Market Overview

China Used Vehicle Market Sales is Expected to Reach Around 34 Million Units by 2022: Ken Research

Share:

China Used Vehicle Market Sales is Expected to Reach Around 34 Million Units by 2022: Ken Research

PR Newswire

GURUGRAM, India, May 30, 2018 /PRNewswire/ --

China used vehicle market by type of vehicle (Sedans, SUVs, Micro Vans, MPVs, Trucks, Buses, Cross Type Vehicles, Trailers, Motor Cycles and Low Speed Trucks) by Vehicle Age (Three to Six Years, Less Than Three Years, Six to Ten Years and More Than Ten Years) by Distribution Channels (Organized Dealers/Large Vehicle Markets, Online, Unorganized Dealers) by Region (East China, South Central China, Northern China, South West China, North East China, North West China) by price of vehicle in CNY (Less than 30,000, 30,000-50,000, 50,000-80,000, 80,000-120,000, 120,000-150,000, 150,000-300,000 and More Than 300,000), Competitive landscape of major players (Guazi, Uxin Group, Renrenche, Souche, Mychebao, Carking, China Grand Automotive Services Co. Ltd., China Yongda Automobiles Services Holding Ltd., Beijing Old Car Market, Da Shi Xing Automobile)

     (Logo: https://mma.prnewswire.com/media/661352/Ken_Research_Logo.jpg )

April 2018 | China News 

  • Car ownership rate in China has been on the rise over the past few years and it is anticipated it will increase further over the coming years.
  • Used vehicle finance has been projected to amplify at a significant pace over the forecasted period, acting as major catalyst for growth in China used vehicle market. Major companies such as Guazi will be expanding into used vehicle finance services leading to growth in the market.
  • Sale of used vehicle is expected to increase majorly through the online distribution channel as companies within this segment are providing various value added services such as after sale service, vehicle inspection, adequate number of quality checks before listing vehicle on their website to ensure better quality of product which is sold, vehicle finance, insurance and consultancy services. Along with value added services, they charge very low commission on total transaction cost and offer various branded vehicles under one single website.

Growth in China used vehicle market will mainly be facilitated by growing penetration of online channels in the industry. Sales of existing players such as Guazi, Renrenche, Uxin and others are expected to amplify in the coming years. Moreover, new players are also projected to enter the online space, leading to growth in the overall industry. Furthermore, additional value added services offered by online players and number of quality checks conducted by them, will enhance the trust of Chinese people on the online segment. Online companies are majorly dependent on funding through large investors such as Baidu, Tencent and many others and it is expected that the funding will increase in future since online used vehicle market has the highest potential to grow.

Penetration of vehicle finance in the space is also likely to incline at a rapid pace as major online companies are focusing towards expanding their services into used vehicle financing. It is expected that the sales of new passenger vehicle will reach 39.1 million units in 2022, which would lead to further growth as replacement age of used vehicles is falling in the country. China's Logistic market is escalating at a considerable pace, creating further opportunities for the players.

Shift in choice has been observed among people of China in terms of buying used vehicles, as they are opting for more number of SUVs. Sale of used SUVs is expected to increase significantly over the coming years. SUVs are reliable and the average replacement age is more compared to other segments. Furthermore, it has become sort of a style quotient amongst the people of China leading to higher demand.

East China will dominate the sale of used vehicle in future as well. This region covers major provinces in China such as Shanghai, Jiangsu, Zhejiang, Anhui, Fujian, Jiangxi and Shandong. It is also expected that people in China will shift their preference towards vehicles below the age of 3 years.

Ken Research in its latest study, "China Used Vehicle Market Outlook to 2022 - by Type of Vehicle (Sedans, SUVs, Micro Vans, MPVs, Trucks, Buses, Cross Type Vehicles, Trailers, Motor Cycles and Low Speed Trucks), by Vehicle Age, by Distribution Channels, by Region, by Price of Vehicle" suggests that the demand for used vehicles in China would continue to grow at a CAGR of 22.8% owning to expansion in service portfolios of online used vehicle companies, augmenting number of dealerships/vehicle markets, surging sales of new vehicles and growing logistics industry.

Keywords 

  • Used Car Sales China
  • China Used Vehicle Market
  • Market Used Vehicle China
  • Used Car Finance Market China
  • China Second Hand Car Market
  • Used Vehicle Sales China
  • Used Vehicle Sales Volume China
  • Used Vehicle Sales in Units China
  • Pre-owned Used Vehicle Sales China
  • Second Hand Vehicle Sales China
  • Sales Volume Second Hand Vehicles China
  • Used Car Market China
  • China Used Car Market
  • Used Car Sales Volume China
  • Second Hand Car Sales Volume China
  • China Second Hand Car Sales
  • Used Car Online Sales Volume
  • Online Marketplace Used Cars China
  • China Online Used Car Market
  • Online Penetration Used Car Market China
  • Online Penetration Rate Used Car Market China
  • Online Used Vehicle Market
  • Transaction Volume Used Cars China
  • Used Car Transactions China
  • Monthly Transactions Used Cars China
  • Monthly Transactions Guazi
  • China Used Car Market Trends
  • Potential China Used Car Market
  • Monthly Transactions Renrenche
  • Monthly Transactions Uxin
  • Transaction Volume Guazi
  • Transaction Volume Uxin
  • Transaction Volume Uxin
  • Buying Used Car China
  • Chinese Car Dealership
  • Car Markets China
  • Cheap Cars for Sale China
  • Second Hand Car Sales China
  • Auto finance Penetration China
  • China Automotive Finance Industry
  • Used Vehicle Finance China
  • Used Car Finance Penetration China
  • China Used Car Finance Penetration

For more information on the research report, refer to below link:

https://www.kenresearch.com/automotive-transportation-and-warehousing/automotive-and-automotive-components/china-used-vehicle-market/149475-100.html

Related Reports by Ken Research:  

Russia Used Car Market Outlook to 2022 - by Type of Car (Sedans, Crossovers and SUVs, Hatchbacks and Others include Micro Vans and MPVs) by Car Age, by Distribution Channels (Dealers and Online)

The report covers snapshot on Russia used car Finance market including major loan providers, Interest rate and down payment, comparison based on used Car loan services, Procedure for taking up loan for borrowers for a used car, major constraints in used car finance. 

Indonesia Used Car Industry Outlook to 2021 - Increasing Online Used Car Portals and Competitive Used Car Financing Schemes to Foster Future Growth

The government of Indonesia should charge a one-time fee for STNK (vehicle registration) which should include legal fees, taxes and road insurance.  

India Used Car Market Outlook to 2020 - Growing Preference and Emergence of Web Aggregators

The future of the used car market in Indian is optimistic with the organized players playing a key role in the industry growth and with a growth in used car customers.  

Contact Us:

Ken Research

Ankur Gupta, Head Marketing & Communications

Ankur@kenresearch.com

+91-9015378249

SOURCE Ken Research

View Comments and Join the Discussion!