China Automobile Dealers Association: The Used Car Manager Index for March was 45.5%, showing a slight improvement in market vitality compared to the previous month.

On April 2nd, the China Automobile Dealers Association released the latest "Used Car Manager Index" (UCMI). The survey showed that the used car manager index in March was 45.5%, a decrease of 2.7 percentage points compared to the previous year, and an increase of 3.7 percentage points compared to the previous month, reflecting a rise in market sentiment as used car dealers resumed work after the holidays and consumer demand continued to increase. In March, the used car market showed continuous release of consumer demand after the holidays, with a noticeable increase in market transaction pace and a trend of "steady recovery and accelerated warming", which is in line with the regular return to normalcy of the market after the Spring Festival in previous years. The survey showed that demand in the used car market increased in March, with 17.2% indicating an increase in market demand. The increase in market demand in March was mainly due to the warming weather in the spring, activating travel and replacement demand in both the north and south regions, along with essential demand in lower-tier markets, promotion of replacement due to new energy upgrades and local subsidies, and facilitation of circulation. According to the survey, the trading volume in the used car market increased in March. 14.7% of managers believed that the trading volume of used cars increased this month. The increase in sales of used cars in March was mainly driven by the policy of trading in old cars after the Spring Festival, a large supply of high-quality slightly used cars, concentrated demand for car purchases in the spring, smooth cross-regional circulation nationwide, and the boost in consumer confidence from the 3.15 special cleanup campaign. The survey showed that prices for purchasing and selling used cars in March increased compared to the previous month, with 11.7% of used car managers believing in the increase in purchase prices and 9.1% in the increase in selling prices. The national market accelerated recovery after the Spring Festival in March, with increased demand, seasonal warming compared to the same period in previous years, strong demand for restocking by car dealers in various regions, a shortage of high-quality sources, and higher oil prices driving up the prices of fuel-efficient cars. In March, the inventory of used car dealers remained stable, with a slight decrease in inventory turnover time compared to the previous month. This phenomenon indicates that the market recovery after the holidays, increased transaction activity, and dealers' continued "quick in, quick out" strategy, combined with increased promotion for clearing inventory and precise acquisitions, collectively drove growth in sales and accelerated inventory turnover. Research data showed that in February, 6.4% of used car managers believed that their business operations were in a "good" state, an increase compared to the previous month. The proportion of those who believed that the business situation was not good significantly decreased, indicating a slight relief in overall business pressure for used car dealers. Among the surveyed used car managers, three-fifths believed that turnover funds decreased by 5-10%, while seven-fifths believed that turnover funds increased by over 10% in April. Overall, with the continuous release of market recovery momentum after the Spring Festival, the market transaction pace has further increased. With the dual effects of policy-driven and consumer-upgrade, the used car market as a whole has shown a trend of steady recovery and accelerated warming in March, with overall business performance of dealers gradually improving; Regarding expectations for the coming month, surveyed used car managers stated: with further release of car purchase demand, April will focus on "policy compliance, accelerated inventory turnover, and breakthroughs in new energy", with an expected index of 49.7%, indicating a further increase in market sentiment compared to March.