China's Auto Industry: SUV and Export Growth in June
Data from the China Association of Automobile Manufacturers (CAAM) shows a year-on-year decline in passenger car production and sales in June. However, the SUV segment and export figures demonstrated significant growth.
The China Association of Automobile Manufacturers (CAAM) released its June 2026 data for passenger car production and sales, indicating a market polarization. While domestic demand remains under pressure and sales of traditional internal combustion engine vehicles are declining, vehicle exports and particularly new energy vehicle sales continue to rise.
In June 2026, passenger car production reached 2.37 million units and sales hit 2.40 million units. This represents a 5.9% and 6.6% increase month-on-month, respectively. However, compared to June 2025, production decreased by 2.8% and sales by 5.3%.
From January to June 2026, passenger car production and sales stood at 12.72 million units each, marking a 5.9% and 6.0% year-on-year decrease respectively. Analysis within the data indicates that the Sport Utility Vehicle (SUV) segment saw production and sales grow by over 10% compared to the previous year, while sedan sales experienced double-digit declines.
Exports showed substantial momentum. In June 2026, vehicle exports totaled 905,000 units, an 11.7% increase from the previous month and a significant 80.2% rise compared to the same month last year. For the January-June period, exports grew by 71.7% to reach 4.43 million units.
Domestic sales, conversely, saw a notable decrease. Domestic passenger car sales in June were 1.50 million units, up 3.7% from the previous month, but down 26.4% year-on-year. Across the first six months of 2026, domestic sales fell by 24.3%.