Cui Dongshu, Secretary-General of the Passenger Car Association, said that by the end of January 2026, China's inventory of passenger cars reached 3.57 million units, a decrease of 80,000 units from December 2025, but an increase of 580,000 units compared to January 2025, indicating a high level of inventory.

The inventory at the end of January 2026, combined with future sales forecasts, supports a future sales days estimate of 70 days, which is relatively high compared to 65 days in January 2023, 70 days in January 2024, and 48 days in January 2025.

Analyzing the inventory trends of companies that only produce new energy vehicles, the industry inventory dropped to 620,000 units in September due to policy measures, but rose to 720,000 units by January 2026, reflecting a decline of 160,000 units from the peak inventory, but an increase of 60,000 units compared to December. Recently, new energy vehicle dealers are facing inventory levels from manufacturers and channels that are below market expectations, contributing to significant overall inventory pressure in the industry.