Domestic second hand car market keeps growing

• Source: CE.cn
• [08:31 April 19 2010]
• Comments

Since the beginning of the new century, China's second-hand auto market has witnessed a rapid development.

According to incomplete statistics made by China Automobile Dealers Association on 460 key second-hand auto transaction markets in China, the transaction volume of second-hand autos has soared from 252,000 sets in 2000 to 2.7373 million sets in 2008, increasing over ten times.

Then the number reached 3.3386 million sets in 2009, increasing 601,300 sets than that of the same period of last year with the year-on-year increase rate of more than 20 percent, and such a rapid increase momentum still continues.

What's more, the transaction price of domestic second-hand autos in 2009 has increased stably. In 2009, the average transaction price per second-hand auto in China is 44,600 yuan, up 1,400 yuan than that of the same period of last year.

And the average transaction price per basic-type passenger car (sedan) is 49,500 yuan, up 200 yuan than that of the same period of last year; the average transaction price per carriage is 34,500 yuan, up 1,200 yuan than that of the same period of last year; the average transaction price per truck is 32,600 yuan, up 600 yuan than that of the same period of last year; the average transaction price per SUV is 129,200 yuan, up 6,300 yuan than that of the same period of last year.

Viewing from the transaction features, in 2009, the structure of domestic second-hand auto market witnessed an obvious change.

The transaction volume of cargo trucks has increased obviously with the year-on-year increase rate as high as 43.98 percent; private consumption continued to be the main body in the transaction of second-hand autos, the sales volume of private autos occupies 85.34 percent of the total transaction volume of second-hand autos, among which, the sales volume of sedans takes up 53.76 percent.

Additionally, trans-regional circulation began to active. The market integration across the country witnessed development.

The second-hand auto market takes homemade autos as transaction major part, and the transaction volume of homemade autos takes up 96.24 percent of the total transaction volume.

What's more, the current overall quality and performance-price ratio is gradually improving, the volume of those auto types manufactured within the past three years occupies 17.56 percent of the total volume.

As understood, there has not yet been a complete and systematic appraisal method to evaluate domestic second-hand autos.

In the past, a second-hand auto was used to be evaluated at a fixed price, the method which subjected to too much subjective factors of appraisers, and different appraisers would have different appraisal results. Therefore, consumers didn't recognize the appraisal results from the market.

"Under the deployment of Ministry of Commerce, China Automobile Dealers Association has summarized the current appraisal methods on second-hand autos, set about researching and establishing relatively consummated appraisal flow on second-hand autos, quantified the appraisal results of each evaluation and each part of second-hand autos, and classified second-hand autos into several grades." Luo Lei, Vice General Secretary of China Automobile Dealers Association, expressed.