China's car imports fell sharply in September, with just 21,000 vehicles arriving in the country, a 49% drop from a year earlier and a 6% decline from August, according to data released by the China Passenger Car Association (CPCA) on October 25. The figure marks the steepest monthly decline this year, deepening the overall downward trend that saw imports total 290,000 units in the first nine months, down 20% year on year.
The CPCA's secretary-general, Cui Dongshu, noted that "the downward pressure on imported cars remains significant" in September. Passenger vehicles account for more than 99% of all imports, making the market's performance essentially a reflection of the passenger-car segment.
Imported NEVs lag behind petrol models
By powertrain type, imported hybrids (HEVs) were the only category to grow in the January-September period, rising 15% year on year. In contrast, imports of battery-electric vehicles (BEVs) fell 27%, and plug-in hybrids (PHEVs) dropped 54%. Imported new-energy vehicles are clearly underperforming their petrol counterparts.
The engine displacement mix is also shifting downward. Imports are concentrated in petrol models under 2.0 liters, with the 1.5-to-2.0-liter band performing relatively better this year, while larger 3.0-to-4.0-liter models, which held up well last year, are now losing ground. This shift toward smaller engines is pulling down the average price point of imported vehicles.
The September plunge is an outlier compared with the 20% cumulative decline for the first nine months, indicating that the monthly figure was unusually deep. The CPCA suggests the sharp drop could be due to shipping schedules, customs clearance timing, or gaps between model generations, though the available public data does not allow a definitive explanation.
Local production reshapes the market
The shrinking import market is happening alongside the continued localization of production by global automakers. Mercedes-Benz and BMW already build their mainstream models in China, while Audi and Volvo are rolling out their premium lines locally. Porsche and Lexus, which still rely heavily on imports, have both seen their China sales contract this year, according to the report.
For dealers, the import business is shifting from volume to high-priced, small-batch models. Inventory depth is decreasing, and the turnover requirements for display and test-drive vehicles are rising, placing additional pressure on the sales channel.
The data was originally published by Gasgoo and reposted by D1EV, a Chinese EV-focused news outlet.
