Used car sales set to accelerateUpdated: 2013-11-12 17:08
China's second-hand automobile market will hit annual sales of more than 36 million by 2023, a six-fold increase from 2013, according to the China Automobile Dealers Association on Monday.
Shen Rong, vice-president of the association, said that new and second-hand unit sales will even out by 2023, which is a prime indicator for a matured automobile market, Beijing Business Today reported.
"There is great potential to be tapped in the second-hand market, which may exceed the sales of brand-new units to become the driving force for the industry," Shen added.
The sales of second-hand cars increased 12-fold from 251,700 to 33.4 million between 2000 and 2009, according to the association.
Sales are expected to reach five million this year. However, it is still at the primary stage compared to the Western market.
The upsurge is sustained by favorable policies, said Shen. The amended regulation on vehicle purchase tax, introduced in 2011, opened up more space for the used car market, Shen said.
Chen Hong, chief of marketing at the Ministry of Commerce, said that the ministry is expected to introduce national standards for appraisal technology for used cars this year.