Recently, Cui Dongshu, secretary general of the passenger association, released an analysis report on the A00 class car (mini car) market on his website. According to the report, for the whole of 2023, the wholesale number of A00-class sedans reached 89340,000 units, but wholesale sales by manufacturers have dropped by 30%. At the same time, the number of domestic retail sales also fell by 12% cumulatively to 95070,000 units.
However, in January 2024, the market performance of the A00 class sedan has shown a certain recovery. The wholesale quantity for the month was 8460,000 units, accounting for 9% of the wholesale share68%, an astonishing 222% year-over-year. Despite a 45% month-on-month decline in wholesale compared to December 2023, such a growth rate still shows the potential of the A00 segment sedan market.
On the retail front, A00-class sedan sales in January 2024 also increased by 127% compared to the same period last year, and although it was down 31% from December 2023, the overall trend remains positive.
Cui Dongshu pointed out in the analysis that electric vehicles are gradually replacing the minicar market. With the sharp decline in the sales of fuel mini-cars in the past few years, the original boutique mini-car market has also been seriously impacted. On the contrary, the market for micro electric vehicles has gradually become a new growth point.
He also mentioned that the A00 segment sedan market has returned to the competitive landscape of 20 years ago. In that year, Xiali, Chery, Geely, Changan, BYD and other brands all launched popular A00-class models. Today, these brands and new products are still outstanding in the market, and micro electric vehicles are gradually showing incremental potential.
Judging from the data provided, the A00 class sedans that performed better in January were all electric vehicles. These include models such as BYD Seagull, Changan Lumin, Geely Panda MINI, Wuling Hongguang MINI, Leap T03, Chery QQ Ice Cream, Wuling Clear Sky (Air EV), Universiade Yuehu, Chery EQ, and Kaiyi Shiyue.
Overall, despite the challenges the A00 segment sedan market has faced in the past year, there is still great potential for growth with the rise of electric vehicles and increased consumer demand for environmental protection and energy saving.