China Car Dealers Struggle as Stockpiles Rise
Chinese dealers are struggling with the rising number of unsold cars that’s threatening to deepen price cuts, according to the nation’s biggest automobile dealers’ association.
Dealerships for Honda Motor Co. (7267), Chery Automobile Co., BYD Co. (002594) and Geely Automobile Holdings Ltd. (175) carried more than 45 days of inventory as of the end of April, exceeding the threshold that foreshadows debilitating price cuts, Su Hui, vice president of the auto market division at the state-backed China Automobile Dealers Association, said in an interview yesterday.
“Unsold cars are crowding dealer lots in cities from Guangzhou in the south to Xi’an to the west,” Su said in a phone interview yesterday from Beijing. “It’s like a contagious disease that will spread.”
The warning signals that vehicle deliveries reported by companies, which have risen more than analysts’ estimates for the past two months, aren’t fully translating to consumer sales. Demand was the slowest in the first four months since 1998, weighing on automakers from to Volkswagen AG (VOW), which are counting on the world’s largest auto market to offset slumping sales in Europe.
National Independent Automobile Dealers Association Names CompuPay A National ...
MIRAMAR, Fla., May 17, 2012 /PRNewswire via COMTEX/ -- CompuPay Inc., one of the country's leading providers of payroll, tax filing and employer-related services, today announced that it has been named a national member benefit partner for the National Independent Automobile Dealers Association (NIADA). For over 66 years, NIADA has provided advocacy, education, industry information, member benefits and services to its members within the used vehicle retail industry.
As part of NIADA's commitment to their members, NIADA Member Services partners with industry leaders to provide a broad portfolio of high-quality, competitively priced services that have the potential to enhance members' businesses. The partnership with CompuPay offers NIADA's more than 20,000 members access to discounted online payroll processing as well as access to payroll-related products through the NIADA National Member Benefit Program.
Scott Lilja, vice president, Member Services for NIADA, remarked, "Providing our members access to services and opportunity for savings is a high priority for NIADA Member Services. CompuPay's products are significant additions to the portfolio of services we make available to our members."
The HinduHe said discussions with the petroleum secretary and officials of OMCs failed and their demands on fixing a margin for dealers on percentage basis and Petrol pumps stick to Sept. 20 strike planall 21 news articles »
Fewer new car sales means fewer late-model trade-ins, the mainstay of auto dealers. Rental car agencies are hanging on to their cars longer as well. and more »
