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Retail Car Sales Continue to Fade in China

Retail sales of passenger vehicles in China shrank 5% to 1.51 million units in July, according to the China Passenger Car Assn.
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Retail sales of passenger vehicles in China shrank 5% to 1.51 million units in July, according to the China Passenger Car Assn.

The decline reverses a June uptick, driven by a surge in dealer discounting ahead of a shift to tougher emission rules for new vehicles. Deliveries have now dropped for 13 of the past 14 months.

Last year, retail car sales in China fell 6% to 22.7 million units, their first retreat in at least 20 years. LMC Automotive predicts sales will erode 5% this year.

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