Gasgoo.com (Shanghai June 2nd)– The market of second-hand car is burgeoning in China, boosted by several preferential policies including lifting the ban on inflows of second-hand cars from other regions.
Currently, the turnover rate of second-hand cars in China is very limited. According to China Automobile Dealers Association, only 18.8% of second-hand cars sold in this March are re-registered in a different region from its original one.
Some industry experts believed that China’s move to lift the ban on inflows of used cars in different regions of the country very good news, because it enables dealers to operate more efficiently based on the real-time requirement and price gap between different regions. Several e-platforms have also been acting actively in response to the preferential policy.
Against the backdrop of positive policies, the trading volume of second-hand cars has been expanding recently. According to China Automotive Dealer Association, the sales of used cars in this March stood at 884,000 units, up by 52.62% against this February while 8.59% against last March.
It’s known by the reporter that the second-hand cars in eastern China will largely go west, flowing into western cities such as Chengdu, Chongqing and Xi’an.
But due to existing uncertainties, most second-hand car dealers are still sitting on the fence and very carefully controlling their inventory of used cars.
