Posted on 05 Jul 2023
Sales of heavy-duty trucks in China during June increased by 34% on year, according to the latest estimate released by Beijing-headquartered Commercial Vehicle World (CVWorld), a well-recognized market intelligence provider on China's truck manufacturing sector.
Despite the on-year increase, last month the country's heavy truck sales totaled just 74,000 units, the second lowest for any June since 2017, and the sales volume was also 4.4% lower than that in May, marking the third on-month decline so far this year, the release showed.
Slow recovery in economic activities and private consumption mainly contributed to the lackluster sales of heavy trucks in the domestic market in the past few months. And the market has entered its slack period earlier than usual as many heavy truck producers and distributors are getting fewer orders, CVWorld noted.
Many medium- or small-sized logistics companies suffered losses in the second quarter of this year and some truck owners elaborated that the operational conditions were even worse than that of last year, it added.
The depression in both manufacturing industry and fixed asset investment (FAI) led to fewer cargoes for logistics companies to transport, which weighed on the sales of heavy trucks in turn, according to CVWorld.
China's Purchasing Managers' Index (PMI) for the manufacturing industry - a crucial sector for road transport - remained in the contraction zone for the third month at 49.9 in June, according to the latest release by the country's National Bureau of Statistics (NBS).
During May, the country's FAI, another driving force for its heavy truck market, also hovered low at Yuan 4.13 trillion ($ 569.3 billion), according to the data from NBS.
However, demand from overseas buyers remained robust, China's total export of heavy trucks amounted to 113,100 units over January-May, surging by 78.41% on year, according to the data released by the China Association of Automobile Manufacturers (CAAM).
Source:Mysteel Global
