Cashback offers, up to 10 free oil changes, generous prepaid gasoline cards - these are just some of the giveaways China's auto dealerships are using to woo customers out and about after spending much of February and March in lockdown.
"Although car retail prices are not much different from usual, customers get to enjoy these complimentary services that do not impact our budget much in the short term," he said. Their efforts helped China log its first positive growth in vehicle sales in nearly two years, up 4.4per cent in April from the same month a year earlier.
Feng Xingya, general manager of state-owned automaker GAC which has partnerships with Toyota and Honda Motor Co , believes a bruising price war is on the cards. The industry has already been there twice in the recent past. In 2018, sticker prices took a hit as China's auto market began to weaken after two decades of strong growth while in mid-2019, dealers offered big incentives after the chaotic implementation of new emissions standards.