Vehicle sales in China fell 3% in May compared to the same month a year earlier, breaking a streak of 13 consecutive months of gains since April 2020, industry data showed on Friday.
Global sales in the world's largest auto market totaled 2.13 million vehicles in May, according to data from the China Association of automobile manufacturers (CAAM).
China sold 10.88 million vehicles between January and May, up 36% from the same period a year earlier.
A global chip shortage and soaring commodity prices are having a growing impact on the country's automakers, said Chen Shihua, senior CAAM official.
But Chen said CAAM remains cautiously positive on the outlook for the industry. The industry body expected overall vehicle sales in China to increase 6.5% this year.
Vehicle sales to New Energy (NEV), including battery-powered electric vehicles, plug-in gasoline-electric hybrids and hydrogen fuel cell vehicles, maintained strong momentum, jumping 160%, with 217,000 units sold in the month .
The fabricants of NEV, such as Nio Inc (NIO.N) , Xpeng Inc (XPEV.N) and BYD, increase manufacturing capacity in China, encouraged by government promotion of greener vehicles for reduce pollution.
Tesla Inc (TSLA.O) sold 33,463 China-made electric cars in May.
Car manufacturers including Honda Motor (7267. T) , Geely (0175.HK) , and General Motors Co 's (GM.N) The Chinese joint venture reported lower sales in May. en find out more
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