Major carmakers in China have launched a new wave of price cuts and financing incentives immediately after the Spring Festival holiday, reports Caixin. Manufacturers aim to clear excess inventories as sales slow in the world’s largest auto market.
SAIC General Motors’ Buick brand said Thursday that it would lower prices on multiple models by RMB 5,000 ($724). The move followed an announcement Wednesday by SAIC Audi, which introduced limited-time purchase incentives worth RMB 30,000, cutting the starting price of one model to RMB 205,900. Earlier in the week, joint ventures GAC Toyota Motor and Dongfeng Nissan Passenger Vehicle lowered prices on new models, with one Dongfeng Nissan entry-level vehicle falling to RMB 65,900.
The burst of promotions highlights mounting pressure across the industry, where weakening demand and the expiration of government subsidies have left dealers saddled with unsold vehicles despite efforts to steady the market.