Government policy helps SAIC rev up auto sales
China’s biggest automaker SAIC Motor Group has reported that its retail sales rose 0.5 percent in April to 432,500 vehicles from the same period of last year.
Industry insiders say this is indicative of the recovery of the automobile industry amid the COVID-19, and the positive impact of the Shanghai government's policy to further promote purchases.
Cui Dongshu, secretary-general of the China Passenger Car Association, said that SAIC Motor Group's sales performance in April means the automaker has gradually recovered from the effects of the pandemic. Cui added that it signals positive prospects for the entire year.
David Zhang, an independent automotive consultant, said that the growth in April has great significance for the industry.
Zhang said that SAIC Motor Group is expected to perform well in the second quarter this year as the company has competitive products.
In early April, Shanghai said it would further rev up auto consumption and released a series of policies. A number of new car launches and preferential promotions have been set for the two-month Double Five Shopping Festival.
SAIC is holding an auto carnival at the Shanghai Exhibition Center from May 1 to May 10. The automaker is hosting activities and providing discounts on its nine car brands and more than 40 car models to further entice potential buyers.