China car sales expected to rise 3% in 2024 -industry association

BEIJING (Reuters) – China’s car sales are forecast to reach about 31 million units in 2024, up 3% from a year earlier, with the pace of the gains cooling from an estimated 11.7% rise from 2023, the China Association of Auto Manufacturers (CAAM) said on Monday.

Passenger vehicle sales are projected to rise by 3.1% to 26.8 million units next year, slowing from a 10.3% increase this year, according to CAAM estimates.

New energy vehicle sales are also set to cool with a 20% growth in 2024 versus a 36.5% jump in 2023, while car exports are forecast to rise to about 5.5 million from this year’s 4.8 million, the data showed.

The auto market will face challenges from shrinking demand, supply shocks and weakening expectations in 2024, said Xu Haidong, a senior official at CAAM.

(Reporting by Qiaoyi Li, Zhang Yan and Brenda Goh; Editing by Jamie Freed)