Despite more room for growth, the Chinese passenger car market has been slumping. Sales from manufacturers to dealers
have been down for three months in a row and eight months year-on-year, according to the Chinese Association of Automobile Manufacturers
. Sales to consumers have even been down 10 months in a row year-on-year, according to the Chinese Passenger Car Association.
The trade war with the U.S. and the overall slowing of the Chinese and global economies have taken their toll on consumer confidence in China. Cars are especially affected, being the only consumer product experiencing shrinking demand in both January and February of 2019, also according to the Chinese Passenger Car Association.
There are currently 200 million private vehicles in China, leaving room for potential growth. In February, the latest month on record, about 55 percent of passenger cars sold in China came from foreign manufacturers and 45 percent from Chinese brands.