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China’s Car Dealerships Facing Losses of Almost $20 Billion
A BYD Co. Seal vehicle at one of the company's showrooms in Shenzhen, China.
Photographer: Qilai Shen/BloombergThis article is for subscribers only.
Car dealerships across China are facing losses of almost $20 billion as consumers hold off on making major purchases and vehicles pile up in sales lots.
The country’s car retailers are experiencing “extremely intense liquidity” and looking at losses of about 138 billion yuan ($19.6 billion) for the first eight months of 2024 alone, the China Automobile Dealers Association said in a statement Monday.