China's car market seen rebounding from virus as lockdowns ease

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Daimler, which owns the Mercedes-Benz brand, says China demand has recovered to near pre-crisis levels. FMTNews China

BEIJING: China’s auto market, the world’s biggest, will gradually recover and remain stable for a long period despite short-term pressure from the coronavirus epidemic, officials said on Thursday.

China’s auto sales dropped 79% from a year earlier in February due to the epidemic. However, the situation was temporary and didn’t affect long-term trends in the industry, Cai Ronghua, a senior official at National Development and Reform Commission , told a news conference.

Volkswagen, the world’s largest carmaker and China’s best-selling manufacturer, said showroom traffic during the last weekend of March had rebounded to year-earlier levels after its dealerships re-opened as measures to contain the pandemic were eased. Volkswagen Group China CEO Stephan Wöllenstein said: “Our dealerships are seeing customers on the showroom floors once again. There are growing signs of recovery, with a good chance that the Chinese car market could reach last year’s level in early summer.”

 

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