Chinese Car Dealers Selling Less Cars Than Before

According to figures from the Chinese Car Dealers Association, car dealerse on average sold 901 cars in 2012, a decrease of 9% over 2011′s average of 990 vehicles per year. This year with 21 million cars expected to be sold dealer sales could drop to 860 units due to the ever increasing number of dealers being added to sales networks. American dealerships on average sell between 500 and 600 cars per year.

2012 sale statistics indicate that 90% of Chinese auto sales are coming from first, second and third tier cities in the Chinese market with most of the sales happening along the East Coast. Car sales in first tier cities continued to grow in 2012 by single digits but sales in second and third tier cities grew by 131%, showing that there is strong potential away from the first tier cities.

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