China Total Vehicle Sales Flat in May

By Trefor Moss Features Dow Jones Newswires

Vehicle sales in China were flat in May, as surging demand for commercial vehicles offset sluggish passenger-car sales in the world's largest automobile market.

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Total vehicle sales declined marginally by 0.1% year over year to 2.1 million, the government-backed China Association of Automobile Manufacturers said Monday.

Passenger-car sales fell by 2.6% to 1.75 million last month. That followed a 3.7% drop in April, the biggest decline since a mid-2015 slump that prompted the government to slash its auto-sales tax from 10% to 5% to stoke demand.

Beijing increased the tax to 7.5% effective at the start of this year, bolstering late-2016 sales and weakening early-2017 demand, according to auto industry analysts.

--Lilian Lin contributed to this article

Write to Trefor Moss at trefor.moss@wsj.com

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(END) Dow Jones Newswires

June 12, 2017 03:12 ET (07:12 GMT)