China H1 2026 Used-Car Sales Rise 1.5% to 9.7132 Million, Ratio Near 1:1

In the first half of 2026, cumulative used-car transactions in China reached 9.7132 million units, up 1.50% year on year. During the same period, domestic new-car sales totaled 9.921 million units, down 21.1% year on year. The ratio of the two has approached 1:1, indicating that China's auto market is shifting from a new-car-dominated structure to one where new and used cars carry equal weight. China has been the world's largest auto market for 17 consecutive years, and this shift in market structure signals a profound change in consumption patterns.

China's vehicle parc stands at 370 million units, providing a solid foundation for the used-car market. The trading environment has continued to improve; consumers can now query accident and maintenance records and obtain third-party inspection reports when purchasing used cars. Buyers are increasingly prioritizing practicality and value for money. Based on residual value calculations, a three-year-old used car typically sells for about half the price of a new car. These factors have collectively driven rapid growth in the used-car market.

In Shenzhen, some used-car dealerships saw transaction volumes rise about 10% year on year, with foot traffic up 20%, as consumers were drawn by the cost-effectiveness and the advantage of immediate delivery of in-stock vehicles. At Beijing's Huaxiang market, sales of traditional fuel vehicles rebounded in July, and price adjustments on new cars enhanced the cost-performance of used fuel vehicles. The industry is characterized by thin margins and high turnover; some dealers' monthly sales rose from about 70 units in May to 130 units in July. In Shanghai, used new-energy vehicles are selling well, with new-energy models accounting for up to 40% of inventory at some dealerships, double the level in 2025. Inventory turnover has accelerated, with some merchants achieving turnover rates exceeding 90%.