Macro EconomyMedium•12 October 2026•
1 min read
China September Car Sales Plunge 28% as Domestic Demand Weakens
Key Facts
1China's passenger vehicle retail sales plunged 28% year-on-year in September to 1.62 million units.
2Electric and plug-in hybrid vehicles accounted for 67% of sales despite a 17% year-on-year decline in their own retail volume.
3Vehicle exports surged 73.7% to 917,000 units, serving as a critical lifeline for Chinese manufacturers.
China's passenger vehicle retail sales plunged 28% year-on-year in September to 1.62 million units. ZeroHedge reported that this contraction marks the 12th consecutive monthly decline, as the traditional "Golden September" peak buying season failed to materialize amid persistent domestic weakness.
Electric and plug-in hybrid vehicles accounted for 67% of total sales last month, even as their own retail volume saw a 17% year-on-year decline. To offset the domestic slowdown, vehicle exports surged 73.7% to 917,000 units, serving as a critical lifeline for Chinese manufacturers facing high inventory levels and shifting consumer preferences driven by elevated oil prices.