Domestic car sales drop in January because of holiday

Beijing (CNS) -- Chinese car production and sales dropped in January by more than 20 percent year-on-year, announced the China Association of Automobile Manufacturers (CAAM) on Thursday.

China produced about 1.3 million cars in the first month of this year, 23 percent lower than December 2011, and 27 percent lower than last January. Car sales hit about 1.4 million, 18 percent lower than last December and 26 percent lower than last January.

In terms of brands, domestic cars were less favored, while German, American and Korean cars were more popular.

The decline doesn't indicate a general downturn for 2012, analyzed Dong Yang, secretary general of the CAAM, because there were fewer working days in the month and a satisfying sales record last January.