FX.co ★ China Car Sales Drop by Most in 2 Years

China’s total vehicle sales fell 15.4% year-on-year to 1.801 million units in February 2026, extending a 3.2% decline in the previous month, according to data from the China Association of Automobile Manufacturers. This marked the steepest drop since February 2024, as the phase-out of government subsidies intensified the typical slowdown associated with the Lunar New Year holiday. New energy vehicle (NEV) sales declined 14% to 765 thousand units, registering a second consecutive monthly fall. Domestic sales slumped 34.2% to 950 thousand units, outweighing a 58% jump in exports, which rose to 590 thousand units.