At the end of the year and the beginning of the year, it is time to sum up 2021 and re-examine 2022!
Although the impact of the epidemic still exists in 2021, various industries have recovered.
In this context, there are also a number of important events in the field of Automobile Circulation in China, it can be said that the whole is accompanied by various black swan events, and second-hand cars have become one of the few bright spots in the overall field, and they are also the "saviors" of many dealer groups supporting the façade, what about 2022?
Promote automobile consumption into the 14th Five-Year Plan
On March 5, 2021, Premier Li Keqiang clearly proposed in the "Government Work Report" delivered at the Fourth Session of the 13th National People's Congress that it is necessary to promote the reform of the whole process of production access and circulation management in the automotive industry and steadily increase bulk consumption such as automobiles; in the same month, the 14th Five-Year Plan for National Economic and Social Development (2021-2025) and the Outline of Long-term Goals for 2035 were released.
The document points out that it is necessary to deeply implement the strategy of expanding domestic demand, enhance the basic role of consumption in economic development, and accelerate the positive impact of consumer goods such as automobiles on economic development. This has brought great benefits to the development of the automobile circulation field.
Completely abolish the second-hand car relocation restriction policy
In February 2021, the General Office of the Ministry of Commerce clarified in the "Guidelines for Promoting Automobile Consumption in the Commercial Field" that the policy of restricting the relocation of second-hand cars was completely abolished; in April, the Ministry of Commerce, together with the Ministry of Public Security and the State Administration of Taxation, jointly issued the "Notice on Promoting the Registration of Used Car Transactions Across Provinces and Facilitating The Transaction of Used Cars in Different Places", accelerating the formation of a unified national market for used car transactions.
The national auto trading data reached a new high
According to relevant data, from January to November 2021, the cumulative sales of new cars in China's auto market have reached 23.489 million units. On this basis, caucus predicts that the sales of new cars in China's auto market will reach 26.1 million units in 2021, an increase of 3.1% year-on-year.
In terms of used cars, the results are even more remarkable: as of November 2021, China's used car trading volume is 15.9668 million units. The China Automobile Dealers Association expects that the volume of used car transactions will exceed 17 million to 17.5 million units in 2021, exceeding the level of 2019 and increasing by more than 20%.
Source: Automobile Market Research Branch of China Automobile Dealers Association (HKIC)
The circulation of new energy vehicles continues to grow
In 2021, a feast for new energy vehicles is being staged. From January to November 2021, China's new energy vehicle production and sales reached 3.023 million units and 2.99 million units, respectively. Deliveries for the full year of 2021 reached 936,200 units, approaching the 1 million mark, an increase of 436,000 units or 87.2% compared to 2020;
BYD announced that the annual sales of new energy passenger cars in 2021 reached 593,700 units, an increase of 231.6%; in the camp of new car-making forces, the total delivery volume of Xiaopeng Automobile reached 98,155 units, an increase of more than 263% year-on-year; WEILAI Automobile delivered 91,429 units in the whole year, ranking second among new forces; and the total sales of Ideal Automobile in 2021 reached 90,491 units, an increase of 177.4% year-on-year;
Even Huawei's first Hongmeng electric vehicle, the M5, which was just released, was booked more than 6,500 units in the 96 hours after its release.
At the same time, the new energy second-hand car transaction also tends to be stable, Tesla, Weilai, Weima and other brands have set up officially certified second-hand car brands to enhance product circulation.
Image source: Manufacturers and passenger associations data collation
"Lack of core" affects the automotive industry
Since the second half of 2020, the chip shortage problem has begun to gradually affect. The data shows that since 2021, the cumulative production reduction of automobiles in the Chinese market has reached 1.981 million units, accounting for nearly 20% of the total production reduction.
Many consumers in China have the problem of "difficulty in buying a car" because the ordered vehicles cannot be delivered. Overseas authorities predict that the shortage of chips in the automotive industry will be effectively alleviated in 2022.
Source: China Automobile Dealers Association
The second-hand car auction platform has surfaced, further improving the circulation efficiency of second-hand cars in China
China's motor vehicle ownership has steadily ranked at the world's leading level, and the gap between the second-hand car trading volume and the developed country market is further narrowing. At the same time, in the transaction mode, efficient and standardized auction platforms have gradually begun to emerge.
Taking the leading trading volume of small lime auction as an example, the current car source business has radiated nearly 300 cities, the auction center providing full-process auction services has been laid out more than 40, and more than 80,000 vehicles have been auctioned in 2021.
It is foreseeable that the efficient and professional second-hand car auction model will further reduce the cost of second-hand car circulation in China, thereby activating market vitality.
Source: Small Lemon Auction Official
Huawei and Xiaomi are the first mobile phone brands to build cars
In March 2021, Xiaomi Group announced on the Hong Kong Stock Exchange that it would establish a wholly-owned subsidiary and be responsible for the high-quality intelligent electric vehicle business.
With the dust settled on a paper announcement announced by Xiaomi Group's official car-making, Xiaomi's "rumors" of denying five years of car-making have finally settled.
Coincidentally, on December 23, 2021, Huawei also released a new brand AITO and its M5 model jointly with Xilix. The next car manufacturing of mobile phone companies will enhance the technological content of automotive products and also pose challenges to related services.
Image source: Xiaomi Company Official
Luxury brands collectively exert efforts in the field of new energy
New energy vehicles are playing an increasingly important role in today's automotive market.
In 2021, the three major car companies represented by the "three German top three" - Mercedes-Benz, BMW and Audi announced their future new energy strategies. Audi has embarked on the "allin e-tron" brand strategy, which is considered to complement the previously announced strategy to stop developing fuel vehicles; Mercedes-Benz's EQS flagship sedan was officially launched in December and officially unveiled at CES 2022, with a maximum power of up to 150 kilowatts, a range of more than 1000 kilometers, and a drag coefficient as low as 0.17Cd, the VISION EQXX.
By 2022, Mercedes-Benz will provide new energy models for all segments involved; BMW expects bmw iX3s to sell 20,000 units in the first full sales year, and in 2022, the BMW brand will bring five pure electric models to China. As an industry vane, the three major luxury brands are fully engaged in grabbing the new energy market, which means that in the future, the products and services of new energy vehicles will become a must for automakers.
Source: Mercedes-Benz official
Looking at the automobile circulation industry in 2021, we can see that China's automobile industry has broad development prospects and profound market potential. Looking forward to 2022, there are opportunities in china's automotive circulation challenges.
In the next decade, the electrification and intelligence of the automobile industry transformation have become the trend of the times, pure electric models will achieve a high degree of intelligence, and intelligent networking will also develop mobile travel as an important scenario. The two complement each other, coexist and emerge, and jointly promote the rapid development of the future stage.
In addition, the second-hand car circulation industry, which has been stimulated by favorable policies and released huge development space, has developed faster than the new car circulation industry. The development of the used car industry with high efficiency and formality will vigorously promote the benign development of China's automobile economy and increase the vitality of China's automobile circulation.
In the future, second-hand car players can only be self-reliant with two-wheel drive!