Most carmakers short of half annual sales in H1

Shanghai, July 15 (Gasgoo.com) According to the domestic and foreign sales data from the China Passenger Car Association, only Changan Ford Mazda of the 10 major carmakers in mainland China achieved half of its annual sales target in the first half of this year, reported South China Times today.

Based on its sales sprint in June, Shanghai VW sold 272,009 vehicles in the January to June period, snatching the Top 1 sales title from FAW VW, now a runner-up which sold 268,685 units, followed by Shanghai GM with 248,799 units and Chery Auto with 208,465 units. The fifth carmaker by sales in the six months is Beijing Hyundai, which reversed its sales depression of 2007 by selling 164,792 vehicles, up 47% year on year.

In the first half of 2008, Shanghai GM saw a slide in its sales growth and market share while FAW VW's sales volume was largely contributed by its vehicles still in stock. About 50% of the 208,465 vehicles sold by Chery in the period were delivered to overseas markets -- Of the 10 major carmakers in China, Chery may rank 10th by sales in the domestic market.

China's auto market is expected to fluctuate in the second half of 2008. The sales of China's passenger vehicles will continue to grow by about 13% in the following six months, and sales in September, October and November will surge considerably, but it remains to be seen whether this sales surge will be enough to make up for the market slump around and during the August Olympic Games season.

Some potential policies (such as the levy of car consumption taxes) and the fuel price hike will also affect the sales of vehicles in the second half. But if the stockpile is growing high, more customers will wait to buy cars on special offer at the end of the year.