Market observation: The completion rate of annual sales target of car companies varies greatly, and new energy car companies cut prices for the first time this year to offset sales

CNR Beijing, October 28 (Reporter Lv Hongqiao) According to a report by the Voice of Economy of China Central Radio and Television Station, “World Finance and Economics”, in the fourth quarter, the completion of the annual sales target of auto companies is a focus of the industry. Judging from the situation in the first three quarters, the target completion rates of various car companies are quite different, and the overall performance of car companies and new energy car companies with a high proportion of export sales is relatively good. In order to boost sales, car companies have adjusted their production rhythms and increased promotions.

 

In the first three quarters, the achievement of annual sales targets of car companies varies greatly. Among the larger car companies, GAC Group and BYD have the highest sales target completion rates, both above 75%. The completion rate of Changan Automobile Group is close to 70%. The completion rate of auto companies such as SAIC, Geely, and Chery is around 60%, while the completion rate of auto companies such as Great Wall is low, only around 40%. In general, the completion rate of most car companies’ annual sales target is around 60%, but there are also 30% of car companies whose completion rate is lower than 50%. Cui Dongshu, secretary general of the Passenger Car Market Information Association, said that in addition to product quality and marketing factors, the completion of the sales target of car companies this year is mainly affected by two factors.

“Our exports have increased by about 60%, and the performance of each company’s exports is different. For example, among the self-owned brands, some companies have performed exceptionally well in their exports, and the completion progress has been done well. Another big difference lies in the new energy vehicles and traditional vehicles. If the car is dominated by traditional cars, its completion schedule will be under great pressure, and if it is dominated by new energy vehicles, its completion progress will be particularly good.” Cui Dongshu said.

Generally speaking, since the fourth quarter is the peak season for automobile consumption, in the first three quarters, car companies can meet expectations as long as they achieve about 70% of their annual sales targets. In this way, most car companies are currently under great sales pressure. Because of this, some automakers have recently begun to increase production and increase promotions. Even the new energy vehicles, which have continuously increased their prices before, started the price reduction mode for the first time this year. After Tesla announced the price cut, many new car-making forces also began to cut prices by reducing the final payment. Chen Shihua, deputy secretary-general of the China Association of Automobile Manufacturers, analyzed: “From the perspective of the fourth quarter, the new power companies in car manufacturing have also seen that although the current bicycle subsidy price is not particularly high, consumers attach great importance to this subsidy. Therefore, in the fourth quarter of this year , we may do some promotions, including the acceleration of production rhythm, etc., to meet market demand.”

Since the beginning of this year, my country has introduced a number of measures to promote automobile consumption. For example, reducing the purchase tax of some passenger cars in stages, continuing to exempt the purchase tax of new energy vehicles, and carrying out activities for new energy vehicles to go to the countryside. A number of supporting measures have also been introduced in various places, such as the issuance of car purchase subsidies. Since October, many places have introduced a new round of policies to support automobile consumption. Chen Shihua said, driven by favorable policies, the auto market continued to recover rapidly in October.

“From October 1st to October 23rd, from the perspective of the wholesale side, the growth rate over the same period last year exceeded double digits. Because in October last year, the entire base rose. In this case, the growth rate seems to be higher than that of the same period last year. There was a certain decline in the third quarter, but it was also a normal level. It should be said that the fourth quarter of each year is the peak season for automobile production and sales, and from this year’s point of view, this peak season will continue.” Chen Shihua said.

Chen Shihua predicts that near the end of the year, the automobile market may usher in a peak of consumption, and it is expected that the task of stable growth of the automobile industry throughout the year can be completed. For various car companies, Cui Dongshu said that although the annual sales target is generally more cautious, companies sometimes adjust the target several times, and the final target is often better than expected. “In terms of goals, it depends on the completion rate of which goal is aimed at. Generally speaking, the board of directors or various parties will see the situation by the end of the year and see the situation, and they cannot put too much pressure on employees, so they will adjust the target down. In this way , and in the end, in fact, more than half of it will be completed overall.”