the sales volume in May and the level of dealer data growth in the first half of June, passenger car terminal sales for the whole month of June are expected to be close to 2 million units. The year-on-year sales growth rate in the first half of this year is likely to reach 7%.