China – Dec Auto Sales

13/01/2021 10:15 pm MYT

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Auto sales in Dec rose 2.1% month-on-month, and 6.4% year-on-year to 2.83 mln units (table 1), the highest level since Dec 2017. Passenger car sales rose 3.3% month-on-month, and 7.2% year-on-year. Commercial vehicle sales fell 3.6% month-on-month, but rose 2.4% year-on-year (figure 1). China’s auto sales recovered strongly in 2020 due to government incentives and a recovery in consumer demand. As a result, China remained as the world’s largest auto market in 2020.

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Note from Publisher

One week into the second movement control order (MCO 2.0) and the daily Covid-19 confirmed case count has not improved. It is therefore not a surprise that MCO 2.0 is extended to 4 Feb. The longer the MCO stretches, the more the economy will suffer. It is timely that the Muhyiddin government launched its fifth economic stimulus package this week, the RM 15-bln Perlindungan Ekonomi dan Rakyat Malaysia (PERMAI) programme. Given the country’s fiscal conditions, it would be impossible for the government to repeat the scale of the PRIHATIN and PENJANA packages. Nevertheless, there are many Malaysians who are still living in a world of denial, not able to accept the new economic realities. All the Malaysian economy can hope for is a speedy containment of the Covid-19 pandemic.

Meanwhile, the end of Donald Trump’s 4-year tumultuous rule offers a flickering silver lining: that the world’s most powerful country will finally get her own affairs in order and become less isolationist and war-like. The world has placed high expectations on Joe Biden to restore stability in the US and rejoin the global community. Given the extent of damage done by the Trump administration, president Biden will need more than time to put his house back in shape and restore US her position of global leadership. Donald Trump’s destructive policies and the Covid-19 pandemic have left enduring wounds upon the once-formidable superpower Nevertheless, a world without the US dominating and with China contributing more globally will lead to a better world for all.

Announcement

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