The average backlog at new-car dealerships dropped to a 40-day supply of vehicles in December from 45 days a month earlier, according to the China Automobiles Dealers Association.
The trade group attributed the decrease to strong year-end sales and discounts offered by dealerships to realize annual retail targets for 2019.
In December, stores marketing domestically produced, foreign mass-market brands saw inventories dip to 35 days from 39 days in November.
Stockpiles at dealerships under luxury brands and imported foreign brands also slid to 33 days from 36 days the previous month.
But dealerships selling Chinese brands still carried an average supply of 48 days. While lower than 54 days in November, it was well above the normal range of 24 to 36 days.
In December, the highest average dealership backlog, at 53 days, was reported for Changan Ford, Ford Motor Co.’s passenger-vehicle joint venture in China.
It was followed by a 52-day supply at stores under FAW Mazda – Mazda Motor Corp.’s joint venture with China FAW Group, and 51 days at the Baojun car brand of SAIC-GM-Wuling – a partnership between General Motors and SAIC Motor Corp. that builds entry-level cars and minibuses.