China’s new-vehicle sales contracted for the 14th consecutive month, slipping 6.9 percent from a year earlier to 1.96 million in August, as the nation’s weakening economy and escalating tariff war with the U.S. continued to dampen demand.
New light-vehicle deliveries dropped 7.7 percent to around 1.65 million last month, according to the China Association of Automobile Manufacturers.
Sales of new commercial vehicles, including buses and trucks, decreased 8.6 percent to roughly 305,000.
For the first eight months, new-vehicle sales fell 11 percent from a year earlier to some 16.1 million.
During the period, new light-vehicle deliveries declined 12 percent to around 13.3 million while new commercial-vehicle sales dipped 4.2 percent to approach 2.8 million.
Demand for electrified vehicles, which remained robust until June, declined for the second straight month.
In August, combined sales of full-electric vehicles and plug-in hybrids slumped 16 percent to roughly 85,000.
The sharp fall was caused by a new round of subsidy cuts Beijing completed on June 25 for EVs and plug-in hybrids with the goal to end the subsidy program by the end of 2020.
During the subsidy reductions, the government raised the technology bar for EVs eligible for subsidies and halved the subsidies for plug-in hybrids.
Through August, total sales of EVs and plug-in hybrids in China rose 32 percent to some 793,000.