Epidemic, production suspension, price increases, Russian-Ukrainian conflict, supply chain crisis... These keywords outline the true state of the global automotive industry in 2022.
Recently, domestic listed car companies have released April production and sales data, whether compared with March this year, or compared with the same period last year, April car sales have fallen sharply. Judging from the statistical situation, the sales of car companies in April can be described as mournful, almost waist-cutting. Only automakers, mainly new energy vehicles, including Beiqi Blue Valley, BYD and some new car-making forces, achieved a year-on-year increase in sales in April.
The sales of listed car companies including Changan Automobile, SAIC Motor, GAC Group, Great Wall Motor, FAW Jiefang, Jianghuai Automobile, Jiangling Motors and other listed car companies mainly for passenger cars or commercial vehicles fell sharply in April, of which as many as 7 companies with a year-on-year decline of more than 40%, accounting for 50%. Saic Motor, which is the most obvious in this round of epidemic, fell by more than 60% in April.
According to the April sales forecast data released by the China Automobile Association, in April 2022, the sales volume of the automotive industry is expected to complete 1.171 million units, down 47.6% month-on-month and 48.1% year-on-year; from January to April 2022, sales are expected to complete 7.68 million units, down 12.3% year-on-year.
This sales figure, close to 2011 levels, was the biggest decline in April in Chinese automotive history. There is really a feeling of "hard work for more than ten years, one night back to before liberation".
With the further deepening of the impact of the epidemic, production stagnation, terminal closures, etc., the revenue of most car companies may intensify the decline rate in the next period of time.
Moreover, under the constraints of various factors, the automotive industry is currently facing dual pressures on the supply side and the demand side.
On the supply side, the shortage of automotive chips has not been significantly alleviated, and the price of raw materials for power batteries has risen rapidly this year.
Cui Dongshu, secretary general of the All-China Passenger Transport Association, said that looking forward to the national passenger car market in the second quarter, it is facing a more complex and difficult environment, especially the huge loss of the automotive industry chain temporarily stationary caused by the outbreak of the epidemic in Shanghai, and the supply of secondary parts will seriously affect sales in the second quarter.
On the consumer side, according to the observation of the China Automobile Association, since November last year, the terminal market has begun to show signs of weakness, and after the Spring Festival this year, due to the direct impact and indirect impact of the epidemic, the terminal market has experienced a sharp decline. At present, most companies reflect that new orders are declining, and the terminal market for new energy vehicles is performing better, but the traditional fuel vehicle market has declined sharply.
However, with the acceleration of the resumption of work and production in Shanghai's auto industry, the automotive supply chain is gradually recovering. The China Automobile Dealers Association believes that as the epidemic improves in May, the previously suppressed demand for car purchases will be released. At the same time, the relevant departments of the state and local governments have successively introduced some policies to promote consumption, and automobile OEMs have also introduced support measures. Overall, vehicle sales are expected to increase month-on-month in May, and sales may fluctuate due to the uncertainty of the epidemic. Moreover, although it has been a period of time since the resumption of work and production in Jilin, Shanghai and other places, the repeated epidemics have affected the actual effect of enterprises resuming work and production.