STOCKS | Cui Dongshu Says Passenger Vehicle Market Decline Is a Temporary Structural Fluctuation

According to Jin10, Cui Dongshu, secretary-general of the China Passenger Car Association branch, said the passenger vehicle market's 5.5% month-on-month retail rebound in August 2026 reflected a mix of factors, including high oil prices, weaker macro conditions, rising policy expectations, and the Chengdu Auto Show. He said geopolitical conflict has continued to disrupt navigation through the Strait of Hormuz, keeping international oil prices volatile at high levels, while domestic gasoline prices in China have risen by more than 1,720 yuan per ton in 2026, including an increase of 180 yuan since late July. Cui said the rollout of new national safety standards for new energy vehicles has pushed compliant products to update and launch in batches, and that the higher technical threshold is shifting the industry from price competition to value competition. He added that the July Politburo meeting made clear that fiscal support would be strengthened and policies to expand domestic demand and boost consumption would continue to be implemented, providing bottom support for the auto market.